© 2012, Region One Education Service Center

Unlike a formula grant, a discretionary grant awards funds on the basis of a competitive process. The department reviews applications, in part through a formal review process, in light of the legislative and regulatory requirements and published selection criteria established for a program. The review process gives the department discretion to determine which applications best address the program requirements and are, therefore, most worthy of funding. Ed. Gov U.S. Dept of Education. © 2012, Region One Education Service Center

Formula grant programs are noncompetitive awards based on a predetermined formula. These programs are sometimes referred to as state-administered programs. The OSEP-administered Individuals with Disabilities Education Act (IDEA) has three formula grant programs, the Grants to States program authorized by Part B Section 611 for children ages 3 through 21; the Preschool Grants program authorized by Part B Section 619 for children ages 3 through 5; and the Grants for Infants and Families program authorized by Part C for infants and toddlers, ages birth through 2 and their families. ◦ ED.gov. U.S. Dept. of Education © 2012, Region One Education Service Center

Federal Entitlements, Division of Grants Administration Formula Funding Program Information (lists Federal Programs and State Programs Entitlements for State Program, Division of Grants Administration Competitive Grant Selection List, Division of Grant Administration © 2012, Region One Education Service Center

 All state and Federal grants will have a 20% threshold of total grant award per month, with the percentage aggregated each month  All expenditures above 20% will require amendments. Additional information may be needed by TEA to justify.  Previously- different percentages were allowed per month. (depending on type of grant, some were aggregated across months others did not) Applies to:  Formula grants, state funded Formula grants, federally funded  Discretionary competitive, state funded Discretionary competitive, federally funded  Discretionary noncompetitive, state funded Discretionary noncompetitive, federally funded © 2012, Region One Education Service Center

 No amendment needed in either formula or discretionary grant application as long as amounts do not exceed 25% of total approve budget and no line item is being added.  If Discretionary grantees decides to change the scope or objectives of the program, grantee will still amend the application.  Previously- some grants had different variances of 25% of total budgeted amount while others had the 25% in the class/object code.  Applies to:  Formula grants, state funded Formula grants, federally funded  Discretionary competitive, state funded Discretionary competitive, federally funded  Discretionary noncompetitive, state funded Discretionary noncompetitive, federally funded © 2012, Region One Education Service Center

 No amendment will be required to be submitted for changes made to the approved application for most state-funded formula and state-funded discretionary noncompetitive grants,  However, on certain types of programmatic changes it may require notification and or discussion with TEA program office.  This Flexibility does not apply to any grant over $1M; to new nonprofit grantees; or to new charter school grantees.  Previously, all budgetary changes required amendments.  Applies to: Formula grants, state funded Discretionary noncompetitive, state funded © 2012, Region One Education Service Center

 When entering the estimated number of positions, district will not be required to amend as long as the actual number of positions is not increase or decrease by more than 20%  Specific types of positions must be approved, otherwise an amendment needs to be submitted to add new position.  Previously- Any change in positions or number of positions required an amendment. © 2012, Region One Education Service Center

 Applies to: Formula grants, federally funded Formula grants, state funded; for grantees with NOGAs over $1M, new charter schools, and new nonprofit grantees. Discretionary noncompetitive, federally funded Discretionary noncompetitive, state funded; for grantees with NOGAs over $1M, new charter schools, and new nonprofit grantees. © 2012, Region One Education Service Center

 A budget minimum in any class/object code will be allowed.  This will allow the grantee a flexibility to implement the 25% budget amendment variance discussed earlier.  Items requiring specific approval are required to be budgeted in the original application or added via an amendment before grant funds may be expended on the item.  Previously; Placeholder flexibility existed in some grant programs but not other. Applies to:  Formula grants, state funded Formula grants, federally funded  Discretionary competitive, state funded Discretionary competitive federally funded  Discretionary noncompetitive, state funded Discretionary noncompetitive federally funded © 2012, Region One Education Service Center

Omar Chavez Migrant/Title I Coordinator (956) © 2012, Region One Education Service Center