Transcript Perkins CTE Distribution and Uses of Funds

Perkins CTE Distribution and
Uses of Funds
Perkins Fiscal Training Part II-October 15, 2012
Goals

Explain the distribution of Perkins funds to local
consortia

Review required and permissive uses of funds

Provide guidelines for using the funds
{Part I-Governance, 2012-2013 funding, and
requirements
www.cte.mnscu.edu/professionaldevelopment }
Distribution of Perkins Funds to Local
Consortia
MN Perkins CTE Funds 2012-2013
Federal Fiscal Year 2012, State Fiscal Year 2013
FFY2012
Estimate
Title I Allocation
16,684,637
Title I Formula Funds
12,763,747
Title I Reserve Funds
1,418,194
State Administration
834,232
State Leadership
1,668,464
Title II Allocation (Tech Prep)
0
Amount of Tech Prep to be Consolidated
with Basic Grant
0
Total
16,684,637
Secondary/Postsecondary Split
ALLOTMENT AVAILABILITY OF FEDERAL
FUNDS.
A cooperative agreement between the
commissioner of education and Minnesota
State Colleges and Universities will annually
provide for the distribution of federal funds
between secondary and postsecondary career
and technical programs. Distribution to local
education agencies must be determined by
state and federal law.
- Minnesota Rule 3505.1700
Secondary/Postsecondary Split
MDE and MnSCU have negotiated a split
under which:
• 42% of funds are distributed to secondary
recipients, and
• 58% of funds are distributed to
postsecondary recipients.
Secondary Distribution
The Perkins Act specifies that once the split is
determined, funds will be distributed to secondary
recipients on the following basis:
• 30% will be distributed on the basis of individuals
between the ages of 5 and 17 inclusive using the
most recent US Census data available
• 70% will be distributed on the basis of individuals
between the ages of 5 and 17 inclusive in
households of poverty using the most recent US
Census data available
Postsecondary Distribution
The Perkins Act specifies that once the split is
determined, funds will be distributed to
postsecondary recipients on the following basis:
• 100% will be distributed on the basis of
individuals in career and technical education
programs receiving PELL or Bureau of Indian
Affairs assistance
Reserve Distribution
The Perkins Act allows states to utilize an
alternate method to distribute up to 10% of
Perkins funds to address any of three factors:
1. rural areas;
2. areas with high percentages of career and
technical education students; and
3. areas with high numbers of career and
technical education students.
Reserve Distribution
Minnesota opted to address two of these three
factors for the distribution of reserve funds to
local recipients:
1. rural areas;
2. areas with high numbers of career and
technical education students.
Reserve Distribution
The state distributes
• half of the reserve on the basis of the
geographic area of the consortium
• half of the reserve on the basis of the number
of CTE participants in secondary and
postsecondary programs, weighted 3:1
toward secondary participation to reflect
programming formerly conducted under tech
prep
To better understand the process for
distributing funds to Perkins consortia,
please refer to the spreadsheet posted
with the presentation documents.
For one consortium, the postsecondary
formula allocation is based on 1,344 PELL
recipients at the college out of a state total
of 48,829 PELL/BIA CTE recipients at all
colleges times the postsecondary formula
allocation
= (1,344/48,829) x $7,402,973
= .0275… x $7,402,973
= $203,764.08
In the same consortium, the secondary
formula allocation is calculated for each
district based 30% on its census population
5-17 and 70% on its census population 5-17
for households of poverty against a state
total census count of 927,754 and a state
total poverty census count of 123,968.
e.g. for District 0064
= (4,750/927,754) x .30 x $5,360,774
+ (470/123,968) x .70 x $5,360,774
= $22,460.98
When this is done for all nine secondary
districts the total is:
District 0060 18,456.61
District 0061 23,786.55
District 0062
1,912.99
District 0063 28,791.73
District 0064 22,460.98
District 0065 22,407.71
District 0066 18,199.57
District 0900
0.00
District 4000
0.00
TOTAL
136,016.14
In this example, District 4000 is a
charter school and District 0900 is a
cooperative school district. As such,
neither has a unique geographic
area against which census data are
applied, so the formula calculation
for each of those districts is zero.
The districts remain, however,
members of the consortium and are
entitled to participate in the
development of the plan and the
use of the funds.
District 0060
District 0061
District 0062
District 0063
District 0064
District 0065
District 0066
District 0900
District 4000
TOTAL
18,456.61
23,786.55
1,912.99
28,791.73
22,460.98
22,407.71
18,199.57
0.00
0.00
136,016.14
Reserve funds are based half on weighted
participation and half on geographic area.
Using 2,552 secondary participants
(including the intermediate and charter
districts) and 5,687 postsecondary
participants and a geographic area of
559.09 square miles:
= (2,552/107,229) x ¾ x .5 x $1,418,194
+ (5,687/152,287) x ¼ x .5 x $1,418,194
+ (559.09 mi2/84,319.36 mi2) x .5 x $1,418,194
= $23,979.02
These funds are divided 42% secondary and
58% postsecondary.
Postsecondary
Geographic
Participant
ReserveReserve
Calculation
Reserve Calculation
Calculation
Secondary Area
Participant
So how much of the Perkins allocation
belongs to District 0064?
Zip
Nada
Notapenny
Zilch
Naught
Nuttin’
Perkins is not an entitlement!
Minnesota relies on the language from Section
131(f)(2) of the Perkins Act which states:
"Funds allocated to a consortium ... shall be
used only for purposes and programs that
are mutually beneficial to all members of
the consortium .... Such funds may not be
reallocated to individual members of the
consortium for purposes or programs
benefitting only 1 member of the
consortium."
Reallocation:
Funds are received by the local
consortium for the period of the state
fiscal year only (July 1 through June 30).
At the end of this period, unused funds
are returned to the state.
The state will combine funds returned
from both the secondary and
postsecondary levels into a single pot
and will redistribute those funds to all
local consortia on the basis of the
distribution formula without using the
reserve calculation.
We hope to generally do this as early in
the Fall as possible.
• Redistributed funds will be handled
as a separate award and accounts
will reflect the federal fiscal year under
which the funds were first granted
(prior to redistribution).
• Funds will be used in accordance with
the current year’s local plan – any
changes must be approved by state
staff.
• Once allocated, redistributed funds
should be used before the current year
funds – First In/First Out.
Uses of Perkins Funds
General Authority
Each eligible recipient that receives
funds under this part shall use such
funds to improve career and technical
education programs.
- Carl D. Perkins Career and Technical Education
Act, Section 135
Required Activities
The Act requires that certain activities be
conducted within career and technical
education programs if supported with
federal funds. The Act does not require
locals to use federal funds for these
activities, but all required activities must
be addressed in the local plan if Perkins
funds are received.
1.
Integration of academics (or liberal arts and
sciences) with career and technical education
programs
2.
Link CTE at the secondary and postsecondary
levels through at least one program of study (MN
State Plan requires at least seven/consortium)
3.
Provide students with understanding of all
aspects of an industry
4.
Develop, improve or expand the use of
technology in CTE
5. Provide in-service and pre-service
professional development
6. Develop and implement CTE program
evaluations
7. Initiate, improve, expand and
modernize quality CTE programs
8. Provide services that are of sufficient
size, scope and quality to be effective
9. Provide activities to prepare special
populations for high-skill, high-wage,
or high-demand occupations that will
lead to self-sufficiency
Minnesota has two additional required
activities:
10.Collaboration/Brokering of
Service/Continuum of Services
11.Articulation, PSEO, Concurrent
Enrollment, or other recognized
strategies
Permissible Activities
The Act allows certain activities to be
conducted within career and technical
education programs IF required activities
have been addressed.
1. Involving parents, businesses and
labor organizations
2. Providing career guidance and
academic counseling
3. Supporting local education and
business partnerships
4. Providing programs [specifically
designed] for special populations
5. Assisting career and technical
student organizations
6. Mentoring and support services
7. Leasing, purchasing or adapting
equipment to support academic and
technical skill attainment
8. Teacher preparation programs
9. Developing and expanding
postsecondary program offerings at
times and in formats accessible for all,
including distance learning
10.Develop initiatives to facilitate subbaccalaureate to baccalaureate transfer
11.Support for entrepreneurship education
and training
Local Administration
• Managing the money and managing the
data
• May be supported by no more than 5%
of consortium grant funds
• If the consortium sub-grants funds, the
total of all administrative expenses may
not exceed 5% of the consortium award
Guidelines for Using Funds
Fiscal Host Responsibility
• Receive and safeguard grant funds on
behalf of the consortium in accordance
with state and federal requirements
• Maintain separate disbursement
records and receipts, make financial
records/documentation available
• Disburse funds in accordance with the
grant
Funds allocated to a consortium shall
be used only for the purposes and
programs mutually beneficial and agreed
to by all members of the consortium and
may not be reallocated to individual
members for programs benefitting only
one member.
Administrative costs are for those
activities necessary for proper and
efficient performance of eligible agency
duties, i.e. fiscal support, supervision of
activities, records retention, etc. The 5%
administration cap includes indirect costs
and costs for staff not directly related to
a specific goal/objective of the grant.
Allowable costs:
• Salaries for grant related activities – AllAll
timetime
must be
documented on the Personnel Activity Report. After 3 years the staff time must be
must
be documented on the Personnel Activity
sustained by the district and the consortium should show more funds going to
new/improvedAfter
programming.
Clerical the
supportstaff
may betime
chargedmust
to the grant
Report.
3 years
bewhen
working on a specific goal/objective and not administrative activities.
sustained by the district and the consortium
Workshop
expenses,
books
new
–
• Supplies
Supplies
– Workshop
expenses,
books
or new to
curriculum
previously
should
show
more
funds
going
new/notor
curriculum
previously
offered,
program
offered, or programnot
specific
to Perkins. You cannot
replace or
textbooks
of an
improved
programming.
Clerical
support
may
existing program. Promotional items are not allowed.
specific
to
Perkins.
You
cannot
replace
be charged to the grant when working on a
of –
anmeal/lodging
existing
program.
Promotional
Travel costs
meal/lodging
travel
to
• textbooks
for travel
tofor
professional
development
specific
goal/objective
and
not
administrative
conferences
is allowable
when info. is shared in order to increase overall program
items
are
not
allowed.
professional
development
conferences is
activities.
quality.
allowable when info. is shared in order to
increase overall program quality.
Sub-distributions
• Consortia may sub-distribute funds
on a competitive or other basis that
supports the consortium as a whole
• The consortium may NOT sub-distribute
funds on a formula basis
• Authority for spending decisions of the
consortium must remain at the level of
the consortium
Sub-awards – funds distributed by fiscal host to a
member district, college or outside entity in order to carry
out a goal/objective on behalf of the consortium.
• MDE grant – UFARS – FIN 428/628 and FIN 475/675,
OBJ codes 303/304
• MnSCU—fiscal host college expends funds from Basic
GL 384131, Reserve GL 384132 or Reallocated GL
384135 and a subrecipient college receipts and
expends funds from Subgrant GL 384134
Supplement, Not Supplant
Supplanting is the unlawful use of federal
funds to displace state or local funds.
Supplement, Not Supplant
Supplanting is determined on a case-bycase basis.
Federal funds cannot displace state or
local funds, but a local entity may (in rare
cases) use federal funds to support an
activity if the local entity can prove that
the activity would not have occurred
without the federal expenditure.
Supplement not Supplant – Federal funds may
not be used to pay for services, staff, programs or
materials that would otherwise be paid with state/
local funds. State/local funds must be used for all
activities that are the district/organization responsibility.
• Test #1 – Was the activity paid for in the prior year with
non-federal funds?
• Test #2 – Was the activity required by state/local law or
policy?
If the district can prove in the absence of federal funds it
would have eliminated the activity, it may use the federal
funds to support the activity, if allowable under Perkins.
Example 1 –
The Legislature reduced state funding
by 6% resulting in a reduction in force
that includes 3 CTE instructors.
The district may use federal funds to
support those positions.
The district must retain evidence (e.g.
legislation and school board minutes) to
support its action.
Example 2 –
The school district needs to replace
mathematics textbooks and decides to
shift state/local funds from CTE to
mathematics to make this purchase and
to maintain the CTE program with federal
funds.
Since in absence of federal funds the
mathematics expenditure shift would not
be made, this is unlawful supplanting.
ALWAYS check with the state before
entertaining any spending decision
that may be construed as supplanting!
Equipment Inventories
All equipment must be labeled as Perkins
and listed on an Equipment Record
An equipment inventory has been
provided to secondary fiscal agents and
must be updated and submitted annually
For postsecondary fiscal agents, the ISRS
inventory must be updated annually
Indirect Costs
Indirect costs are the assignable costs of
items such as heat and light to an
academic program, and those expenses
that benefit the entire entity and,
therefore, cannot be directly charged to a
specific cost category or project activity.
Indirect costs are allowable, but must be
included as part of the 5% administrative
set-aside.
Perkins CTE Financial Questions
• Please input your questions on the chat
function.
Perkins CTE Financial Resources:
MN CTE Website www.cte.mnscu.edu/
– Perkins IV Operational Handbook Section
III p. 24 Financial Requirements
www.cte.mnscu.edu/consortium_resources/index.
– FY12 Local Application Section III
Resources www.cte.mnscu.edu/forms/index.html
– Home page-FAQs
www.cte.mnscu.edu/index.html
Perkins CTE Financial Training Webinars
• Perkins Fiscal Procedures and Requirements–
Postsecondary Wednesday, October 17, 2012,
1:00 – 2:00 pm
• Perkins Fiscal Procedures and Requirements –
Secondary Wednesday, October 24 , 2012,
10:00 -11:00 am
www.cte.mnscu.edu
Upcoming events:
• Annual Perkins Consortium Coordinators Meeting
November 14, 2012
Minnesota Department of Education, Roseville, MN
• CTE Works! Career & Technical Education Conference
November 15, 2012
Crowne Plaza West, Plymouth, MN
• http://www.cte.mnscu.edu/events/index.html
Thanks for joining us today!
We value your feedback about today’s session.
Please click on the link in the chat window now to
complete the session evaluation form or go to:
http://www.cte.mnscu.edu/professionaldevelopmnindex.html
and find the “Evaluation” link for this webinar.
REMINDER:
For secondary participants, Continuing Education Units (CEU’s) will be made
available for teachers for this series of webinars. In order to get the necessary
certificates you MUST complete the session evaluation.
Slide 26
Presenters
JoAnn Simser, State CTE Director, [email protected]
651-201-1650
Shannon Kohlman, Grant Accountant, [email protected]
612-548-2067 Minnesota State Colleges and Universities
Dan Smith, Supervisor, Center for Postsecondary Success,
[email protected] 651-582-8339 Minnesota Department of
Education
Thank you for all you do for
CTE in Minnesota…