A novel bi-layer beam model is developed to account for local effects at the crack tip of a bimaterial interface by modeling a bi-layer composite beam as two separate shear deformable beams. The effect of interface stresses on the deformations of sub-layers, which is referred to as the elastic foundation effect in the literature, is considered in this model by introducing two interface compliance coefficients; thus a flexible joint condition at the crack tip is considered in contrast to the "rigid joint" condition used in the conventional bi-layer model. An elastic crack tip deformable model is presented, and the closed-form solutions of local deformation at the crack tip are then obtained. By applying this novel crack tip deformation model, the new terms due to the local deformations at the crack tip, which are missing in the conventional composite beam solutions of compliance and energy release rate (ERR) of beam-type fracture specimens, are recovered. Several commonly used beam-type fracture specimens are examined under the new light of the present model, and the improved solutions for ERR and mode mixity are thus obtained. A remarkable agreement achieved between the present and available solutions illustrates the validity of the present study. The significance of local deformation at the crack tip is demonstrated, and the improved solutions developed in this study provide highly accurate predictions of fracture properties which can actually substitute the full continuum elasticity analysis such as the finite element analysis. The new and improved formulas derived for several specimens provide better prediction of ERR and mode mixity of beam-type fracture experiments.