Texas Education Agency v. United States Department of Education, No. 18-60500 (5th Cir. 2018)Annotate this Case
After the Department of Education issued a proposed determination that Texas was ineligible for $33.3 million of future grants because of the shortfall in both aggregate and per capita state funding, the state argued that it had complied with the "maintenance of state financial support" (MFS) requirement because funding under a weighted-student model had remained constant.
The Fifth Circuit denied Texas' petition for review and held that the weighted-student model contravenes the plain meaning of the MFS clause. The court explained that, under the weighted-student model, Texas may reduce the amount of funding for special education if it determines that the needs of children with disabilities have changed. In this case, Texas violated the plain requirements of the MFS clause by doing so and was therefore ineligible for the corresponding amount of future Individuals and Disabilities Education Act Part B grants. Finally, the MFS clause did not exceed Congress's spending power by failing to provide sufficiently clear notice of its requirements.