Overview
When awarding grant funds for education purposes, the federal government does not intend for school districts to use federal funds as the primary means of providing services to students with disabilities. The district agrees when it accepts the IDEA Part B funds that it will expend nonfederal (e.g. state and local) funds in accordance with two federal fiscal accountability stipulations: supplement, not supplant, and MOE. The supplement, not supplant provision of 34 CFR 300.202(a) (3) mandates that state and local funds may not be diverted to other purposes simply because federal funds are available. The MOE requirement ensures that the school district continues to expend its state and local funds at the same level from year to year instead of limiting services to what can be provided using federal dollars.
School district receipt of IDEA funds is contingent upon maintaining fiscal effort for special education services from year to year. Districts must expend a greater or equal amount of local funds or a combination of local and state funds for special education services from one year to the next to meet the IDEA Part B maintenance of effort (MOE) requirement. The eligibility standard requires that, in order to find a school district eligible for an IDEA Part B subgrant for the upcoming fiscal year, the Nebraska Department of Education (NDE) is required to determine that the school district has budgeted for the education of children with disabilities at least the same total local or a combination of state and local funds, per capita amount of local funds only or the combination of state and local funds on a per capita basis which was spent for that purpose from the same source for the most recent year for which information was available.
To summarize, to meet the IDEA part B MOE eligibility requirement, at least one of the following conditions must be met:
· District state and local fund budgeted expenditures must equal or exceed the amount of expenditures from those sources for special education when compared to a previous fiscal year.
· District per-pupil budgeted expenditures of state and local funds must equal or exceed the amount of expenditures per capita from those sources for special education when compared to a previous fiscal year.
· District local fund budgeted expenditures must equal or exceed the amount of expenditures from those sources for special education when compared to a previous fiscal year.
· District per-pupil budgeted expenditures of local funds must equal or exceed the amount of expenditures per capita from those sources for special education when compared to a previous fiscal year.
For additional information please view the oveview video: "Mechanics of the Revised Regulations" and refer the MOE guidance, examples, questions and answers document.
In certain situations, federal regulations permit IDEA Part B funds to be used to reduce the level of state and local special education projected expenditures below a proceeding year expenditure level. School districts may identify possible exception(s) to maintenance of effort whereby districts may reduce the level of expenditure below the level of expenditures preceding fiscal year if the reduction is attributable to defined circumstances.
The following application permits districts to estimate AFR special education expenditures and receipts for the 2022-2023 and 2023-2024 fiscal years and establishes the MOE for each of the available four Federal options. Districts are to next report all allowable federally defined exceptions identifying corresponding costs for each. All exceptions are to be reported regardless of MOE status. Please be reminded, if the school district fails to meet the Maintenance of Effort (MOE) eligibility standard using any of the four methods the school district is ineligible to receive an IDEA Part B subgrant.
For additional supporting information regarding these requirements please go to:
https://www.federalregister.gov/articles/2015/04/28/2015-09755/assistance-to-states-for-the-education-of-children-with-disabilities
It is critical that all information requested be submitted as accurately as possible no later than 7/19/2023.
If you have questions regarding this application process please contact:
Greg Prochazka 531-530-9096 Or E-Mail at: greg.prochazka@nebraska.gov