MAINTENANCE OF EFFORT

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MAINTENANCE OF EFFORT

Authorities:  34 CFR Part 300; Appendices D and E to Part 300; TEA Maintenance of Effort; IDEA-B LEA Maintenance of Effort (MOE) Calculation Tool; Alternate IDEA-B LEA Maintenance of Effort (MOE) Calculation Tool

 
 
 
  FEDERAL AND STATE REQUIREMENTS
 
ELIGIBILITY STANDARD
Practice
For purposes of establishing the local educational agency's (LEA's) eligibility for an award for a fiscal year, the Texas Education Agency (TEA) will determine that the LEA budgets, for the education of children with disabilities, at least the same amount, from at least one of the following sources, as the LEA spent for that purpose from the same source for the most recent fiscal year for which information is available: Citations:
300.203(a)(1)
IDEA-B Maintenance of Effort (TEA)
Practice
  • Local funds only;
 Citations:
300.203(a)(1)(i)
Practice
  • The combination of state and local funds;
 Citations:
300.203(a)(1)(ii)
Practice
  • Local funds only on a per capita basis; or
 Citations:
300.203(a)(1)(iii)
Practice
  • The combination of state and local funds on a per capita basis.
 Citations:
300.203(a)(1)(iv)
Practice
When determining the amount of funds that the LEA must budget to meet the eligibility standard, the LEA may take into consideration, to the extent the information is available, the EXCEPTION and ADJUSTMENT TO LOCAL FISCAL EFFORTS that the LEA:
Practice
  • Took in the intervening year or years between the most recent fiscal year for which information is available and the fiscal year for which the LEA is budgeting; and
 Citations:
300.203(a)(2)(i)
Practice
  • Reasonably expects to take in the fiscal year for which the LEA is budgeting.
 Citations:
300.203(a)(2)(ii)
Practice
Expenditures made from funds provided by the federal government for which the TEA is required to account to the federal government or for which the LEA is required to account to the federal government directly or through the TEA may not be considered in determining whether the LEA meets the eligibility standard. Citations:
300.203(a)(3)
 
COMPLIANCE STANDARD
Practice
Except as provided in this framework, funds provided to the LEA under the Individuals with Disabilities Education Act (IDEA) Part B must not be used to reduce the level of expenditures for the education of children with disabilities made by the LEA from local funds below the level of those expenditures for the preceding fiscal year. Citations:
300.203(b)(1)
Appendix E to Part 300
IDEA-B MOE Calculation Tool-Districts
Alternate IDEA-B MOE Calculation Tool-Charters
Practice

An LEA complies with maintenance of effort (MOE) requirements if an LEA does not reduce the level of expenditures for the education of children with disabilities made by the LEA from at least one of the following sources below the level of those expenditures from the same source for the preceding fiscal year, except as provided by this framework:

 Citations:
300.203(b)(2)
Practice
  • Local funds only;
Citations:
300.203(b)(2)(i)
Practice
  • The combination of state and local funds;
 Citations:
300.203(b)(2)(ii)
Practice
  • Local funds only on a per capita basis; or
 Citations:
300.203(b)(2)(iii)
Practice
  • The combination of state and local funds on a per capita basis.
 Citations:
300.203(b)(2)(iv)
Practice
Expenditures made from funds provided by the federal government for which the TEA is required to account to the federal government or for which the LEA is required to account to the federal government directly or through the TEA may not be considered in determining whether an LEA complies with MOE. Citations:
300.203(b)(3)
 
SUBSEQUENT YEARS
Practice
If, in the fiscal year beginning on July 1, 2013 or July 1, 2014, an LEA fails to comply with MOE, the level of expenditures required of the LEA for the fiscal year subsequent to the year of the failure is the amount that would have been required in the absence of that failure, not the LEA's reduced level of expenditures. Citations:
300.203(c)(1)
Practice
If, in any fiscal year beginning on or after July 1, 2015, an LEA fails to comply with MOE in expenditures from local funds only or local funds only on a per capita basis and the LEA is relying on that basis, to meet the eligibility and compliance standard, the level of expenditures required of the LEA for the fiscal year subsequent to the year of the failure is the amount that would have been required from local funds only or local funds only on a per capita basis in the absence of that failure, not the LEA's reduced level of expenditures. Citations:
300.203(c)(2)
Practice
If, in any fiscal year beginning on or after July 1, 2015, an LEA fails to comply with MOE in expenditures from the combination of state and local funds or the combination of state and local funds on a per capita basis and the LEA is relying on that basis to meet the eligibility or compliance standard, the level of expenditures required of the LEA for the fiscal year subsequent to the year of the failure is the amount that would have been required from a combination of state and local funds or the combination of state and local funds on a per capita basis in the absence of that failure, not the LEA's reduced level of expenditures. Citations:
300.203(c)(3)
 
EXCEPTION
Practice

The LEA may reduce the level of expenditures by the LEA under IDEA Part B below the level of those expenditures for the preceding fiscal year if the reduction is attributable to any of the following:

 Citations:
300.204
Practice
  • The voluntary departure, by retirement or otherwise, or departure for just cause, of special education or related services personnel;
 Citations:
300.204(a)
Practice
  • A decrease in the enrollment of children with disabilities;
 Citations:
300.204(b)
Practice
  • The termination of the obligation of the LEA to provide a program of special education to a particular child with a disability that is an exceptionally costly program, as determined by the TEA, because the child: 
 Citations:
300.204(c)
Practice
    • Has left the jurisdiction of the LEA;
 Citations:
300.204(c)(1)
Practice
    • Has reached the age at which the obligation of the LEA to provide a free appropriate public education (FAPE) to the child has terminated; or
 Citations:
300.204(c)(2)
Practice
    • No longer needs the program of special education;
 Citations:
300.204(c)(3)
Practice
  • The termination of costly expenditures for long-term purchases, such as the acquisition of equipment or the construction of school facilities; or
 Citations:
300.204(d)
Practice
  • The assumption of cost by the high cost fund operated by the TEA.
 Citations:
300.204(e)
Practice

If an LEA spends reimbursements from federal funds (e.g., Medicaid) for IDEA Part B services, those funds will not be considered to be state or local funds for purposes of MOE.

 Citations:
300.154(g)(2)
 

EARLY INTERVENING SERVICES
Practice

Funds made available to provide early intervening services that are coordinated and aligned with activities funded by and carried out under the Elementary and Secondary Education Act (ESEA) consistent with USE OF IDEA PART B FORMULA AMOUNTS PERMISSIVE must supplement, and not supplant, funds available under the ESEA.

 Citations:
300.226(e)
Appendix D to Part 300
 
ADJUSTMENT TO LOCAL FISCAL EFFORTS
Practice

For any fiscal year for which the IDEA Part B formula fund allocation received by the LEA exceeds the amount the LEA received for the previous fiscal year, the LEA:

 Citations:
300.205(a)
Practice
  • May reduce the level of expenditures by not more than 50% of the amount of such excess; and
 Citations:
300.205(a)
Practice
  • Must use an amount of local funds equal to the reduction of expenditures to carry out activities authorized under the ESEA when it exercises its authority to reduce funding.
 Citations:
300.205(b)
Practice

The TEA will prohibit the LEA from reducing the level of expenditures for that fiscal year, if the TEA determines that an LEA is unable to establish and maintain programs of FAPE or the TEA has taken action against the LEA as part of its monitoring, technical assistance, and enforcement responsibilities.

 Citations:
300.205(c)
Practice

The amount of IDEA Part B formula funds expended by an LEA will count toward the maximum amount of expenditures that the LEA may reduce.

 Citations:
300.205(d)
  Last Updated : Wed, Aug 09, 2023