Missouri Department of Elementary and Secondary Education

 

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Subject: Special Education Part B Entitlement Application
Source: Linda Sneller, Director, Funds Management

Intended Audience: Special Education Directors, Finance Administrators

Date: September 12, 2007

The 2007-08 (FY08) IDEA Part B Entitlement applications are ready for district review and submission.

The deadline has been extended due to the delay in the availability of the application. Districts submitting an application by September 27 will begin receiving funds with the October State Aid Payment, assuming all prior year budgets are closed.

You should note that the FY08 Part B Entitlement allocations are less for many districts. There are several factors that may be attributed to the reduction:

1) The amount of annual increase to the Part B grant award has declined from 17.25% in 2003 to 1.57% when compared to FY07.

2) IDEA 2004 requires LEA Part B (*section 611) calculation to be based on three components: (1) the base amount sometimes referred to as the hold-harmless amount. Any funds remaining above the base amount are allocated based on two separate calculations as follows: (2) 85% of the remaining amount is allocated on the basis of "enrolled" children in public and private elementary and secondary schools, and (3) 15% of the remaining amount is allocated on the number of children in poverty as defined by the state agency. In Missouri, this measure is the number of free and reduced lunch children.

Since 2001, the LEA Part B calculation has included an additional factor called the demographer's estimate of children which primarily identifies, through a statistical method, children aged 3-4 and 18-21.  This calculation significantly increased most districts' child count.
The demographer's estimate does not meet the IDEA requirement for allocation of Part B funds which requires 85% of the "remaining funds"
calculation to be applied against "enrolled" children. This one change has a significant impact on child count for many districts.

3) Changes in a district's enrolled child count and/or free and reduced count.

The federal funding trend for Part B has been downward for several years and there is no reason to believe this will change in the near future.
Therefore, districts should budget Part B funds in a conservative manner for FY09 and subsequent years.

You can compare the changes in district population and free/reduced lunch count numbers by viewing the "Allocation Details" on both FY07 and
FY08 applications.

The FY08 Part B district spreadsheet which compares the FY07 allocation to the FY08 grant allocation is posted on our website under the heading "Part B Entitlement" at:  http://dese.mo.gov/divspeced/Finance/index.html.

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Missouri Department of Elementary and Secondary Education
Division of Special Education
P.O. Box 480
Jefferson City, MO 65102
Email:  webreplyspe@dese.mo.gov
Phone: 573-751-5739   Fax:  573-526-4404

 

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