1. “Let’s Get Fiscally Fit”
Charter School Leadership Institute
The Expedition School – Hillsborough, NC
October 2016
“Let’s Get Fiscally Fit”
Presented by: Valencia W. Davis, IDEA Consultant
Exceptional Children Division
Special Programs and Data Section
Tracy and Antonia
Introduce ourselves
Questions at the end of presentation to ensure all information is covered in the allotted time

2. Core Element 2 General Supervision LEA Self-Assessment
SPP/APR
Data Collection
Dispute Resolution System
Policies, Practices and Procedures
Monitoring Activities
Improvement, Correction, Incentives, & Sanctions
Targeted Technical Assistance
Fiscal Management
General Supervision defines the responsibilities of the EC Division and of LEA EC services.

3. Continuum of Transitions
SSIP:
Focus for Improvement
Academics
Continuum of Transitions
Behavior
Engagement
So while General Supervision defines the responsibilities of the EC Division and of LEA EC services, the State Systemic Improvement Plan, or SSIP, focuses specifically on improvement in graduation rates for students with disabilities. To accomplish that goal, the EC Division has identified broad root causes to inform our focus statewide on Academics, Behavior, and the Continuum of Transitions. For each of these, it will be necessary to consider how we are addressing engagement of students, staff, families, and communities. This framework allows you to inform, explain and make connections between Academics, Behavior, Continuum of Transitions and Engagement to increase the success of every student. Engagement efforts should encourage students and families to be involved in the process from PreK through adulthood.

4. Continuum of Transitions
This Professional Learning Supports Improved Graduation Rate for Students with Disabilities by:
Academics
Active implementation of evidence-based instruction, preK through secondary
Local capacity building
Technical and adaptive leadership
Comprehensive and efficient assessment system
Student, Family, Staff, and Community Engagement
Behavior
Active implementation of evidence-based behavioral programming, preK through secondary
Local capacity building
Culturally responsive instruction
Positive school/class climate
Comprehensive and efficient assessment system
Student, Family, Staff, and Community Engagement
Engagement
This slide lists some specific considerations for improving academics, behavior, and the transition continuum. This professional learning supports: (highlight areas) by (direct connections)
Continuum of Transitions
Active implementation of evidence-based transition practices, preK to post-secondary
Local capacity building
Systemic and coordinated supports (including wraparound), preK to post-secondary
Consistent attendance
Extracurricular and/or employment opportunities
Student, Family, Staff, and Community Engagement

5. Fiscal Fitness

6. Sound Financial Management
In order to assure Fiscal Accountability, it is important to know
how funds are allocated for students with disabilities,
what are the allowable activities for the funds allocated, and
how funds are spent.
Tonia Need icon: pencils/pens/erasers/books

7. Uniform Chart of Accounts (COA)
In 1975 the General Assembly enacted a law requiring a uniform accounting system for all local school administrative units effective July 1, 1976.
The COA provides a structure for each school unit to document how funds are received and spent.
The structure requires a minimum of four parts. The Fund Code, Purpose Code, Program Report Code and Object Code.
Tonia

8. Fund Code
The state of North Carolina uses up to 8 fund codes but for our purposes today we will discuss 3.
This part of the account code is made up of one digit.
Fund code 1 – State Public School Fund
Fund code 2 – Local Current Expense Fund
Fund code 3 – Federal Grant Fund
The federal special education funds come under Fund code 3
Tonia

9. Purpose Code
This part of the account code is made up of four digits and describes the reason for which funds are being spent.
Purpose codes that are typically used by a local school unit are:
5210 – Instructional Services such as
salaries for teachers or teacher
assistants, supplies and material, and
workshop expenses
5240 – Related Services for speech therapy
Tonia

10. Program Report Code (PRC)
The Uniform Chart of Accounts includes the Program Report Code to detail the activities for which funds can be used. For example, Charter Schools receive:
PRC 036 (State Public School Funds) which includes monies to be used for students with disabilities.
PRC 060 (IDEA 611 Funds) which are accessed via the IDEA, Part B (611) Grant Application and should be used to fund those activities approved in the grant.
PRC 118 (IDEA Targeted Assistance Funds) which should be used for allowable activities specified by the program.
Tonia

11. Example: Teacher salary is code 121
Object Code
The Object code consists of three digits. The object code tells the exact service or commodity obtained by the expenditure or exactly how the money was used.
Example: Teacher salary is code 121
Instructional supplies is code 411
Tonia

12. The Account Code
Exercise One

13. IDEA 611 Grant
PRC 060
NC State Board of Education will make allocations to the LEAs based upon the certified appropriation from the OSEP/USED. Local Education Agencies (LEAs) must complete an IDEA 611 grant application and have it approved before those funds can be used.
Funds are for all children with disabilities, ages 3 through 21, who meet specific eligibility requirements under Public Law
Tracy
Federal funds
2 installments
Planning allotment then initial allotment after October 1
Based on Federal fiscal year October 1-September 30

14. Purposes of the IDEA Grant
The purposes of IDEA include:
ensuring that all children with disabilities have available to them a free appropriate public education (FAPE) that emphasizes special education and related services designed to meet their unique needs and prepare them for employment and independent living;
ensuring the rights of children with disabilities and their parents are protected;
[300.1]
Tracy
Briefly review Purposes

15. Purposes of the IDEA Grant
The purposes of IDEA include: (c) assisting states, localities, educational service agencies, and Federal agencies in providing the education for all children with disabilities; and (d) assessing and ensuring the effectiveness of efforts to educate children with disabilities. [300.1]
Tracy
Briefly review Purposes

16. The Grant Application Process
The application is online
Grant sections include;
Maintenance of Effort
Parentally Placed Private School
Coordinated Early Intervening Services
Assurances
Public Notice
Narrative

17. IDEA 611 Grant PRC 060 What’s needed? Application
Maintenance of Fiscal Effort (MOE)
MOE Calculation Form
Initial Allotment
Amendments to Grant and BAAS
When?
Application opens April 1 and were submitted electronically on June 17.
New Charters must submit the IDEA 611 Grant electronically by October 31
MOE must be submitted on or before September 30 (existing LEAs)
Initial allotment must be entered into the IDEA 611 Grant by November 30
Amendments to IDEA 611 Grant and/or budget must be completed when adding new items to the grant or when changes to the budget are greater than 10%.
Tracy

18. IDEA Fiscal Monitoring Tiers
Budget vs. Expenditures
Exceeds 10%
Desk Reviews
Five year cycle
Site Visits
Risk-based criteria
Tier I
Tier II
Antonia introduces slide
Tracy talks about Budget vs expenditures and the importance of updating the budget
Tier III

19. Compliance with IDEA Five Fiscal Monitoring Components:
Time and Effort
Equipment
Contracted Services
Maintenance of Effort
Coordinating Early Intervening Services (CEIS)
Antonia
Mention on this slide that we took out a 6 fiscal component proportionate share as Charters do not have to address proportionate share for parentally placed private school students

20. Time and Effort
The LEA must ensure requirements are met for all personnel paid with federal IDEA funds.
Policies/Procedures
December Payroll
Semi-Annual Certifications & Personnel Activity Reports
Antonia
Mention that this is for salaried staff and does not include personnel who are paid through a contract

21. Time and Effort Documentation
All employees who are paid from federal funds or whose salaries are used to match federal funds must document their time and effort
Time and effort documentation serves as a “receipt” for payroll expenditures.
Antonia

22. Time and Effort Reporting
Single Cost Objective
100% of employee’s time is spent on specific activities allowed in the grant
Semi-Annual Certification (individual or blanket)
Completed semi-annually
Antonia
Cost objective It’s a federal term that refers to a function, organizational subdivision, contract, grant, or other activity for which cost data are needed and for which costs are incurred.

23. Time and Effort Reporting
Multiple Cost Objective
Employee works on more than one type of activity
Personnel Activity Report (PAR)
Reconciliation
Completed monthly
Antonia

24. Assure Compliance with IDEA
Exercise Two
Semi-
Annual
PAR
Antonia

25. Semi-Annual Certification or PAR?
Question 1. An elementary special education teacher is paid 50% from federal PRC 60 and 50% from state PRC 36.
Would it make any difference if the special education teacher worked part of the day in an elementary school and part of the day in a middle school?
Antonia
Use index cards for activity for audience participation

26. Semi-Annual Certification or PAR?
Question 2: An EC/Title I Coordinator is paid 60% with federal PRC 60 funds and 40% with federal Title I funds.
Antonia

27. Equipment
The LEA must maintain records for equipment purchased with federal IDEA funds and conduct a physical inventory at least every two years.
Policies/Procedures
Expenditure Reports & Paid Invoices
Physical Inventory
Antonia

28. Equipment Internal Controls
Compliance with policies/procedures
“Computing Devices” are:
Non-consumable
Often inappropriately converted to
personal use
Tagged and Tracked
Coded as Supplies/Materials (411)
Antonia

29. Equipment Identification
Description
Serial number/other ID number
Source
Title holder
Cost
Percentage of federal cost participation
Location
Use, condition, disposition
Antonia

30. Contracts and Invoices
Invoices for contracted services must be
supported by a valid contract.
Expenditures from contract codes (i.e. 311,
317, 318, 331, 344) MUST have a contract.
Check the Debarment & Suspension list of
vendors before contracting.
Review and approve all special education
services contracts and invoices.
Antonia

31. Assure Compliance with IDEA
Exercise Three
Antonia

32. Assure Compliance with IDEA
Review the sample Welcome Back Hurricane School District Contract.
Find the following:
Who
What
Where
When
How Much
Antonia
Activity, have the participants highlight the who, what, where , when and how much on the sample contract
Or if no handout provided
Ask members of the audience for the answer to each who, what, where , when and how much on the sample contract

33. Maintenance of Effort (MOE)
The LEA must not reduce the level of expenditures for the education of children with disabilities from state and/or local funds below the level of those expenditures for the preceding fiscal year without allowable justification.
Calculation Form & Justification Form
Matching Expenditure Reports
Tracy?

34. Four Methods to Meet Maintenance of Effort (MOE)
State & Local Total Expenditures
Local Expenditures Only
Per Child State & Local Total Expenditures
Per Child Local Expenditures Only
Tracy?

35. MOE Exceptions §
Voluntary departure of special education and related service personnel;
Enrollment decrease of students with disabilities;
Termination of costly expenditures for long-term purchases, such as acquisition of equipment or construction of school facilities;
Termination of an exceptionally costly obligation to a particular student with a disability because the student has left jurisdiction, aged out, or no longer needs special education; and
Cost assumption by a state high cost fund (PRC 114).
Tracy?

36. MOE Adjustment MOE Adjustments §300.205
Increase in IDEA 611 funds since prior fiscal year;
”Meets Requirements” performance determination;
FAPE responsibility not taken away by the state;
Not identified w/significant disproportionality; and
Amount of funds intended for Coordinated Early Intervening Services (CEIS) Permissive Use is counted toward the maximum expenditure amount eligible for MOE reduction.
Tracy ?

37. Coordinated Early Intervening Services (CEIS)
Provision for students in grades K-12 (particularly K-3) not identified as students with disabilities, but need academic and behavioral support to succeed in general education.
Mandatory Use if the state identifies significant disproportionality based on race and ethnicity of students with disabilities with respect to identification, including specific disability categories, placement in particular educational settings, and incidence, duration and type of disciplinary actions.
Tracy or Antonia
Mention that LEAS are not eligible to participate UNTIL 2nd YEAR OPERATION DUE TO DATA EMPHASIS

38. Coordinated Early Intervening Services (CEIS)
Reporting requirement of the number of children who receive CEIS and the number of those children who subsequently receive special education and related services during the two years after receipt of CEIS.
Tracy or Antonia

39. CEIS Funds
Permissive Use: up to 15% of total IDEA Part B funds ( )
Mandatory Use: 15% of total IDEA Part B funds ( )
Funds transfer from PRC 060 to PRC 070
Allowable use of funds for targeted CEIS students include personnel, contracted services and equipment
Tracy or Antonia
Bullet 3, this is important as it is not additional money but transferred from PRC 060 to PRC 070

40. Coordinated Early Intervening Services (CEIS)
The LEA must track student participants and PRC 70 expenditures.
Tracking Process
Expenditure Report
Tracy or Antonia

41. Applications, Procedures, and Instructions
Available at:
DPI’s EC website under Finance & Grants
Tracy
Where to locate the IDEA grant on the EC division webpage

42. Resources
IDEA Fiscal Monitoring information
Financial & Business Services
EC Grants Application Management System
Federal Debarment information
State Debarment List
Antonia
Mention resources

43. Exceptional Children Division Special Projects and Data Grant and Fiscal Team Contact Information
Section Chief
Tracy Riddle
Phone:
Special Projects Consultant
Lori Peterson
Phone:
IDEA Consultant
Districts 3 & 5
Valencia Davis
Phone:
IDEA Consultant
Districts 6, 7 & 8
Keashia Walker
Phone:
IDEA Consultant
Districts 1, 2 & 4
Ronda Sortino
Phone: