May 2007

Application materials pertaining to section 611 and section 619 sub-grant programs are to be submitted to the State Education Department (SED) by August 31, 2007. However, you are strongly encouraged to submit the application materials as soon as possible, even in advance of the due date. The Application and corresponding forms are only available from the following web site: http://www.vesid.nysed.gov/spedfin/. In accordance with federal rules, local educational agencies (LEAs) may not obligate funds for a proposed federal grant project until it has been received by the Department in a substantially approvable form.

PLEASE READ THIS MEMORANDUM CAREFULLY. IT CONTAINS IMPORTANT INFORMATION REGARDING THE REAUTHORIZED IDEA, PART B INCLUDING INFORMATION PERTAINING TO THE PERMISSIVE AND, IN CERTAIN INSTANCES, REQUIRED USE OF PART B FUNDS TO:

• Develop and implement comprehensive coordinated early intervening services;
• Enable a local educational agency (LEA) to reduce its level of expenditure of local funds for activities authorized under the Elementary & Secondary Education Act of 1965 (ESEA) as amended by the No Child Left Behind Act of 2001 (NCLB);
• Purchase appropriate technology for recordkeeping, data collection and related case management activities associated with a student with a disability’s individualized education program (IEP); and
• Provide funding for special education services to students with disabilities parentally placed in nonpublic elementary and secondary schools.

If you have any questions about the Application, please contact the VESID Special Education Budget and Finance Unit at (518) 486-4734.

Application Contents:

• Overview of New York State’s IDEA, Part B Federal Sub-grant Programs for the Education of Students with Disabilities;
• New York State (State) Policy Governing the Administration of Federal IDEA, Part B Sub-Grant Programs; and
• State Procedures for the Disbursement of Federal IDEA, Part B Flow-Through Allocations for 2007-2008.

Highlights of the Application Policies and Procedures for 2007-2008:

A.  General Highlights Regarding the Application Process

• The due date of the application materials for federal IDEA, Part B (IDEA, Part B) section 611 and section 619 sub-grant programs is August 31, 2007. This due date will enable SED to review and approve, in a timely manner, application packets which are fully completed and submitted on time. However, districts are encouraged to submit this application packet earlier, if possible. Please note: in accordance with federal rules, LEAs may not obligate funds for a proposed federal grant project until it has been received by SED in a substantially approvable form (see below).
• Section 611 and section 619 application materials are to be submitted to SED by LEAs only. LEAs are: public school districts, Special Act School Districts, State-Operated Schools and State agencies.
• The applicant must use 2007-2008 project year funds for section 611 and section 619 funds for a 10 or 12 month project operation period, beginning no earlier than September 1, 2007 and ending no later than August 31, 2008.
• All IDEA, Part B section 611 and section 619 flow-through funds will be allocated to LEAs by SED.
• As a condition for receipt of 2007-2008 and subsequent year federal funds, all applicants must have submitted the latest required special education data collection reports (i.e., PD forms), as well as all other requests for data and information to the Strategic Evaluation Data Collection, Analysis and Reporting (SEDCAR) or other appropriate unit(s) within the Department.
• As an additional condition for receipt of 2007-2008 and subsequent years IDEA funding, all applicants must provide the information pertaining to the expenditure of local effort for the current and previous school years on the Application Cover Page of the 2007-08 Application for Federal Individuals with Education Act (IDEA) Funding for the Education of Students with Disabilities (application). Please note: The amount listed indicating the LEA’s anticipated expenditure of local effort for the 2007-2008 school year should be equal to or greater than the amount of local effort expended during the 2006-2007 school year.
  

B.  LEA Responsibilities Pertaining to Approved Special Education Programs (ASEPs)

• As an additional condition for receipt of 2007-2008 IDEA, Part B funds, the chief school/administrative officer of an LEA must check off whether the LEA proposes to provide its required allocation of funds to ASEPs serving its students with disabilities ages 3-21 under §4410-b using IDEA, Part B or local district funds on p. 9 of the application.¹
• Pursuant to Education Law §4410-b, LEAs will be required to disburse funds to ASEPs in which students with disabilities were placed on December 1, 2006. To assist LEAs in calculating the appropriate amounts due to ASEPs under §4410-b, a worksheet is available under ASEP Worksheets on the SED/VESID web site at: http://www.vesid.nysed.gov/spedfin/. The SEDCAR report to calculate the minimum per-student vendor funding is available under Federal IDEA, Part B Allocations on the web site. Appropriate SEDCAR forms must be on file from the ASEPs. Upon receipt of SEDCAR-1 forms, LEAs will also provide vendor funding under §4410-b to approved out-of-state private schools if the LEA was the last school district of residence for students with disabilities placed in out-of-state approved private schools by the courts (Article 81).
• In accordance with Chapter 437 the Laws of 2005, LEAs must now pay one-third of their calculated section 619 and section 611 per-student vendor funding amounts to ASEPs which submitted SEDCAR-1 forms for preschool students with a disability provided related services only. Exception: Any municipality approved to operate special education itinerant services (SEIS) prior to July 1, 2003 which submitted SEDCAR-1 forms for preschool students with a disability provided related services only is eligible for a full (100%) section 611 and section 619 per-student vendor funding amount for each child. Additional assistance in calculating the one-third per-student vendor funding amounts for the section 611 and section 619 sub-grants is available under ASEP Worksheets on the SED/VESID web site indicated above.
• LEAs must pay vendor funding to ASEPs under §4410-b in an amount equal to their proportional share of federal funds allocated to the LEA, based on the number of students with disabilities who were served in ASEPs on December 1, 2006, as if the LEA had received the section 611 funds and/or section 619 funds on September 1, 2006. Payment of funding to ASEPs with IDEA, Part B or local district funds must begin within 30 calendar days of September 1, 2007, that is, by October 1, 2007.
• LEAs should request each ASEP it has a vendor relationship with to submit a budget describing the services the LEA is purchasing from the ASEP pertaining to the education of students with disabilities 3-21 attending the ASEP.
• LEAs that use IDEA, Part B section 611 and/or section 619 funds to make payments to ASEPs under §4410-b are required to enter into a legal agreement with each ASEP it has students with disabilities ages 3-21 attending on December 1, 2006 with which it had a vendor relationship. The legal agreement between the LEA and ASEP must contain, but is not limited to, the following:

	The submission by the ASEP of periodic reports to the LEA containing programmatic and fiscal information; and
	The submission by the ASEP of a final expenditure report to the LEA delineating the manner in which the ASEP spent the vendor funds it received from the LEA.

C.  Other Highlights Regarding the Permissible Use of IDEA, Part B funding

• An LEA may use 2007-2008 IDEA, Part B funds to purchase appropriate technology for recordkeeping, data collection and related case management activities of teachers and related service personnel providing services as indicated in each student with a disability’s IEP as needed for the implementation of such case management activities.
• LEAs are now required to provide IDEA, Part B funding for all parentally placed students with disabilities who attend non-Department-approved private schools, including religious schools, located in the LEA irregardless of whether the student resides within the LEA.
• IDEA permits eligible² LEAs whose 2007-2008 section 611 final allocation (excluding carryover funds) exceeds the amount received in 2006-2007 to offset a portion of their maintenance of local tax effort to carry out activities authorized under the ESEA, as amended by NCLB. In addition, IDEA, Part B permits LEAs to use up to 15% of its total 2007-2008 section 611 final allocation (excluding carryover funds) to develop and implement comprehensive coordinated early intervening services . Please see pp. 10-12 of the booklet entitled Policies and Procedures Governing the Distribution and Use of IDEA, Part B Federal Assistance for the Education of Students with Disabilities in the second part of this memorandum for further information and instructions related to these two provisions.

D.  Other Important Highlights for LEAs

• IDEA, Part B section 611 funds for 2007-2008 are allocated to LEAs based on the December 1, 1998 special education child counts of students 3-21 years of age, with adjustments made for each LEA’s poverty and population of all school-age students.
• IDEA, Part B section 619 funds for 2007-2008 are allocated to LEAs based on the December 2, 1996 special education child counts of students 3-5 years of age, with adjustments made for each LEA’s poverty and population of all school-age students.
• Please Note: LEA allocations will also be posted in the SED/VESID web site at: http://www.vesid.nysed.gov/spedfin/
• Non-educational expenditures such as dinners, shows, movies, etc. are not a permissive use of IDEA, Part B funds and cannot be programmatically approved.
• Funds proposed for remodeling under Minor Remodeling: Code 30 of the Proposed Budget for a Federal or State Project (FS-10) is not a permissive use of IDEA, Part B funds and cannot be programmatically approved.
• Staff supplies for teachers, teaching assistants, teacher aides and related service providers cannot be budgeted under Supplies & Materials: Code 45 of the FS-10 for July/August programs if the LEA does not have a SED-approved extended school year (ESY) program.
• Proposed expenditures for software, supplies, materials and equipment with a unit cost of less than $5,000 budgeted under Supplies & Materials: Code 45 of the FS-10 must contain a description, unit cost, quantity and individual proposed expenditure.
• When proposing consultant fees budgeted under Purchased Services: Code 40 of the FS-10, the individual/agency providing each service and the per-diem or per-hour rate for each must be listed.
• Only special education staff, including Teaching Assistants (with the exception of reading teachers) should be listed in Professional Salaries: Code 15 of the FS-10. Teacher Aides should be listed under Support Staff Salaries: Code 16.
• Beginning with 2005-2006 budgets for grants and grant contracts, the dollar threshold for classifying an item as equipment was raised from $1,000 to $5,000. Therefore, items with a unit value of $5,000 or more and having a useful life of more than one year must be reported as Equipment in Code 20 of the FS-10 for section 611 and/or section 619 sub-grants. For more information on equipment, please go to http://www.oms.nysed.gov/cafe/ and view Policy Advisory # 01-05.
• All public school districts, Special Act School Districts and State agencies have approved maximum restricted indirect cost rates, which may be budgeted under Code 90 of the FS-10 form. Please note: Indirect costs may not be claimed on any vendor funding to ASEPs pursuant to Education Law §4410-b, including Article 81 funds to ASEPs or for the portions of each sub-contract exceeding $25,000 listed in Purchased Services: Code 40 of the FS-10.
  
  In accordance with the greater flexibility by which an LEA may use IDEA, Part B funds pursuant to the reauthorized IDEA 2004 as described in the enclosed materials, it is expected that it will utilize these federal funds to support strategies that will result in improving results for the measurable and rigorous targets identified in SED’s IDEA Part B State Performance Plan, 2005-10 (SPP) (revised January 2007).
  
  Assignment of a single person to serve as contact for all questions and communications related to the entire application, including budgets, is required. This assignment should be made in consideration of the following:
• The application package must be a single submission covering all the federal funding sources mentioned within this memorandum; and
• Applicants must apply for the full amount of funds allocated for the current year (2007-2008) PLUS the anticipated carryover funds from the 2006-2007 project.
  
  Follow the directions below to confirm both your district’s allocation and anticipated carryover and submit the application and FS-10s for each sub-grant project for the total amount:
• When your district submits its application and FS-10s for IDEA, Part B section 611 and section 619 funds, it MUST be for the full amount of funds allocated for 2007-2008 PLUS the anticipated carryover funds. The amount of carryover funds allowed to be budgeted for in the subsequent year may not exceed 100% of the prior year allocation. Failure to submit the application and FS-10s for the total amount, including carryover funds, will require revisions before any action on the 2007-2008 application packet is taken.
  

YOUR AGENCY MUST THEN SUBMIT THE 2006-2007 FINAL EXPENDITURE REPORTS (FS-10-Fs) FOE THE SECTION 611 AND SECTION 619 SUB-GRANT PROJECTS WITHIN 90 DAYS OF THE CLOSE OF THE 2006-2007 PROJECT YEAR. IF SUBMITTED IN A TIMELY FASHION, THE FS-10-F SHORT FORM MAY BE USED. FAILURE TO SUBMIT THESE DOCUMENTS WITHIN THE STATED TIME FRAME MAY RESULT IN THE STOPPING OF PAYMENTS ON ALL FEDERAL AND STATE GRANTS FUNDED THROUGH SED. IN ADDITION, THE OPTION TO USE THE FS-10-F SHORT FORM IS NO LONGER AVAILABLE FOR USE AND FINAL COST DATA MUST BE SUBMITTED ON THE FS-10-F LONG FORM.

To confirm your agency’s IDEA, Part B allocations for 2007-2008, the status of your Final Expenditure Reports/FS-10-Fs for 2006-2007 and the anticipated carryover balance(s) into 2007-2008, you should review IDEA, Part B Allocation Reports available on Office of Management Services-Grants Finance Unit’s web site: http://www.oms.nysed.gov/cafe/ and:

• Click on Local Agency Reports
• Select District/School Reports
• Select the appropriate county
• Select your agency name
• Select 2006-2007 Allocation Reports

This information is also available at the VESID Special Education Budget and Finance Unit's web site: http://www.vesid.nysed.gov/spedfin/.

Applicants must submit the following to be substantially approvable:

1. An original IDEA, Part B section 611 and section 619 application containing the original signature of the Chief School/Administrative Officer in blue ink, the information regarding the past and current school year local effort, all assurances, including the completed assurance pertaining to NIMAC and the completed Certification Regarding the Payment of Part B Funds.
2. An original FS-10 budget for each fund source, signed in blue ink, with two additional copies;
3. Both proposed projects and the completed application to be submitted by August 31, 2007 to:
   

Mr. Michael C. Plotzker
New York State Education Department
Office of Vocational and Educational Services for Individuals with Disabilities
Central Office Administrative Support Services Team (COASST)
One Commerce Plaza – Room 1609
Albany, New York 12234

ASSISTANCE

VESID Special Education Quality Assurance (SEQA) Regional Offices

James P. DeLorenzo, Statewide SEQA Coordinator (518) 402-3353
Daniel H. Johnson, Upstate SEQA Regional Coordinator (518) 486-6221
Patricia Shubert, New York City SEQA Regional Coordinator (718) 722-4544

POLICIES AND PROCEDURES GOVERNING THE DISTRIBUTION AND USE OF
IDEA, PART B FEDERAL ASSISTANCE FOR THE EDUCATION OF
STUDENTS WITH DISABILITIES AND APPLICATION BOOKLET

Overview of New York State's Federal Sub-Grant Programs for the Education of Students with Disabilities

I. The Section 611 Sub-Grant Program

The Section 611 Sub-Grant Program is authorized under Part B of the Individuals with Disabilities Education Act (IDEA, Part B). Under this program for 2007-2008, New York State receives the amount it received for 1999-2000 as a base allocation. Eighty-five percent (85%) of any increase in the national appropriation is distributed to states based on their relative population of children 3 through 21, while fifteen percent (15%) is distributed based on the relative population of all children aged 3 through 21 living in poverty. The administration of the program is governed by section 611(a)(2)(A) of the Individuals with Disabilities Education Improvement Act of 2004 (Public Law 108-446).

The Section 619 Sub-Grant Program is authorized under IDEA, Part B. Under this program for 2007-2008, New York State receives a second grant award each year. Based on the total available for allocation to States, each State receives the amount it received for 1997-98. Eighty-five percent (85%) of any increase in the national appropriation is distributed to states based on their relative population of children aged 3 through 5, while fifteen percent (15%) is distributed based on the relative population of all children aged 3 through 5 living in poverty. The administration of this program is governed by section 619(c) of the Individuals with Disabilities Education Improvement Act of 2004 (Public Law 108-446).

III. The Committee on Preschool Special Education (CPSE) Administrative Cost Reimbursement Program

The Committee on Preschool Special Education (CPSE) Administrative Cost Reimbursement Program is a special sub-grant program authorized by the New York State Legislature under Section 4410 of the Education Law. This section of law provides that reasonable and appropriate costs incurred by school districts to establish and maintain Committees on Preschool Special Education are 100 percent reimbursable, in the first instance, from federal funds determined by the SED to be available for this purpose. Such costs that are in excess of the amount of federal funds available may, subject to the approval of the SED, be billed to the various counties wherein the preschool students placed by the CPSE resided at the time of placement.

Accordingly, for each year that federal IDEA, Part B funds are determined to be available for this purpose, the SED proceeds with the implementation of the CPSE administrative cost reimbursement sub- grant program in accordance with federal regulations governing the use of these funds and section 200.17 of the Regulations of the Commissioner of Education.

A separate procedure is used to allow school districts to request reimbursement in excess of the total 2007-2008 federal sub-grant program funds available for reasonable and necessary 2007-2008 administrative costs directly related to one or more Committees on Preschool Special Education (CPSE). This procedure requires school districts to report their total CPSE Administrative Costs with the Form ST-3, Annual Financial Report Based on Double-Entry Accounting, on Supplemental Schedules SS-31 through SS-34. Once these schedules are completed, a statewide administrative cost per evaluation is calculated. School districts whose administrative costs are in excess of the statewide average may request funding above the statewide average provided a justification is submitted. A final determination is then made as to the allowable CPSE administrative costs for each school district. Any funding provided through federal IDEA, Part B funds or federal Medicaid funds provided for CPSE Administrative Costs will be deducted from this allowable amount to determine the final CPSE excess administrative costs due each school district from the county. A letter with an Administrative Cost Listing (ACL) report will be sent to each school district in the summer of 2007. The school district should then bill the counties identified in the ACL report for the amounts due within 30 days of receipt. Any questions regarding the above reimbursement of excess CPSE Administrative Costs should be directed to the Rate Setting Unit at (518) 474-3227.

IV - Use of Funds Under Part B of the Individuals with Disabilities Education Act – Section 613(a)(2)

Amounts provided to the LEA shall be expended in accordance with the applicable provisions of 20 U.S.C. 1400 et. seq. and:

• Shall be used only to pay the excess costs of providing special education programs and services to students with disabilities;
• Shall be used to supplement State, local and other federal funds and not to supplant such funds; and include the following:

A. Exception to Maintenance of Effort – An LEA may reduce the level of expenditures by the LEA under Part B of the Act below the level of those expenditures for the preceding fiscal year if the reduction is attributable to the following:

• The voluntary departure, by retirement or otherwise, or departure for just cause, of special education personnel [34 CFR §300.204(a)];
• A decrease in the enrollment of students with disabilities [34 CFR §300.204(b)];
• The termination of the obligation of the LEA, consistent with IDEA, Part B, to provide a special education program and services to a particular student with a disability that is an exceptionally costly program, as determined by the SEA, because the student has left the jurisdiction of the agency; has reached the age at which the obligation of the LEA to provide a free appropriate public education (FAPE) to the student has terminated; or no longer needs a special education program and services [34 CFR §300.204(c)]; and
• The termination of costly expenditures for long-term purchases, such as the acquisition of equipment or the construction of school facilities [34 CFR §300.204(d)].

B. Adjustment to local fiscal effort in certain fiscal years – For any fiscal year for which the allocation received by the LEA under IDEA, Part B exceeds the amount it received the previous fiscal year, it may reduce the level of expenditures for local effort for activities related to the Elementary and Secondary Education Act (ESEA) of 1965 as amended by the No Child Left Behind Act of 2001by not more than 50% of that excess amount [34 CFR §300.205(a)].

Please note:

• If an LEA proposes to use IDEA, Part B section 611 funds for this purpose, it must use an amount of local funds equal to the reduction in expenditures to carry out activities authorized under the ESEA;
• If an LEA proposes to use IDEA, Part B section 611 funds to offset an LEA’s expenditure of local effort for activities authorized under the ESEA as amended by the NCLB and also proposes to use IDEA, Part B section 611 funds for the purpose of providing comprehensive coordinated early intervening services simultaneously during the same school year, the total sum of each use of these funds must be counted together as one sum;⁴
• In accordance with the requirements of §613(f) of the Act and 34 CFR §§300.226(e) and 300.646(b)(2), if the Department has notified the LEA that it has been identified for disproportionality pursuant to Indicators 4(b), 9 and/or 10 of SED’s SPP 2005-2010, it must first reserve and expend 15% of the district’s 2007-2008 IDEA, Part B section 611 final allocation (excluding any carryover funds) solely for the development and implementation of comprehensive coordinated early intervening services as described in Section D below and may only use IDEA Part B section 611 funds to offset a portion of their maintenance of local tax effort if it is eligible as explained below and the calculated 50% difference between the 2007-2008 and 2006-2007 IDEA, Part B allocations exceeds the 15% calculation of the 2007-2008 IDEA Part B section 611 final allocation; and
• LEAs that propose to use section 611 funds to offset the district’s expenditure of local effort for activities authorized under ESEA must complete the Maintenance of Local Tax Effort and Early Intervening Services Worksheet & Attachment located on pages 17 & 18 of this memorandum and attach both pages to the section 611 FS-10 original and two copies prior to submission to the SED. If SED has determined that the LEA is unable to establish and maintain programs of free appropriate public education and takes action against the LEA under §616 of the Act, the LEA is prohibited from reducing its level of local expenditures [§613(a)(C)(iii)].

C. Schoolwide Programs under Title I of the ESEA – An LEA may use these funds under this Part to carry out a schoolwide program under section 1114 of the ESEA of 1965. The maximum amount of funds an LEA may use in any program of this type (less any amounts used to lower the local fiscal effort and/or for the purpose of developing and implementing coordinated early intervening services) can be calculated by multiplying the total 2007-2008 allocations under this Part by the number of children with disabilities participating in the schoolwide program divided by the total number of children ages with disabilities the district reported to SED in December 2006 [34 CFR §300.206].

D. Permissive Use of Funds – Funds provided to an LEA can be used for the following:

Services and aids that also benefit nondisabled students - for the costs of special education programs and services provided in a regular class or other education-related setting to a student with a disability in accordance with their individualized education program (IEP), even if one or more nondisabled children benefit from these services [34 CFR §300.208(a)(1)].

Early Intervening Services Funds - up to 15 percent of the 2007-2008 IDEA, Part B section 611 final allocation (excluding any carryover funds) may be used to develop and implement comprehensive coordinated early intervening services for students in kindergarten through grade 12 (with a particular emphasis on students in kindergarten through grade 3) not yet identified as eligible for special education or related services but who need additional academic and behavioral support to succeed in a general education environment [34 CFR §300.208(a)(2)].

Pursuant to 34 CFR §300.226(b)(1) & (2), such activities could include:

• Professional development for teachers and other school staff to enable such personnel to deliver scientifically-based academic instruction, including behavioral interventions and scientifically-based literacy instruction and, where appropriate, instruction on the use of adaptive and instructional software; and
• Providing educational and behavioral evaluations, services, and supports, including scientifically-based literacy instruction.

Please note: LEAs that propose to use up to 15% of the 2007-2008 IDEA, Part B section 611 allocation (less carryover funds) for early intervening services as previously described must complete the Maintenance of Local Tax Effort and Early Intervening Services Worksheet & Attachment located on pages 17 & 18 and attach both pages to the section 611 FS-10 original and two copies prior to submission to SED.

• In accordance with the requirements of §613(f) of the Act and 34 CFR §300.646(b)(2), if the Department has notified the LEA that it has been identified for disproportionality pursuant to Indicators 4(b), 9 and/or 10 of SED’s SPP 2005-2010, it is required to:

	Reserve and expend 15% of the IDEA, Part B section 611 allocation (excluding carryover funds) for the provision of early intervening services as described above for students in kindergarten through grade 12 particularly, but not exclusively, to children in those groups that were significantly over-identified;
	Complete the Maintenance of Local Tax Effort and Early Intervening Services Worksheet & Attachment located on located on pages 17 & 18 of this memorandum in the same manner as indicated above; and
	An LEA using 2007-2008 IDEA, Part B section 611 funds to develop, implement and maintain comprehensive coordinated early intervening services will be required to annually report to SED on the students provided these services as part of the reporting elements of the Department’s Student Information Repository System (SIMS).

Administrative Case Management - to purchase appropriate technology for recordkeeping, data collection, and related case management activities of teachers and related services personnel providing services described in the individualized education program of children with disabilities, that is needed for the implementation of such case management activities [34 CFR §300.208(b)].

V. Approved Special Education Programs

Education Law §4410-b requires LEAs to dispense section 611 and section 619 funds or local district funds to those ASEPs which served one or more students with disabilities, placed by the LEA during the prior school year (December 1, 2005). In order to be eligible for vendor funding through this procedure, an ASEP must have served one or more students with disabilities on December 1, 2005 pursuant to Article 89 (placed by a CSE/CPSE) or Article 81 (placed through the courts or State agencies); and a SEDCAR-1 form must be received by the LEA (for Article 89 placements) and for students with disabilities placed by the courts in approved out of state private schools for whom the LEA was the last school district of residence, a SEDCAR-2 form must have been received by SED and the designated LEA through whom the ASEPs that provide services to students pursuant to Article 81 and who will receive federal supplemental funds (for in-state Article 81 students) by March 1, 2006. Please refer to State Procedures for the Disbursement of Federal Part B Flow-Through Allocations for 2007-2008, enclosed for further information.

VI. Charter Schools

Charter Schools are required to adhere to the provisions of the New York Charter Schools Act of 1998 in Part 119 of the Regulations of the Commissioner of Education. Charter Schools must also adhere to requirements under Section 76.788 of the Education Department General Administrative Regulations (EDGAR).

In accordance with federal regulations, at least 120 days before the date a charter school is scheduled to open or significantly expand its enrollment, the charter school must provide the LEAs with notice to that effect.

Also applicable to Charter Schools are the requirements prescribed in Individuals With Disabilities Education Act (IDEA, Part B), including provisions related to teacher preparation and certification and the completion of special education data reports (including, but not restricted to the PD forms).

Per-student vendor funding under IDEA, Part B for section 611 and section 619 is available for special education programs and services for students with disabilities. Section 611 funds are available for students with disabilities 3 – 21 (depending on the situation described below) and section 619 funds are available for students with disabilities ages 3 - 5 (depending on the situations described below).

Therefore, students ages 3 - 5 are eligible to receive funds under both sections. The per-student vendor funding amount is determined for both section 611 and section 619 by each local educational agency (local school district). Charter Schools DO NOT have to submit SEDCAR-1 forms to receive their funds.

In addition, please note that the LEA is required to serve children with disabilities attending charter schools in the same manner it serves children with disabilities in its other schools, including providing supplementary and related services on site to the same extent to which it has a policy or practice of providing such services on the site of its other public schools [34 CFR §300.241(a)].

Charter Schools Opening Or Significantly Expanding Enrollment On Or Before November 1st Of An Academic Year

Charter schools which open or significantly expand their enrollment on or before November 1st of an academic year must report their December 1st child counts of resident students with disabilities enrolled in the charter school to the student’s school district of residence as well as SED. The school district of residence must include the students with disabilities in charter schools in their PD count submitted to the SED for students who are provided with and services on December 1st of a given school year. The school district of residence must calculate the amount due to the charter school by taking the number of students reported as of December 1st, who were in the charter school and receiving special education services in a charter school and multiply that by the per-student amount calculated under both section 611 and section 619 as appropriate by each local school district of residence. The charter school must receive the full amount of funds due within five months of the date the charter school opens or significantly expands its enrollment. The district will need to determine the portion of services delivered by the district of residence and the portion delivered by the charter school. The charter school will get a pro-rated amount based upon the portion of services the child receives from the charter school and full-time equivalent (FTE) enrollment.

For Charter Schools Opening Or Significantly Expanding Enrollment After November 1st But Before February 1st Of An Academic Year

For charter schools opening or significantly expanding enrollment after November 1st but before February 1st of an academic year, the charter school must receive a pro-rata portion of the funds for which the charter school is eligible on or before the date the LEA allocates IDEA, PART B funds to schools for the succeeding school year. If the charter school opens after November 1st and before December 1st, it should report the December 1st child counts to the students’ school districts of residence as described above, and districts will need to allocate monies as described above. However, for charter schools that open after December 1st or that significantly expand their enrollment for the time period December 2nd – January 31st, charter schools must report these enrollment figures to the students’ school districts of residence and receive a pro-rata portion of funds within five months of the date the charter school opens or significantly expands its enrollment. The district, in calculating the amount due the charter school, will need to consider the FTE for the child for that year, and the portion of the special education services delivered by the charter school and by the district of residence. The charter school would only be entitled to the per-child amount pro-rated based upon the portion of special education services delivered by the charter school, and pro-rated based upon FTE enrollment.

School districts should note that when calculating the amount for charter schools (as in the prior two paragraphs) and determining the amount based upon the proportion of services provided by the charter schools, this is the only time school districts allocate federal funds based upon the proportion of the services delivered. Payments to ASEPs is governed by Education Law § 4410-b, which does not apply to charter schools and provides for sub-allocations on a per-capita basis.

For Charter Schools That Open or Significantly Expand Enrollment after February 1st Of an Academic Year

The students’ district of residence may, at its discretion, provide the charter school with a pro-rata portion of the funds, based upon the FTE enrollment and portion of special education services delivered by the charter school. If provided, this pro-rata portion of the funds should be disbursed within five months of the date the charter school opens or significantly expands its enrollment.

Additional Information Pertaining to the Use of Part B Funds in Accordance with the Applicable Provisions of 20 U.S.C. 1400 et. seq.

E. Public and Private Insurance

• If a public agency is unable to obtain parental consent to use the parent’s private insurance, or public insurance when the parent would incur a cost for a specified service required under IDEA, Part B, to ensure a free, appropriate public education (FAPE), the local education agency may use its Part B funds to pay for this service [34 CFR §300.154 (f)(1)].
• To avoid financial cost to parents who otherwise would consent to use private insurance, or public insurance if the parent would incur a cost, the LEA may use its Part B funds to pay the cost the parents otherwise would have to pay to use the parent’s insurance (e.g., the deductible or co-pay amounts) [34 CFR §300.154 (f)(2)].
• Proceeds from public or private insurance will not be treated as program income for purposes of 34 CFR 80.25 [34 CFR §300.154 (g)(1)].
• If an LEA spends reimbursement from federal funds (e.g., Medicaid) for services under this Part, those funds will not be considered “State or local” funds for purposes of the maintenance of effort provisions in current or proposed IDEA regulations [34 CFR §300.154 (g)(2)].

F. Attorney's Fees

Funds under IDEA, Part B may not be used to pay attorney fees or costs of a party related to an action or proceeding brought about under §615 of the Act and implementing federal regulations [34 CFR §300.517(b)].

G. Expenditures for Children with Disabilities Parentally Placed In Nonpublic Schools

Every school year, each public school district must expend a proportionate amount of its IDEA, Part B funds on special education services to students with disabilities parentally placed in nonpublic elementary and secondary schools in their district:

• For school-age children, an amount that is the same proportion of the LEA’s total sub-grant under section 611 of IDEA, Part B as the number of nonpublic school-age children with disabilities residing in its jurisdiction is to the total number of school-age children with disabilities in its jurisdiction [34 CFR §300.133(a)(1)]; and
• For children ages 3 through 5, an amount that is the same proportion of the LEA’s total sub-grant under section 619 of IDEA, Part B as the number of nonpublic school children with disabilities ages 3 through 5 residing in its jurisdiction is to the total number of children with disabilities in its jurisdiction ages 3 through 5 [CFR §300.133(a)(2)(i)].

H. Cost of Transportation

The cost of transportation necessary for a nonpublic school child to benefit from special education services may be included in calculating whether the LEA has met the requirements delineated above [CFR §300.133(a)(1)].

I. Separate Classes Prohibited

An LEA may not use funds available under section 611 or section 619 of IDEA, Part B for classes that are organized separately on the basis of school enrollment or religion of the students if the classes are at the same site and the classes include students enrolled in public schools and students enrolled in nonpublic schools [CFR §300.143].

J. Requirement that Funds Not Benefit a Nonpublic School

• An LEA may not use funds provided under section 611 or section 619 of IDEA, Part B to finance the existing level of instruction in a nonpublic school or otherwise benefit the nonpublic school [CFR §300.141(a)]; and
• The LEA shall use funds provided under IDEA, Part B to meet the special education and related service needs of students enrolled in nonpublic schools located in their district, but not for the needs of a nonpublic school or the general needs of the students enrolled in the nonpublic school [CFR §300.141(b)].

K. Use of Public School Personnel

An LEA may use funds available under section 611 and section 619 of IDEA, Part B to make public school personnel available in other than public facilities to the extent necessary to provide special education services for nonpublic school children with disabilities attending a non-public school in their district and if those services are not normally provided by the nonpublic school [CFR §300.142].

L. Requirements Concerning Property, Equipment & Supplies for the Benefit of Nonpublic School Children with Disabilities:

• A public agency must keep title to and exercise continuing administrative control of all property, equipment and supplies that the public agency acquires with funds under section 611 or section 619 of IDEA, Part B for the benefit of school children with disabilities attending a non-public school in their district [CFR §300.144(a)].
• The public agency may place equipment and supplies in a nonpublic school for the period of time needed for the program [CFR §300.144(b)].
• The public agency must ensure that equipment and supplies placed in a nonpublic school are used only for IDEA, Part B purposes and can be removed from the nonpublic school without remodeling the nonpublic school facility [CFR §300.144(c)].
• The public agency shall remove equipment and supplies from a nonpublic school if the equipment and supplies are no longer needed for IDEA, Part B purposes or removal is necessary to avoid unauthorized use of the equipment and supplies for other than IDEA, Part B purposes [CFR §300.144(d)(1) & (2)].
• No funds under IDEA, Part B may be used for repairs, minor remodeling or construction of nonpublic school facilities [CFR §300.144(e)].

Applicant Name:
Title of Grant: 2007-2008 Federal IDEA, Part B section 611

Maintenance of Local Tax Effort and Early Intervening Services Worksheet

Please note: The attached from must be filled out if the district proposes to use funds in the following manner:

• If eligible⁶, to reduce the district’s maintenance of local tax effort by the use of up to 50% of the calculated difference between the district’s IDEA, Part B section 611 2007-2008 and 2006-2007 allocations (excluding carryover funds) for activities related to the Elementary and Secondary Education Act (ESEA) of 1965; and/or
• The provision of comprehensive, coordinated early intervening services for students in kindergarten through grade 12 (with an emphasis on students in kindergarten through grade 3) not identified as needing special education or related services through the use of up to 15% of the total 2006-2007 IDEA, Part B section 611 allocation.

Use the chart below to calculate the maximum allowable amount of local tax effort the district may use for activities related to the ESEA:

Use the chart below to calculate the maximum allowable amount the district may use for activities related to comprehensive, coordinated early intervening services:

Applicant Name:
Title of Grant: 2007-2008 Federal IDEA, Part B section 611

Maintenance of Local Tax Effort and Early Intervening Services Proposed Expenditures

Narrative (To be completed only by LEAs notified by SED of disproportionality under §618(d) of the Act):

New York State Policy Governing the Administration of Federal Sub-Grant Programs

Allocation of Sub-Grant Program Funds

Section 611 Allocations to LEAs –The total amount of funds available to a state education agency (SEA), as determined by the Secretary of Education under IDEA, Part B, section 611, are allocated by New York State for use by public school districts, Special Act School Districts, State agencies, and State-operated schools.

• An amount equal to 75 percent of the 1999-2000 allocation to the State is distributed to eligible LEAs based on the December 1, 1998 child counts, as reported in the PD-1, PD-2 or PD-3 reports.
• Of the remaining amount of the 2007-2008 flow-through portion of the allocation, 85 percent is distributed based on relative numbers of all school-age children enrolled in public and private elementary and secondary schools located within each public school district's jurisdiction; and 15 percent is distributed based on the relative numbers of all school-age children in the public school district's jurisdiction living in poverty, as determined by the State education agency (SEA).
  

Section 619 Allocations to LEAs –The total amount of funds available to a SEA, as determined by the Secretary of Education under IDEA, Part B, section 619, are allocated by New York State for use by public school districts, Special Act School Districts, State agencies, and State-operated schools as follows:

• An amount equal to 75 percent of 1997-98 allocation to the State is distributed to eligible LEAs, based on the December 2, 1996 child counts, as reported in the PD-1, PD-2 or PD-3 reports .
• Of the remaining amount of the 2007-2008 flow-through portion of the allocation, 85% is distributed based on relative numbers of all school-age children enrolled in public and private elementary and secondary schools located within each public school district’s jurisdiction; and 15% is distributed based on the relative numbers of school-age children in the public school district’s jurisdiction living in poverty, as determined by the State educational agency.
  

CPSE Administrative Cost Allocations to School Districts – The SEA determines the amount of federal funds that are available for this program, and allocates them equitably to public school districts, based on their previous year December 1 count of students with disabilities, aged 3 to 5, for whom public school districts had Committee on Preschool Special Education responsibilities, as reported in the PD-1/4 form.

Applicant Eligibility

An eligible recipient of funds is a public school district, Special Act School District, State-operated School or State agency, which has:

• Submitted an application to the SED in substantially approvable form by the date established by the SED;
• Demonstrated compliance with State and federal law, regulation and policy governing the education of students with disabilities;
• Complied with all SED requests for special education data including, but not limited to, the PD forms; and
• Been determined by the SED to be willing and able to establish and maintain programs of free appropriate public education to meet the special education and related service needs of students with disabilities.

The SED may choose not to allocate funds to an LEA which does not meet these eligible recipient criteria. If so, the SED must, in the alternative, arrange for the allocation of such funds for use by other appropriate LEAs to meet the needs of eligible students.

Application Requirements

Each recipient must submit an application and FS-10s for the section 611 and section 619 sub-grant projects to the SED for approval to expend its entitlement in accordance with the provisions of IDEA, Part B. Such an application must:

• Be received by the SED before the beginning date of the program and no later than August 31, 2007, whichever occurs sooner;
• Demonstrate compliance with all federal and State program and policy requirements governing the provision of free appropriate public education to students with disabilities; and
• Include any other information the SED may require to carry out its responsibilities under IDEA, Part B.

Reallocation of Funds in the Absence of Required Applications

Allocations to LEAs not submitting their application in a timely manner will be reclaimed by the SED and reallocated for use by other agencies in accordance with the provisions of IDEA, Part B statute and regulations.

New York State Education Department Review and Approval Procedures

SED payments or reimbursements to eligible recipients for proposed project expenditures are subject to approval of the project budget or budget amendments by the VESID Special Education Budget and Finance Unit. While the process culminating in recommendation for budget approval takes about four (4) weeks from the date of receipt, other factors may substantially delay final budget approval. For example, application approval may be withheld until all required special education data reports and/or other requests for information have been provided, which include, but are not limited to:

• The submission of the 2007-2008 Application for Federal IDEA Section 611 and 619 Funding for the Education of Students with Disabilities (application) with the original signature of the Chief School/Administrative Office in blue ink and the required information pertaining to LEA local effort for the past and current school years on the application cover page;
• The application must contain all included assurances and the completed NIMAC assurance and Certification Pertaining to the Payment of Vendor Funding to New York SED-Approved Special Education Programs (ASEPs);
• The FS-10 submitted to SED for both the section 611 and 619 sub-grants must also bear the original signature of the Chief School/Administrative Office in blue ink on p. 8 and two copies.
• The FS-10 must contain detailed program information including, but not limited to:

	The Title, FTE, Annualized Rate of Pay and Proposed Expenditure must be indicated under Salaries for Professional Staff: Code 15 and Salaries for Support Staff: Code 16 of the FS-10;
	A detailed listing of vendor funding information to include a list of ASEPs8 , number of students per provider, and the per-student vendor funding amount under Purchased Services: Code 40 and/or Purchased Services with BOCES Code 49 of the FS-10, if the LEA proposes to pay these expenditures, if any, using IDEA, Part B funds. To assist LEAs in calculating vendor funding for students with disabilities to ASEPs, a worksheet is available for both the section 611 and section 619 sub-grant projects under ASEP Worksheets on the web site. The SEDCAR report to calculate the minimum per-student vendor funding amounts is available under Federal Allocations on the web site;
	A detailed listing of equipment items with a unit costs of less than $5,000.00 in Supplies and Materials: Code 45 of the FS-10; and
	A detailed listing of equipment items with a unit costs of $5,000.00 or greater under Equipment: Code 20 of the FS-10.

Such omissions may result in substantial delays in receipt of payments under these federal programs.

PLEASE NOTE: Project activities and expenditures are typically approved to begin on or after the date of receipt of the application or amendment and, therefore, unless an applicant has sufficient reason to believe that a proposed budgeted expense will not be approved, the project should be initiated on the proposed beginning date of the project.

Once the application is approved, the individual budgets for both the 2007-2008 IDEA, Part B section 611 and section 619 sub-grants as listed on the FS-10 form, the original and one copy of which will be forwarded to the Grants Finance Unit for further processing. The Grants Finance Unit will then mail a Grant Award Notice followed by a copy of the approved budget (FS-10) to the LEA (public school district and Special Act school district).

Disapproval – Applicant Recourse

Applicant project expenditures which have been disapproved or disallowed by the SED's VESID Program Office for cause shall not be reimbursed from federal funds. Written notice of pending disapproval of an application/budget will be sent to the applicant for receipt at least thirty days prior to actual disapproval. The notice will contain a statement of the reasons for the pending disapproval or reclamation and corrective actions to be taken. Failure to submit an acceptable plan of corrective action in a timely manner could result in the forfeiture of 2007-2008 IDEA, Part B funds.

Such notice to the state agency or LEA will include the following information:

• Within thirty days of the date of receipt of the notice, the applicant may request a hearing before the Deputy Commissioner for the Office of Vocational and Educational Services for Individuals with Disabilities (VESID) or the designee of the Deputy Commissioner.
• If requested, a hearing shall be conducted within thirty days of receipt of the request.
• Within ten days following the hearing, the Deputy Commissioner shall issue a written ruling which includes the findings of fact and reasons for either rescinding or sustaining the recommended disapproval.
• If the action is not rescinded, the applicant may appeal to the United States Secretary of Education, the notice of which must be filed with the Secretary by the applicant within twenty days of the SED’s notice of its findings.
• Any State agency or LEA that receives such notice must satisfy the public notice requirements of 34 CFR §300.222(b).
  

Technical Assistance for Budget-Related Forms

Please follow the instructions printed on page 1 of the FS-10 budget and FS-10-A amendment forms with the following understandings:

• A separate FS-10 must be completed for each source of funds (the section 611 and section 619 sub-grants). Enter the source of funds budgeted on the first line of page 1 of the budget form. Affix the appropriate project number label (enclosed with the Notice of Final Allocation mailing) on page 8 of each FS-10 form, before making photocopies for submission. The assigned project number for each source of federal funds appears on the Notice of Final Allocation.

  Pursuant to Education Law §4410-b, LEAs are required to pay vendor funding to ASEPs, on a per-pupil basis, up to the number of students with disabilities placed in the program by the LEA on December 1, 2006. Upon receipt of SEDCAR-1 forms, LEAs must also dispense vendor funding to approved out-of-state private schools if the LEA was the last school district of residence for students with disabilities when placed there by the courts (Article 81). Each ASEP eligible to receive such vendor funding will have that information reflected as a one-line entry in Code 40 (Purchased Services) and/or Code 49 (Purchased Services with BOCES) of the section 611 and/or section 619 FS-10 sub-grant projects based on the timely and accurate submission of a SEDCAR-1 form if the LEA chooses to dispense such funds using IDEA, Part B allocations rather than local funds. Additional information in this regard is available in the section of this memorandum entitled: State Procedures for the Disbursement of Federal Part B Flow-Through Allocations for 2007-08.

• All public school districts, Special Act School Districts and State agencies have approved maximum restricted indirect cost rates, which may be budgeted under Code 90 of the FS-10 form. Please note: Indirect costs may not be claimed on any vendor funding to ASEPs pursuant to Education Law §4410-b, Article 81 funds distributed to ASEPs by an LEA or for the portion of each sub-contract listed in Purchased Services (Code 40) exceeding $25,000.
• In accordance with federal rules, LEAs may not obligate funds for a proposed federal grant project until it has been received by SED in a substantially approvable form.
• For general information on funding procedures, financial forms and budget guidelines please refer to the Fiscal Guidelines for Federal and State Aided Grants, which is available on the OMS-Grants Finance Unit's web site – http://www.oms.nysed.gov/cafe/. For specific IDEA, Part B funding or application information, please refer to the resources listed on page viii.
  

State Procedures for the Disbursement of Federal IDEA, Part B Flow-Through Allocations for 2007-2008

Pursuant to the federal IDEA 2004 and Education Law §4410-b, the SED (SED) must allocate all IDEA Part B flow-through funds to local educational agencies (LEAs), with the LEAs appropriately allocating vendor funds to approved special education programs (ASEPs). The per-student vendor funding amount each LEA must pay to each eligible ASEP under section 611 and section 619 or using local funds is calculated by the LEA based on data reported in the LEA’s special education child count report (PD-1/4 report) for December 1, 2006 and the Approved Special Education Program Request For IDEA Vendor Funding (SEDCAR-1) forms received from ASEPs by March 1, 2007. LEAs may choose not to honor SEDCAR-1 requests received after this date, and thus, ASEPs who do not submit SEDCAR-1 forms to a LEA by this date may be ineligible to receive IDEA or local vendor funding for the 2007-2008 program year.

Included are:

• Procedures for disbursing IDEA, Part B flow-through funds in 2007-2008;
• LEA and ASEP Calendar of Events for 2007-2008; and
• SED resources which are available to provide technical assistance and information.

Available on the VESID Special Education Budget and Finance Unit (SEBF) web site at http://www.vesid.nysed.gov/spedfin/ are:

• Worksheets to facilitate and ensure the accuracy of LEA calculations of IDEA, Part B section 611 and section 619 per-student vendor funding amounts; and
• Commonly asked questions regarding allocation and vendor funding of IDEA, Part B funds
  

1. Method for LEAs to Calculate Per-Student Vendor Funding Amounts Using 2007-2008 IDEA, Part B Flow-Through Funds to ASEPs

Pursuant to federal and State statutes, the initial budgets for the 2007-2008 IDEA, Part B section 611 and section 619 sub-grant programs may include a vendor amount to be disbursed to each eligible ASEP serving students with disabilities. To assist LEAs in calculating per-student vendor funding amounts to ASEPs, worksheets for the section 611 and section 619 sub-grant projects are available on the SEBF web site under ASEP Worksheets and the SEDCAR report to calculate the minimum per-student vendor funding amount is also available on this web site under Federal Allocations by scrolling down and clicking on Final Notices of Allocations under IDEA, Sections 611 and 619 for School Years 2000-01 through 2007-08. In this regard, BOCES preschool ASEPs should be listed in Purchased Services from BOCES: Code 49 and all other ASEPs should be listed in Purchased Services: Code 40 in the FS-10. Upon SED approval and processing of the LEA’s FS-10s for each of these projects, 20 percent of the budget amounts will be disbursed to the LEA. Additional disbursements of section 611 and/or section 619 project funds to LEAs will be made upon their submission of a Request for Funds for a Federal or State Project form (FS-25) and the Final Expenditure for a Federal or State Project form (FS-10-F).

Vendor Funding to ASEPs

ASEPs are eligible for vendor funding of 2007-2008 IDEA, Part B section 611 and section 619 flow-through or local district funds on a per-student basis, based on the number of students provided special education services on December 1, 2005, pursuant to Section 4410 (for preschool students with disabilities), Article 89 (placement of school-age students by Committees on Special Education) and Article 81 (placements of school-age students through courts or State agencies). There are two general types of ASEPs:

• Approved Preschool Special Education Programs which operated a special education itinerant teacher program, a special class program or a special class in an integrated setting, on December 1, 2005, including:

	Approved private preschool special education programs. If an approved preschool special education program as described above also provided related services only, it may submit SEDCAR forms for the related services only children as well.
	4201 Schools, which operate approved preschool special education programs.
	Only those Boards of Cooperative Educational Services (BOCES), which operate approved preschool special education programs.
	Only those school districts, which operate approved preschool special education programs.

• Approved School-Age Special Education Programs, which provided special education services on December 1, 2005, including:
  

	Approved private schools for students with disabilities, that receive students from public school districts (Article 89 placements)
	4201 Schools
	Approved out-of-state private schools for students with disabilities that receive students through courts or State agencies (Article 81 placements).

In order to receive 2007-2008 IDEA, Part B section 611 and section 619 or local vendor funding pursuant to Education Law §4410-b, the ASEP must have submitted a SEDCAR-1 form (Approved Special Education Program Request for IDEA, Part B Vendor Funding), on or before March 1, 2007, to each LEA which placed one or more students with disabilities in the ASEP program on December 1, 2006. Approved out-of-state private schools in which courts placed students with disabilities (Article 81) will also submit a SEDCAR-1 form to request a per-student vendor funding amount from the school district of residence that maintains committee on special education (CSE) responsibility for such students.

For students placed by the courts and State agencies in approved private in-state residential schools that provide students with services pursuant to Article 81, a separate SEDCAR-2 (In State Article 81 School Notice of Designated Local Education Agency for IDEA, Part B Funds) form is required. This form is used to designate the LEA to be allocated the 2007-2008 IDEA, Part B section 611 and section 619 flow-through allocations attributable to students receiving services pursuant to Article 81, reported by such schools in the December 1, 1998 PD-2 reports and adjusted for population and poverty. The LEA is receiving these additional funds to be added to its final notice of allocation and is required to provide vendor funds to the in-state school providing services to students pursuant to Article 81.⁹

The responsibilities of LEAs designated through this procedure are identical to those specified for LEAs who have placed students with disabilities in other types of approved special education programs.

Vendor Funding Requirements

In accordance with State statute, payments of 2007-2008 IDEA, Part B section 611 and section 619 vendor funds shall be made by LEAs to ASEPs in the same proportion as funds are disbursed to LEAs by SED, within 30 calendar days after the LEA receives any portion of its allocation of funds for the current year. The last 10% payment to ASEPs must be made prior to the LEAs submitting their FS-10-Fs. Please note: LEAs must now pay one-third of their calculated 2007-2008 IDEA, Part B section 619 and section 611 per-student vendor funding amount to ASEPs which submitted SEDCAR-1 forms for preschool students with a disability which they provided related services only with one exception.¹⁰

In accordance with the requirements of §613(f) of the Act and 34 CFR §300.646(b)(2), if SED has notified the LEA that it has been identified for disproportionality pursuant to Indicators 4(b), 9 and/or 10 of SED’s SPP 2005-2010, it must reserve and expend 15% of the district’s 2007-2008 IDEA, Part B section 611 final allocation (excluding any carryover funds) solely for the provision of comprehensive, coordinated early intervening services. It must then deduct this 15% amount to find the 2007-2008 IDEA, Part B adjusted final allocation prior to calculating the per-student vendor funding amount for this sub-grant project.

LEA-ASEP vendor relationships require the submission of a budget that describes the services the LEA is purchasing from the ASEP pertaining to the education of students with disabilities 3-21 attending it. In addition, LEA-ASEP vendor relationships require the development of a legal agreement prior to the disbursement of funds from the LEA to each ASEP. The legal agreement between the LEA and ASEP must contain, but is not limited to, the following:

• The submission by the ASEP of periodic reports to the LEA containing programmatic and fiscal information; and
• The submission by the ASEP of a final expenditure report to the LEA delineating the manner in which the ASEP spent the vendor funds it received from the LEA.

ASEPs may obligate funds that are provided through vendor funding by LEAs as of the beginning date established in the written agreement.

SED Web Site Regarding IDEA, Part B Allocations

To reduce administrative burden and facilitate budgeting for LEAs and for ASEPs, the following information will be posted on the New York SED, VESID SEBF web site at http://www.vesid.nysed.gov/spedfin/. This is the WEB SITE FOR THE VESID UNIT RESPONSIBLE FOR PROGRAMMATIC REVIEW AND APPROVAL OF IDEA, PART B FEDERAL FUNDS. This site will contain links to the other sites that contain information regarding IDEA, Part B. A Question & Answer and comment form is also available for your convenience:

1) Each LEA’s allocations for 2007-2008 IDEA, Part B section 611 and section 619, as well as the CPSE Administrative Cost Reimbursement Program allocation, will be posted and available for viewing under Federal Allocations by scrolling down and clicking on Final Notices of Allocations under IDEA, Sections 611 and 619 for School Years 2000-01 through 2007-08. This posting will include the LEA name, BEDS code, allocation amounts, and the total resident student counts of children with disabilities. The student count should be divided into the allocation for the section 611 and section 619 sub-grant projects to calculate the minimum per-student vendor funding amount due to ASEPs for each project. Please note: the per-student vendor funding amount due to ASEPs remains the same if the LEA chooses to pay ASEPs using IDEA, Part B and/or local funds. Allocation information will be posted for 2000-2001, 2001-2002, 2002-2003, 2003-2004, 2004-2005, 2005-2006, 2006-2007 and 2007-2008.

2) Information pertaining to LEAs designated by in-state Article 81 ASEPs to receive additional 2007-2008 IDEA, Part B allocations will be posted under Federal Allocations by scrolling down to Additional Allocations to LEA’s Designated to Sub-allocate IDEA Funds to Article 81 Schools and clicking on 2007-2008. This posting will include the LEA name, the LEA BEDS Code, the ASEP name, the ASEP BEDS Code, and the section 611 and section 619 allocation amounts to be disbursed to eligible ASEPs. Please note: as indicated in the footnote on page 26, Article 81 funds to eligible LEAs must be disbursed to ASEPs through the section 611 and section 619 sub-grants under Purchased Services: Code 40 of the FS-10.

SED INFORMATION CONTACTS

If you have any questions pertaining to this material, please contact one of the following SED units:

• VESID - Special Education Budget and Finance (518) 486-4734 – Regarding general policy/procedures, status of applications, allowable expenses and federal laws and regulations, and procedures for calculating and budgeting per-student vendor funding amounts.
• SEDCAR (518) 486-4678 – Regarding status of SEDCAR-2 forms, child counts on PD forms and Federal allocations.
• Special Education Policy Unit (518) 473-2878 – Regarding Approved Special Education Programs.

II. LEA and ASEP Calendar of Events for 2007 – 2008

May 2007

• SED application materials regarding the IDEA, Part B CPSE Administrative Cost Reimbursement Program sub-grant is available to LEAs on the web site.

June 2007

• Notice of Final Allocation disseminated to LEAs
• SED posts on web site, for each LEA, section 611 and section 619 allocations for 2007-2008 and student counts to calculate the minimum per-student vendor funding amounts to ASEPs.

July 2007

• Special education application materials for the CPSE Administrative Cost Reimbursement sub-grant due to SED from LEAs by July 1, 2007.
• LEAs use optional SED worksheets to calculate section 611 and section 619 per-student vendor funding amounts (Note: per-student vendor funding amounts to Charter Schools and private schools within the jurisdiction of the LEA that have school-age children with disabilities parentally placed by their parents, if applicable, may be taken from the LEA's portion of the section 611 and section 619 allocation amounts if the LEA chooses to pay this vendor funding using federal IDEA, Part B funds).
• SED Memorandums and application materials regarding IDEA, Part B Section 611 and Section 619 Flow-Through Procedures are available to LEAs and ASEPs on the web site.
• SED posts on web site, Article 81 ASEP additional allocations and LEAs designated in SEDCAR-2 forms

By August 31, 2007

• Special education application materials for 2007-2008 IDEA, Part B section 611 and section 619 sub-grants due to SED from LEAs
• LEAs issue written notices of 2007-2008 IDEA, Part B section 611 and section 619 per-student vendor funding amounts to ASEPs

September/October 2007

• Notification of SEDCAR-1 and SEDCAR-2 forms will be sent by Strategic Evaluation Data Collection, Analysis and Reporting (SEDCAR) for data collection as of 12/1/2006

December 1, 2007 – March 1, 2008

• ASEPs submit SEDCAR-1 forms to LEAs for 2008-2009 IDEA, Part B section 611 and section 619 per-student vendor funding
• Article 81 ASEPs submit SEDCAR-2 forms to SED and designated LEA for 2008-2009 section 611 and section 619 vendor funding

March 1, 2008

• SEDCAR-1 forms from ASEPs due to LEAs (Note: This is an extremely important due date. LEAs may not honor SEDCAR-1 forms received after this date, and the ASEP may be ineligible to receive IDEA, Part B per-student vendor funding amounts for the 2008-2009 program year.)
• SEDCAR-2 forms from Article 81 ASEPs due to SED and designated LEA

May 2008

• SED issues Notice of Final IDEA, Part B Allocations to LEAs (approximate timeframe)
• SED special education application materials are available to LEAs for 2008-2009 (approximate timeframe)

June 2008

• SED posts on web site, for each LEA, section 611 and section 619 allocations for 2008-2009
• SED posts on web site, Article 81 ASEP allocations and designated LEA in SEDCAR-2 forms

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