TTAA IDEA-B MOE Action Plan - August 30, 2013

Word Version 

August 30, 2013

TO THE ADMINISTRATOR ADDRESSED:

SUBJECT:      Individuals with Disabilities Education Act, Part B, Maintenance of Effort Requirement, Fiscal Years 2010 to 2013 (School Years 2009–2010, 2010–2011, 2011–2012, and 2012–2013)

Due to local educational agency (LEA) questions and concerns following the release of fiscal year (FY) 2010 Individuals with Disabilities Act, Part B (IDEA-B) LEA maintenance of effort (MOE) compliance determinations in July 2012, the Texas Education Agency (TEA) requested clarifying guidance from the US Department of Education (USDE) on various topics related to IDEA-B LEA MOE.

TEA has begun implementing the most recent guidance from USDE received as of August 16, 2013, and informing LEAs of the upcoming action plan and timeline for FY2010, FY2011, and FY2012 IDEA-B LEA MOE compliance determinations. 

Action Plan

Notifications of IDEA-B LEA MOE compliance determinations will begin in September 2013, beginning with FY2010. TEA will reissue FY2010 IDEA-B LEA MOE preliminary compliance determinations, which will supersede all previous FY2010 IDEA-B LEA MOE compliance determinations (compliant or noncompliant statuses) issued in July 2012 or in subsequent compliant status notifications issued in September 2012. 

Preliminarily noncompliant LEAs will be provided an opportunity to respond to the Division of Federal Fiscal Compliance and Reporting with any applicable statutory exceptions by a specified deadline date, and TEA will make final determinations to include the dollar amount by which LEAs failed to maintain effort (i.e., MOE deficiency), if applicable.

The FY2011, FY2012, and FY2013 IDEA-B LEA compliance determinations will follow the same process according to the anticipated timelines below.

Anticipated Timelines for FY2010, FY 2011, and FY2012

MOE for FY2010 (School Year 2009–2010)

September 2013

TEA reissues FY2010 IDEA-B LEA MOE preliminary compliance determinations (compliant and noncompliant statuses)

October 2013

Noncompliant LEAs have 30 days to respond from date of notification with statutory exceptions and/or other state reconsiderations to the Division of Federal Fiscal Compliance and Reporting

October to November 2013

Division of Federal Fiscal Compliance and Reporting reviews LEA responses

December 2013

Final FY2010 IDEA-B LEA MOE determinations issued by TEA

MOE for FY2011 (School Year 2010–2011)

December 2013

TEA issues FY2011 IDEA-B LEA MOE preliminary compliance determinations (compliant and noncompliant statuses)

February 2014

Noncompliant LEAs have 30 days to respond from date of notification with statutory exceptions and/or other state reconsiderations to the Division of Federal Fiscal Compliance and Reporting

February to March 2014

Division of Federal Fiscal Compliance and Reporting reviews LEA responses

April 2014

Final FY2011 IDEA-B LEA MOE determinations issued by TEA

MOE for FY2012 (School Year 2011–2012)

April 2014

TEA issues FY2012 IDEA-B LEA MOE preliminary compliance determinations (compliant and noncompliant statuses)

May 2014

Noncompliant LEAs have 30 days to respond from date of notification with statutory exceptions and/or other state reconsiderations to the Division of Federal Fiscal Compliance and Reporting

May to June 2014

Division of Federal Fiscal Compliance and Reporting reviews LEA responses

July 2014

Final FY2012 IDEA-B LEA MOE determinations issued by TEA

Enforcement for FY2010, FY2011, and/or FY2012

LEAs must not submit any refunds based on preliminary or final determinations for FY 2010, FY2011, or FY 2012 until requested by TEA. If a refund is due as a result of the final determination for FY2010, FY2011, and/or FY2012, the LEA will receive one enforcement letter indicating the refund amounts due to TEA, for each applicable fiscal year, and instructions for submitting the refund. 

Enforcement and Anticipated Timeline for FY2013

Preliminary and final MOE determinations for FY2013 will follow the completion of FYs 2010, 2011, and 2012 based on the timeline below. If a refund is due as a result of the final determination for FY2013, the LEA will receive an enforcement letter indicating the refund amount due to TEA and instructions for submitting the refund. 

MOE for FY2013 (School Year 2012–2013)

July 2014

TEA issues FY2013 IDEA-B LEA MOE preliminary compliance determinations (compliant and noncompliant statuses)

August 2014

Noncompliant LEAs have 30 days to respond from date of notification with statutory exceptions and/or other state reconsiderations to the Division of Federal Fiscal Compliance and Reporting

August to September 2014

Division of Federal Fiscal Compliance and Reporting reviews LEA responses

October 2014

Final FY2013 IDEA-B LEA MOE determinations issued by TEA

FY2014 and Beyond

Beginning with FY2014, IDEA-B LEA MOE determinations will be computed on a routine schedule in the late spring and summer of the school year following the end of the fiscal year, e.g., April to July 2015 for FY2014.

A guidance handbook for IDEA-B LEA MOE and a calculation tool for FY 2014 and beyond are now available on the Division of Federal Fiscal Compliance and Reporting IDEA-B MOE page of the TEA website. The handbook provides LEAs with guidance on the process of complying with the IDEA-B LEA MOE requirement beginning with FY2014 (school year 2013-2014), including a description of the methodology used by TEA to calculate compliance.

To assist LEAs in planning, starting with FY2014, LEAs may use the determination calculation tool to estimate their MOE compliance. To use the tool, LEAs must be prepared to enter the following data:

·         Prior year and current year state and/or local expenditures in relevant function codes as described in Appendix 3 of the handbook.

·         Special Education Student counts for the prior year and current year (PEIMS Record 163, Child-Count-Funding-Type-Code=3).

·         Tier I Special Education Adjusted Allotment, Total Cost of Tier I, and Local Fund Assignment data from the LPE Column of the LEA’s Summary of Finance (SOF) dated September 10 or the first date thereafter in the year under determination.

Contact Information

If you have any questions regarding this letter, please contact the Division of Federal Fiscal Compliance and Reporting at (512) 463-9127 or compliance@tea.texas.gov.

Sincerely,

Cory Green, Chief Grants Administrator

Division of Grants Administration