Transcript PASBO Management Series: The Elements of

Tracking Stimulus Funding: Is
Your Accounting Train on Track?
2010 PASBO Conference
Thursday, March 11, 2010, 9:00-10:00 A.M.
Hershey Lodge & Convention Center
Empire A-B-C
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
1
School District Perspective
Christopher Berdnik
Chief Financial Officer/Chief Operations Officer
School District of Pittsburgh
Roberta Strauss
Associate Director, Budget Development,
Management and Operations
School District of Pittsburgh
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
2
ARRA began 2/17/2009
• Creation of a 4-Person Stimulus Team
including the Superintendent, Deputy
Superintendent, CAO, CFO/COO.
• Priorities were costed out and agreed
upon over a series of meetings, and
presented to the Board of School Directors
in March and April 2009.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
3
PDE initially told us to expect:
•
•
•
•
Basic:
ARRA IDEA:
ARRA Title I:
SFSF:
• Total
$ 5.05 million
$ 7.85 million
$16.12 million
$13.62 million
$42.64 million
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
4
Spending Plan
• Basic Ed SFSF $5 million was initially
budgeted to save 100 low-seniority
General Fund teaching positions.
• IDEA – The ARRA IDEA allocation gave
us our first opportunity to make use of the
IDEA Maintenance of Effort provision.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
5
Spending Plan - IDEA
• Save 30 Special Ed Teaching Positions
- used a higher average salary than for Basic Ed positions
• Hire 5 new Special Ed Curriculum Specialists
• Return students to District from Approved
Private Facilities, using both contracts and new
staff
• Expand Behavioral Support services
• Professional Development for Special Ed and
Partner Teachers
• Equitable Participation, Charter Schools
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
6
Spending Plan – Title I
• 2/3 to be spent on the Literacy component
of an innovative 2-year summer program
for middle grade students, including
waived set-asides from SES and School
Choice transportation.
• 16 new positions (14 middle grade literacy
interventionists and 2 central literacy staff)
• Non-public math instruction
• School-based parental involvement
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
7
Spending Plan – SFSF to LEAs
• Full-funding of afternoon activities to
complement the summer literacy program,
including new staff to manage the program
• IT and Assessment support to track
summer program results
• School modernization costs
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
8
Reality Check
• Pittsburgh’s actual SFSF to LEA allocation was zero.
• The RFP process for summer activities was redesigned
to include literacy, with private funding requested for
service providers with no Title I tie-in.
• Summer managers moved to funds available from IDEA
MOE.
• No funds for school modernization.
• In February, the Federal portion of the basic subsidy had
to be revised to include the entire $18.6 million, which
now supports 202 teacher salaries.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
9
Guidance Documents
• 12/18/09 Revised Federal Guidance:
http://www.whitehouse.gov/omb/assets/memora
nda_2010/m10-08.pdf
• PA Department of Education Section 1512
Reporting Site
http://www.portal.state.pa.us/portal/server.pt/co
mmunity/american_recovery_and_reinvestment
_act/17696/section_1512_reporting/613064
• The PDE Site contains the pdf documents, Stepby-Step Guide for eGrants and PDE Quick
Guide for 1512 Revised Jobs Reporting, Jan
2010
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
10
Initial Calendar for
ARRA Section 1512 Reporting
•
•
•
•
9/18/09 One-Time Survey
10/5/09 Data Collection through 9/30/09
12/17/09 Data Collection through 12/31/09
12/23/09 Heads-up from PASBO that USDE
changed the guidance for the 12/31 reports on
12/18/09
• 12/28/09 notice from PDE that changes to the
12/31 reports would be required
• 1/6/10 notice from PDE that revised reports
for 12/31/09 would be due 1/13/10
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
11
PDE e-grants menu – top half
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
12
PDE e-grants menu – bottom half
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
13
Expenditure Tracking
• ARRA funds have discrete coding within
the District’s system, as all supplemental
funds do.
• In July 2009, a team from the U.S.
Department of Education, Office of
Inspector General (OIG) came to
Pittsburgh to review our control systems to
ensure the proper administration of ARRA
funds.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
14
Tracking job impact
• We maintain a Master Job Impact Excel
document containing:
–
–
–
–
–
–
–
–
Employee identifier (e.g. IDEA Employee 15)
Employee name
Job title
FTE
Impact date
Hours in a normal workday for each employee
Standard number of workdays for each quarter
Actual number of workdays for each quarter for each
employee, with notes explaining differences from the
maximum.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
15
Master Job Impact Worksheet
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
16
Master Job Impact Worksheet
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
17
Master Job Impact Worksheet
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
18
Job Impact Document
• The job impact document allows us the
flexibility to calculate answers to whatever
questions we are being asked for reporting
purposes.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
19
Vendors, Charter Schools,
Non-Public
• We have made telephone contacts to each
charter school, vendor, and non-public school
representative each quarter, asked the required
questions and backed up the answers with email verifications. Impacted staff are included
on the master document and reported.
• To comply with reporting for the Food Service
Equipment grant, we verified information about
each piece of equipment that was purchased via
phone contacts with the vendor.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
20
Summer program vendors
• Since the service provider list for the
summer literacy program is substantial
and will be generating many new jobs in a
short period of time, a job information
sheet has been included with the contract
package for each vendor.
• The summer program vendors will submit
job information on a monthly basis.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
21
More Federal Review
• In January 2010, a team from the U.S.
Government Accountability Office
conducted a one-hour conference call to
discuss our State ARRA job reporting
methodology and the types of contacts
and support that we receive from PDE.
• We expressed our strong preference for
the revised version of the 12/31/09
reports.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
22
Example of revised reporting data
entered into e-grant
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
23
PAEdTrak System Announced 3/3/10
• E-grants will not be used to collect ARRA
reporting for the 3/31/10 quarter.
• User registrations had to be entered by
3/10/10 in the PAEdTrak system.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
24
Title II/D EETT Award
• On February 12, Pittsburgh was awarded
$2,999,994 in ARRA Title II/D funds, which was
the entire amount of our application.
• The Classrooms for the Future program,
currently in 3 schools, will expand at 2 of those
schools, extend to 2 more, plus the PPS/PFT
Promise Academy.
• Professional development, whole-school
wireless access, and distance learning
equipment
• 2 Technology Integration Coaches; 1 Computer
Repair Technician; 1 Network Administrator
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
25
Post-Stimulus Plans
• While it is doubtful that all of the new
activities can be maintained post-ARRA,
the program to bring Emotional Support
students back into the District’s
classrooms is having a major positive
impact in the District’s cost-effective
delivery of Special Education services.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
26
Intermediate Unit Perspective
John E. Brenchley
Director of Management Services
BLaST IU 17
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
27
IDEA
• Tracking Stimulus Funding: Is Your
Accounting Train on Track?
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
28
IDEA and IUs
• IUs are identified by PA as the LEAs to the
Federal Government
• Distributed based on project applications
– Direct IU services
– Pass through to districts
• Every IU has differences
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
29
Review of Maintenance of Effort,
50% rule and Budgeting for IDEA
Stimulus Funds
Reporting Issues/concerns
30
Maintenance of Effort (MoE)
• A federal requirement that requires grant
recipients and/or sub-recipients to
maintain a certain level of state/local fiscal
effort to be eligible for full participation in
federal grant funding.
• Grant recipients or sub-recipients not
meeting MoE requirements face loss of a
portion of their federal funds.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
31
§300.203 - Exceptions to MoE for IDEA
• The voluntary departure or departure for just cause of
special education personnel.
• Decrease in enrollment of children with disabilities.
• A “high cost” child moves out of the district, ages out, or
no longer needs the program.
• The purchase of costly capital expenditures, such as a
special education bus, is paid off.
• The assumption of cost by the high cost fund operated
by the SEA.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
32
MoE Quick Reference
• Add together the Total ARRA IDEA Funds plus
the 2009-10 Regular IDEA Funds Allocation
• Compare to the 2008-09 Allocation.
• All of the maintenance of fiscal effort relief that
comes as a result of ARRA funds will apply to
fiscal year 2009-10.
• LEAs may use up to 50% of the increase to
reduce the level of state and local
expenditures.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
33
MoE Quick Reference
• LEAs must use the freed-up local or state
funds for activities that could be supported
under the ESEA.
• If the LEA takes advantage of this provision,
the required MoE for future years is reduced
consistent with the reduction it took, unless the
LEA increases the amount of its state and local
expenditures on its own.
• Be prepared to collect and report information
on the use of the freed-up funds.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
34
§300.205 – Adjustments to Local Efforts
• The “50% rule”
• If an LEA receives an increase in its IDEA
allocation from one fiscal year to the next,
the LEA may reduce its MoE obligations
by half of the increase.
– “Freed-up funds” must be used to
carry out activities that could be
supported with funds under the ESEA.
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
35
Discussion
• I’m going to use my IDEA stimulus money
to buy new chemistry books…….
– What’s wrong with this??
– Why might someone think this – is it right?
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
36
PA School District IDEA MoE Revenue Calculation
Local/State Funds
IDEA – Supplemental Funds
IDEA – Existing Funds
Current State/Local
and Federal Funding
of Special Ed
Total $2,800,000
$1,800,000
$1,000,000
37
2008-09
PA School District IDEA MoE Revenue Calculation
Local/State Funds
IDEA – Supplemental Funds
IDEA – Existing Funds
Current State/Local
and Federal Funding
of Special Ed
Total $2,800,000
MoE Revenue
Calculation for IDEA
Stimulus Funds
The Total ARRA IDEA
Allocation (plus the Regular
2009-10 IDEA allocation) is
used to determine the
Maximum LEA Maintenance of
Effort Reduction Amount
50% ($400,000)
50% ($400,000)
$1,800,000
Increase in
Stimulus Funds
= $800,000
$1,000,000
38
2008-09
PA School District IDEA MoE Revenue Calculation
Local/State Funds
IDEA – Supplemental Funds
IDEA – Existing Funds
Current State/Local
and Federal Funding
of Special Ed
MoE Revenue
Calculation for IDEA
Stimulus Funds
Total Special Ed
Costs including
Stimulus Funds
Total $3,200,000
Total $2,800,000
$1,800,000
$1,000,000
50% ($400,000)
50% ($400,000)
50% ($400,000)
50% ($400,000)
Increase in
Stimulus Funds =
$800,000
$1,400,000
$1,000,000
39
2008-09
2009-10
PA School District IDEA MoE Revenue Calculation
Local/State Funds
IDEA – Supplemental Funds
IDEA – Existing Funds
Current State/Local
and Federal Funding
of Special Ed
Total $2,800,000
All IDEA Funds must
be used for
expenditures
allowable under IDEA
guidelines.
Total Special Ed
Costs including
Stimulus Funds
Total $3,200,000
50% ($400,000)
50% ($400,000)
$1,800,000
$1,000,000
LEA MoE Reduction
(Freed-up Local Funds)
$1,400,000
($400,000)
Local funds “freed up”
under the MoE 50%
Rule must be used to
carry out activities
authorized under the
ESEA/NCLB.
$1,000,000
40
2008-09
2009-10
Example of Expenditure of IDEA Stimulus Funds
Local Funds
IDEA – Supplemental Funds
IDEA – Existing Funds
Current State/Local
and Federal Funding
of Special Ed
LEA MoE Reduction
Amount
(Freed-up Local Funds)
District Purchase of a
Computer Lab
Total $3,200,000
• 20% of the students that will
use the lab have IEPs
50% ($400,000)
• 20% of the cost of the
computer lab would be an
allowable expenditure of
IDEA Stimulus Funds
$1,400,000
50% ($400,000)
100% of IDEA
Stimulus Funds must
be spent on IDEA
allowable
expenditures
$400,000
• 80% of the computer lab can
be paid for with Local Funds
“freed up” through 50% MoE
Rule Under 34 CFR §300.205
$1,000,000
41
2009-10
IU 17 Example - Montgomery
• 08/09 IDEA $137 k
• 09/10 IDEA and Stimulus IDEA $304 k
• Increase $167 k
– 50% = $83.5 k
• Special Ed cost historically $972 k
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
42
Montgomery – con’t
• $83.5 new IDEA expenses
– Assistive Tech
– New special ed hires
– Additional IU services
– Special ed proportional share (e.g. computer
lab, etc.)
• Submit invoice with “Stimulus IDEA”
– Use one of the back up forms for ease of
reporting (spreadsheet breaking out data)
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
43
Montgomery – con’t
• $83.5 k – 50% rule
– Submit invoice with “Stimulus – 50% rule”
– Use part of the $971 k not identified
previously as IDEA or ACCESS expenditures
• Put that data on the spreadsheet
– What if it’s not fully paid
• Need to report on the amount received
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
44
Montgomery – con’t
• Freed up money needs to be accounted for – identify big
ticket items for ease (textbook series, regular ed portion
of computer lab, etc.)
– Spreadsheet maintained for documentation
purposes
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
45
Reporting
Requirements/Considerations
• Quarterly reports due on PAEDTrak
– Spread sheets will help to organize data
• Schedule of federal awards – separate
funding similar to the way you account for
IDEA now
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
46
Considerations – cont.
• Employees supported by stimulus need to
be coded as “federal”
– Social Security
– Access billers
• Need to know who is billing
Pennsylvania Association of School Business Officials
Developing educational leaders in school operations.
47
Questions/Discussion
Pennsylvania Association of School Business Officials
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