SC Department Funds Under The Elementary, Secondary Schools And Adult Education Emergency Relief Program

As additional funds under the Elementary and Secondary Schools Emergency Relief (ESSER) program are subgranted to Local educational agencies (LEAs), the South Carolina Department of Education (SCDE) wanted to address the use of these funds and the potential impact on LEA fiscal responsibilities under the Individuals with Disabilities Education Act (IDEA) for the IDEA local Maintenance of Effort (MOE) requirement.

The IDEA contains an LEA MOE requirement in addition to the state MOE requirements in the Coronavirus Aid, Relief, and Economic Security (CARES) Act, Coronavirus Response and Relief Supplemental Appropriations (CRRSA) Act, and American Rescue Plan (ARP) Act, and the State and LEA maintenance of equity requirements in the ARP Act. Under section 613(a)(2)(A)(iii) of IDEA and 34 CFR § 300.203, an LEA must both: (1) budget, for the education of children with disabilities, at least the same amount as the LEA spent for that purpose from the same source (either local funds or a combination of State and local funds, on an aggregate or per capita basis) in the most recent fiscal year for which information is available; and (2) expend, for the education of children with disabilities, at least the same amount as the LEA spent for that purpose from the same source (either local funds or a combination of State and local funds, on an aggregate or per capita basis) for the preceding fiscal year. Under the IDEA, these budget and expenditure requirements for LEA MOE are termed “eligibility” and “compliance” standards, respectively. While the IDEA does not provide for MOE waivers, there are exceptions and an adjustment to the LEA MOE requirements that may allow an LEA to reduce its MOE budget and expenditures below the level of expenditures for the education of children with disabilities made by the LEA for the appropriate comparison year (the most 52 recent fiscal year for which information is available (for the eligibility standard) and the preceding fiscal year (for the compliance standard)). (See 34 CFR §§ 300.204 and 300.205.)

For the purposes of the IDEA, CARES Act, CRRSA Act, and ARP Act funds are considered Federal funds and may not replace state and local funds in LEA MOE calculations. As a result, if an LEA uses CARES Act, CRRSA Act, or ARP Act funds to replace state or local funding for the education of children with disabilities, this may result in a failure of the LEA to meet the budget and/or expenditure requirements for LEA MOE under IDEA. If an LEA fails to meet the MOE budget requirement, the LEA is not eligible for an IDEA Part B subgrant. If the LEA fails to meet the MOE expenditure requirement, then the SEA is liable in a recovery action to return non-Federal funds to the Department in an amount equal to the amount of the LEA’s MOE shortfall or the amount of the LEA’s IDEA Part B subgrant in that fiscal year, whichever is lower. SEAs may, but are not required to, seek reimbursement from the LEA that failed to meet MOE.

Although ESSER funds may be used for any activities authorized by the IDEA, using ESSER funds for special education and related services that are typically paid through state and local funds will reduce the LEA’s MOE and could result in a failure to meet that standard. Instead, LEAs may wish to consider ESSER funds for those exceptional or one-time expenditures such as adaptive or assistive technology and services to address loss of learning. Further, since IDEA has an obligation period of twenty-seven months, using ESSER funds for some activities currently charged to that source will make more IDEA funds available for costly or unexpected expenditures.

While no waivers or additional flexibility have been granted for any IDEA requirements due to the COVID-19 pandemic, there are four applicable exceptions for local MOE found at 34 C.F.R. Section 300.204 and listed below:

(a) The voluntary departure, by retirement or otherwise, or departure for just cause, of special education or related services personnel.

(b) A decrease in the enrollment of children with disabilities.

(c) The termination of the obligation of the agency, consistent with this part, to provide a program of special education to a particular child with a disability that is an exceptionally costly program, as determined by the State Educational Agency, because the child—

(1) Has left the jurisdiction of the agency;

(2) Has reached the age at which the obligation of the agency to provide a free appropriate public education (FAPE) to the child has terminated; or

(3) No longer needs the program of special education.

(d) The termination of costly expenditures for long-term purchases, such as the acquisition of equipment or the construction of school facilities.

The responsibility to provide a FAPE for students with disabilities is met using multiple funding sources—each affects the other. In this unusual and unpredictable time, it is especially important for finance officers and special education directors to work collaboratively and monitor expenditures frequently to ensure efficient use of those funds and compliance with the IDEA fiscal requirements.

Please use this link https://tinyurl.com/AdminofAE21-22 to complete a survey verifying your adult education director’s areas of certification, assignment status, and salary for the 2021–22 school year. This survey must be completed no later than Friday, July 30, 2021. There are three status options which your adult education director may be assigned. Please choose the option that reflects your adult education director's assignment. Remember that the information listed on this survey must match the information listed on the Professional Certified Staff (PCS) listing. You may only list one individual as being the adult education director.

You are reminded that adult education directors who are paid 100 percent with funds allocated by the Office of Adult Education may not be assigned duties other than that of being the adult education director. For example, a full-time employee who serves as the adult education director but also supervises or assists with programs such as alternative education, vocational education, school-to-work, coaching, or other assigned duties would select Option B status.

There are five areas of certification that are acceptable for the adult education director. The acceptable areas are 7B, 7C, 7D, 7E, 70, 71, 72, 73, or 74. An adult education director may also hold a professional education certification in any area with an advanced degree in adult education. Adult education directors that are paid 100 percent from funds allocated by the Office of Adult Education are expected to offer adult education classes year round. An abbreviated summer schedule is permitted, if approved by the Office of Adult Education. All adult education directors are required to attend all state-level and regional adult education training sessions sponsored by our office.

For questions regarding the areas of certification, assignment status, and salary of the district's adult education director, contact Mike King at mrking@ed.sc.gov. If you have any questions regarding the completion of this survey, please contact Kammie Reed at kreed@ed.sc.gov.