A r c h i v e d  I n f o r m a t i o n

UNITED STATES DEPARTMENT OF EDUCATION

OFFICE OF ELEMENTARY AND SECONDARY EDUCATION

WASHINGTON, DC 20202-6132

ESEA, TITLE I

PROGRAM DIRECTIVE

SUBJECT
Annual Report on Prior Year Title I, Part A Allocations to Local Educational Agencies for Use in Computing School Year 1999-2000 Title I Allocations
TYPE AND NUMBER OF DIRECTIVE
FM-26
DATE SIGNED
October 29, 1998
ISSUING OFFICE
CEP
Reference: Title I, Part A of the Elementary and Secondary Education Act of 1965, as amended, Sections 1122 and 1124

TO : State Title I Coordinators

PURPOSE: Transmittal of ED Form 4377, Needed to Collect Information on School Year 1998-99 Title I, Part A Allocations to Local Educational Agencies

The Title I statute requires the U.S. Department of Education (ED), beginning in school year (SY) 1999-2000, to allocate Part A funds directly to LEAs using updated 1996 census poverty estimates compiled for LEAs by the Bureau of the Census, unless the Secretaries of Education and Commerce determine that use of the updated LEA poverty data would be inappropriate or unreliable taking into consideration the recommendations of the study being conducted by the National Academy of Sciences (NAS). The recommendations by NAS are not due until January 1999. Therefore, the Secretaries cannot determine whether the LEA-level poverty estimates are appropriate and reliable for allocating Title I, Part A funds to LEAs until after that time. In the meantime, ED must take all necessary steps in preparation for making allocations directly to LEAs.

One such step is establishing the prior-year base on which to determine the hold-harmless guarantees required in the statutory formula. The statute guarantees that each LEA will receive a minimum Basic Grant ranging from 85 to 95 percent (depending on the percentage each LEA's Title I formula count is of its total population ages 5 through 17) of its prior year allocation. Usually, there is no hold-harmless provision for Concentration Grants. However, Public Law 105-277, the Omnibus Consolidated and Emergency Supplemental Appropriations Act, amended the statutory formula and established a 100 percent hold-harmless requirement that applies to Basic and Concentration Grants for SY 1999-2000.

The purpose of the attached survey is to collect information on the amount of Title I, Part A funds each State educational agency (SEA) allocated to its LEAs and the amount the SEA made available for Part D, Subpart 2 purposes for SY 1998-99 to assist ED in establishing a prior-year base on which to determine 'hold-harmless' guarantees. In completing this survey, please follow the instructions provided on the survey form. In particular, please include an allocation for each LEA in your State that is entitled to receive a Title I, Part A Basic or Concentration Grant allocation, even if the LEA chooses not to participate. Do not include any carryover, reallocation, or Title I, Part D, Subpart 2 funds in an LEA's allocation.

We have attached (mailed) a list of LEAs, with National Center for Education Statistics (NCES) identification codes that the Census Bureau has prepared based on school district maps provided by your State. We will also make this list available to you electronically. To help us process your State's data, please include the NCES code with each LEA that you show receiving a SY 1998-99 Title I, Part A allocation. We realize you may have allocated funds to eligible LEAs that are not on the attached list. If so, please show those LEAs and the Title I, Part A amounts allocated to them for SY 1998-99 at the end of the list. In addition, as part of this survey, please provide the amount of funds your SEA reserved out of your total Title I, Part A State allocation for State Administration and School Improvement activities for SY 1998-99.

Please return the completed survey to us no later than December 11, 1998 at the following address:

We encourage you to submit the completed survey in an electronic spreadsheet form to our office at the following E-mail address:

Note that if you submit these data electronically, you must provide us with a signed certification page at the above address indicating that the information submitted is complete and accurate.

Any questions regarding the completion of this survey should be referred to Mr. Sandy Brown of my staff at (202) 260-0976.

Mary Jean LeTendre
Director
Compensatory Education Programs

Attachments

cc: Chief State School Officers
CEP/10/20/98/BROWN/260-0984/FM-26 LEA hold-harmless
cc:OF/HUNKIN/Chron\writer

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