American Reinvestment & Recovery Act (ARRA) Overview of Funding to Pennsylvania School Districts Webinar March 17 & 19, 2009

Presenters Diane Castelbuono, Deputy Secretary for Elementary and Secondary Education Michael Walsh, Deputy Secretary for Administration John Tommasini, Special Education Sue Leonard, Special Education Renee Palakovic, Federal Programs Cindy Rhoads, Federal Programs Barbara Nelson, Budget and Fiscal Management Carle Dixon, School Facilities

Purpose Provide an overview of the education provisions of the American Recovery & Reinvestment Act (ARRA). Identify the ARRA funding going to Pennsylvania school districts and charter schools. Explain specific program requirements to facilitate planning. Explain anticipated accountability requirements for ARRA funds.

Goals of ARRA Spend funds quickly to save and create jobs Raise student achievement through school improvement and reform rigorous college and career readiness pre-k to college and career data system teacher effectiveness and equity support to struggling schools Ensure transparency, reporting and accountability Invest one time ARRA funds thoughtfully

Agenda Review Individual Funding Sources State Fiscal Stabilization Fund (SFSF) Title I IDEA Other Title I School Improvement Title IID Homeless Vision for LEA Planning for Uses of Funds Application Process Anticipated Reporting Requirements

ARRA Education Funding to Pennsylvania over two years Direct aid to districts for k-12: $2.6 billion State Fiscal Stabilization Funds Pa Basic Education Funds: $418 million in 2009-10 $735 million in 2010-11 SFSF Grants to school districts: $317 million Title I: $383 million IDEA: $384 million

Basic Education Funding Increase (funded using SFSF) $418 million in 2009-10; $735 million in 2010-11 Distributed according to Funding Formula adopted in 2008-09 budget (slightly modified) Permitted Uses of Funds by LEAs An amount equal to up to 4.1% of the district’s increase over last year’s BEF formula Any BEF expenditure (no restrictions) 80% of remainder of increase must be used to expand programs and services from statutory list of specific programs – 24 P.S. 25 - 2502.49

Permitted Uses of Increased BEF: Sustainable/Long Term Ideas Increase in instructional time Extend the school day Extend the school year Tutoring Implementation high rigor curricula/advanced courses Professional development to promote college and career ready high school graduates Class size reduction Pre-k or full day kindergarten Teacher or principal incentives in struggling schools School library services

SFSF Grants to School Districts $317 Million: distributed by relative share of Title I funding May be used for any of the following: Modernization, renovation and repair of school facilities and/or Any activity authorized under: ESEA/NCLB IDEA Carl D. Perkins Career and Technical Education Act Adult and Family Literacy Act Should be spent on one-time, short term expenditures that can be funded within two years and do not need to be sustained.

One Time/Short Term Ideas for SFSF Grant Funds Lost local tax revenue to avoid teacher layoffs or program cuts Complete Classrooms for the Future deployment in high school or middle school Improve science labs in middle/high schools Purchase elementary school science exploration kits (Science! It’s Elementary) Recruitment bonuses Pilot programs for teacher compensation incentives Career & Tech Ed Equipment

One Time/Short Term Ideas con’t. Library materials Adolescent literacy curricula & training Tutoring State of the art Assistive Technology Professional Development Data collection tools Advanced Placement/International Baccalaureate Program Modernize and upgrade school facilities

Basic Education Funding and SFSF Grants BEF and SFSF Grants roll out PaPACT application will open on April 15 Due June 1 Applies to Basic Ed Funding (which now includes AGB and EAP) and SFSF Grants

Title I Regular 09-10 Funds: amount TBD (available 7/1/09) ARRA Supplemental Grant: $383 Million to school districts ARRA Supplemental Grants are in addition to regular Title I funds and may be used to increase or expand current Title I programs.

Title I Supplemental Funds Supplemental Title I funds roll out 2009-10 Federal Programs Consolidated Application will open on April 5, 2009 Supplemental Title I applications will be due on May 15, 2009 All regular Title I rules and set-asides apply to these funds Pennsylvania intends to apply to U.S. DOE for permitted waivers as appropriate

Permitted Uses for Supplemental Title I Funds Identify and train highly effective teachers to be instructional coaches Intensive year long prof dev to build teacher capacity Align Title I pre-k programs with early learning k-3 standards High quality online courseware for high school math and science Use longitudinal data systems for continuous improvement at classroom level Reading or math coaches

IDEA Regular IDEA Funds: TBD July 2009 ARRA Supplemental IDEA: $384 Million Application for supplemental: sent April 13, 2009 due date May 18, 2009 Pennsylvania intends to apply to U.S. DOE for permitted waivers as appropriate

Supplemental IDEA Funds Supplemental IDEA must be used consistently with the current IDEA, Part B statutory and regulatory requirements A portion of the supplemental IDEA funds must be distributed to IUs for equitable participation activities LEAs may reduce the level of expenditures for the education of children with disabilities made by the LEA from state and local funds by up to 50% of the amount of supplemental IDEA funds, as long as the LEA uses freed-up local funds for ESEA authorized activities Supplement and supplant requirements remain applicable for the use of supplemental IDEA Funds

Permitted Uses for Supplemental IDEA Funds State-of-the art assistive technology devices and training in their use Intensive district-wide professional development to improve outcomes for students with disabilities Capacity to collect and use data to improve teaching and learning Transition coordinators to work with employers in the community to develop job placements for youth with disabilities

Short Term vs. Long Term Spending 2009-10 2010-11 After 2011 IDEA Stimulus Funds, $384 million Title I Stimulus Funds, $383 million SFSF Grants, $317 million IDEA regular funding, $405 million Title I regular funding, $574 million BEF (funded w/SFSF) $418 million for 2009-10 $735 million for 2010-11 Basic Ed Funds $5.564 billion (incl. $275 million in AGB $66 million in EAP) Funding not sustained. Must be spent on one time/short term needs. Short Term vs. Long Term Spending IDEA regular funding, $405 million Title I regular funding, $574 million BEF $418 m for 2009-10 $735 million for 2010-11 Additional BEF for 2011-12, 2012-13 . . . Basic Ed Funds $5.564 billion (incl. $275 million in AGB $66 million in EAP) 2009-10 2010-11 After 2011

Planning Needs Assessment School Improvement Plans: Getting Results! Framework (if no SI Plan) Evaluate short and long term needs Rank according to what investments are most important to increasing student learning for lowest-achieving students. One time/short term Materials/supplies Technical expertise Facility upgrades Refer to slides 10 & 11 Sustainable/long term Increase in instructional time Pre-k and full day k High rigor course work Refer to slide 8

School Modernization One time/short term idea Funds may be used for: Renovation Repair Funds cannot be used for: Construction of a new school Payment of maintenance costs Stadiums (facilities used for athletic contests, etc.) Purchase or upgrade of vehicles Improvement of central office admin, operations, or logistical support facilities

School Modernization, con’t. Green and Sustainable Schools Energy Portfolio Management Benchmark Current Energy Usage ESCO (Energy Service Contracts) Energy Savings Pay For Improvements Over 15 years Capital Improvements HVAC, Roofing Systems, Windows Plan Con Expedited Review Process

Application Process eGrant System for applications Timeline Supplemental Title I – April 5/May 15 PaPACT – April 15/June 1 Basic Ed/SFSF/AGB/EAP Supplemental IDEA – April 13/May 18

Transparency & Accountability Reporting Frequent progress reports made available to the public State ARRA website: www.pde.state.pa.us/stimulus Data to include: # of students served Academic improvement Layoffs avoided Class size impact Property tax increase avoided Energy efficiency Special Ed identification (for IDEA) Special Ed services (for IDEA) Pre-school services (for IDEA)

Other funds PDE will distribute Title I School Improvement $121 Million Educational Technology $12.6 million by formula $12.6 million competitive Homeless $2.8 million

Competitive ARRA Grants … Incentive Grants “Race to the Top” grants to states “Invest in What Works and Innovation” grants to districts and non profit groups Teacher Quality Enhancement (Equity) Teacher and Principal Incentives Statewide Data Systems Working groups will be convened by April 6 Submit notice of interest to ra-stimulus-pde@state.pa.us

Contact Information By email: Ra-stimulus-pde@state.pa.us By phone: (717) 214-5972 Questions will be responded to within one business day

Online Resources PDE Stimulus Website: PA Stimulus Website: http://www.pde.state.pa.us/stimulus PA Stimulus Website: http://www.recovery.pa.gov USDE Stimulus Website: http://www.ed.gov/recovery Federal Stimulus Website: www.recovery.gov