The Minister for Education, Dr Woods, has substantially reduced the level of local funding primary schools have to raise annually.
Up to now most schools had to raise £7.50 per pupil but Dr Woods has cut this to £2 per pupil. Disadvantaged schools had to raise £4 per pupil and this has also been cut to £2.
Schools normally raise the money, known as the "local contribution" from parents through events such as cake sales and sponsored races. Schools have been seeking the cut for many years.
"I am satisfied that the unparalleled level of funding made available by the Government for the primary school sector has created a situation where I can ease the burden on local communities who have been generous in their support of their local schools for many years," said Dr Woods.
The cuts cover running costs for schools and capital projects are treated separately. Dr Woods said the cut in the local contribution was possible because of the "unprecedented level of funding made available by this Government to primary schools over the past three years".
The biggest factor in bringing the local contribution down has been the increase over recent years in the capitation grant. This was £45 per pupil three years ago but has now reached £75.50.
Dr Woods said the rate would increase to £80 per pupil next year.
Meanwhile, the Department is funding a month-long trip to the US by teachers and parents to study practices on autism.
The Department has been heavily criticised for its performance on autism - especially during the Mr Jamie Sinnott High Court case - and has set up a task force to suggest reforms. It has also set up a task force on dyslexia.
The trip will be hosted by the US Department of Education and the George Washington University Graduate School of Education and Human Development. The group travelling includes 10 teachers with an interest in special needs and two parents of children with special needs.
"US experts have already been invaluable in exchanging information with the task forces which I established on dyslexia and autism. "This visit will add further perspectives to these and other important areas of special needs education," said Dr Woods, who saw the group off at Dublin Airport over the weekend.