INFORMATIONAL
 

TO:	Division Superintendents
FROM:	Jo Lynne DeMary Superintendent of Public Instruction
SUBJECT:	Direct Aid to Public Education Payment Schedule and Program Classification Structure for Fiscal Year 2002

The purpose of this memorandum is to provide you with information regarding the fiscal year 2002 Direct Aid to Public Education payment schedule (state funds only) and the fiscal year 2002 Program Classification Structure (Attachment B). Attachment A provides information on each Direct Aid account for fiscal year 2002 regarding local match and certification/application requirements. For purposes of this memorandum, fiscal year 2002 begins on July 1, 2001, and ends on June 30, 2002.
 
 

SECTION 1: Direct Aid Payment Schedule (State Funds Only)

This section lists the payment schedule for those Direct Aid to Public Education accounts that will be paid by electronic data interchange (EDI) on a recurring (i.e., semi-monthly) or non-recurring (i.e., reimbursement basis) payment schedule in fiscal year 2002.

Accounts paid through semi-monthly EDIs (funds deposited on the 16^th and the last day of each month beginning in July 2001):

• Basic Aid
• Retirement (Instructional and Non-Instructional)
• Social Security (Instructional and Non-Instructional)
• Group Life (Instructional and Non-Instructional)
• Vocational Education - Standards of Quality (SOQ)
• Remedial Education (SOQ)
• Special Education (SOQ)
• Gifted Education (SOQ)
• Maintenance Supplement
• Textbooks
• At-Risk
• Sales Tax (paid by the Virginia Department of Accounts to the local treasurer or finance officer of the locality)

Current projections of March 31, 2002, ADM will be recalculated this fall based on actual September 30, 2001, fall membership. If the revised ADM projections differ significantly from the current ADM projections, affected accounts will be recalculated using the revised projections. If necessary, this adjustment would occur around mid-year. If the revised projections do not differ significantly from current projections, payments will continue to be made on the current projections until actual March 31, 2002, ADM is received. Until such time as a change is made for actual March 31, 2002, ADM or ADM projections are revised based on 2001 fall membership, Direct Aid payments for fiscal year 2002 will be made using the projected entitlements as enclosed with Administrative Superintendent’s Memorandum Number 25, dated May 25, 2001.

Following the collection of actual March 31, 2002, ADM, payments for the following accounts will be recalculated using actual adjusted or unadjusted ADM data as indicated below:

Accounts calculated on adjusted ADM: Basic Aid, Gifted Education (SOQ), Retirement, Social Security, Group Life, Retiree Health Care Credit, Textbooks, Enrollment Loss, Maintenance Supplement, Salary Supplement, Lottery, Standards of Learning (SOL) Instructional Materials, and SOL Teacher Training. Please note that the Retiree Health Care Credit entitlement is paid directly to the Virginia Retirement System (VRS) on behalf of school divisions. The entitlement for Enrollment Loss will be distributed in one payment after actual March 31, 2002, ADM is received and finalized.

Accounts calculated on unadjusted ADM: Vocational Education (SOQ), Special Education (SOQ), Remedial Education (SOQ), At-Risk, and School Health Incentive Fund.

The following accounts are paid on the basis of Fall Membership and will be adjusted after September 30, 2001, Fall Membership is received and finalized:

• Early Reading Intervention, SOL Algebra Readiness, SOL Remediation, and K-3 Primary Class Size Reduction (K-3 Primary Class Size Reduction will be paid on a semi-monthly recurring basis beginning on or about the January 16, 2002, EDI).

• At-risk –- While this account will be set-up as a semi-monthly recurring payment beginning on the July 16, 2001, EDI, divisions are required to submit a certification to the department. Guidance on the required certification will be included in a separate Superintendent’s Memorandum in August 2001.

• Lottery -- Guidance on the required certification will be included in a separate Superintendent’s Memorandum in August 2001. Recurring payments will be made on the 16^th and the last day of each month after the completed certification is received in the department. (The Lottery Hold Harmless entitlement, which does not require an application or certification as a condition for receiving funds, is projected to be distributed in one payment in spring 2002.)

• At-Risk Four-Year-Olds Preschool -- Fifty percent of this entitlement will be paid after the required application is approved and the remaining 50 percent will be paid in February 2002. The entitlement for fiscal year 2002 will be based on actual participation data that will be submitted to the department in fall 2001. Guidance on the fiscal year 2002 application process was included in Informational Superintendent’s Memorandum Number 61, dated April 20, 2001.

• Truancy -- Fifty percent of this entitlement will be paid after the required application is approved and the remaining 50 percent will be paid after a final report is received and approved by the department. Guidance on the application process and final report will be included in a separate Superintendent’s Memorandum.

• School Health Incentive Fund -- Fifty percent of this entitlement will be paid after the department approves the grant application. The remaining 50 percent will be paid after actual March 31, 2002, ADM is received and finalized. Guidance on the application process will be included in a separate Superintendent’s Memorandum.

• Additional Teachers -- This entitlement will be paid after the required certification is submitted to the department and the department conducts an analysis comparing actual elementary teacher staffing and elementary teachers funded through the SOQ and the K-3 Primary Class Size Reduction program. Guidance on the required certification will be included in a separate Superintendent’s Memorandum in August 2001. The entitlement will be distributed in two equal payments in December 2001 and March 2002.

• SOL Teacher Training -- School divisions must submit a request for funding to the department and a local plan for delivering a training program that meets stated objectives and requirements. Guidance on the required application for funding was included in a separate Superintendent’s Memorandum. Two-thirds of this entitlement will be paid in September 2001 if the funding request and training plan have been approved. The remaining one-third entitlement will be paid after actual March 31, 2002, ADM is received and finalized.

• School Construction -- Fifty percent of school construction funds will be distributed in December 2001, after the certification is received in the department. The final 50 percent will be distributed in May 2002. Guidance on the required certification will be included in a separate Superintendent’s Memorandum in August 2001.

• Early Reading Intervention -- Fifty percent of the entitlement will be paid in December 2001, upon receipt and approval of the required certification form. The remaining 50 percent will be paid in February 2002, based upon participation rates in the prior year. School divisions must submit a report of the number of children identified and served in the program in fiscal year 2002. Details on this program are outlined in Informational Superintendent’s Memorandum Number 91, dated June 8, 2001.

• SOL Algebra Readiness and SOL Remediation -– These entitlements will be paid in two equal payments in November 2001 and March 2002 after the department receives the required certifications. Guidance on the required certifications will be included in separate Superintendent’s Memoranda.

• K-3 Primary Class Size Reduction -- Guidance on the required certification will be included in a separate Superintendent’s Memorandum in fall 2001. After the certification is received in the department, recurring payments will be made on the 16^th and the last day of each month beginning on or about the January 16, 2002, EDI.

• Salary Supplement -– All school divisions previously certified that the requirements for receiving state Salary Supplement funds in fiscal year 2001 were met. Based on this certification, all school divisions are scheduled to receive state funds for the fiscal year 2002 continuation cost of the fiscal year 2001 increase. No additional certification is necessary to receive this state funding in fiscal year 2002. Salary supplement funds will be paid on a recurring basis on the 16^th and the last day of each month beginning with the September 16, 2001, EDI. Please note that no additional salary supplement funding has been appropriated that provides for a new salary increase for fiscal year 2002.

• Remedial Summer School -- Fifty percent of the Remedial Summer School payment will be paid in August 2001 based on estimated enrollment and the balance in October 2001 after actual summer school enrollment is received for the summer 2001 program. Guidance on the reimbursement process will be issued in a separate Superintendent’s Memorandum in July 2001.

• SOL Instructional Materials -- Fifty percent of this entitlement will be paid after the required certification is received and approved by the department. The remaining 50 percent will be paid after actual March 31, 2002, ADM is received and finalized. Guidance on the required certification will be included in a separate Superintendent’s Memorandum.
• Dropout Prevention -- Fifty percent of this entitlement will be paid after the required application is received and approved by the department. The remaining 50 percent will be paid after a final report is received and approved by the department. Guidance on the required application and final report will be included in a separate Superintendent’s Memorandum.

• Technology Resource Assistants -- Fifty percent of this entitlement will be paid after the required certification is received and approved by the department. The remaining 50 percent will be paid in February 2002. Guidance on the required certification will be included in a separate Superintendent’s Memorandum in August 2001.

Categorical accounts paid on a reimbursement basis are as follows:

• Special Education Hospitals, Clinics, and Detention Homes (quarterly or semi-annual reimbursement)
• Advancement Via Individual Determination (AVID)
• Regional Alternative Education
• Electronic Classroom
• School Nutrition
• Governor’s Schools
• Virginia Guaranteed Assistance Program (VGAP)

• Vocational Education Categorical -– The Occupational Prep and Adult entitlements are projected to be paid in one payment in December 2001. The Vocational Education Equipment component is paid on a reimbursement basis.

• Special Education Homebound -– One payment is projected to be made in fall 2001 upon receipt of prior year (fiscal year 2001) reimbursement data.

• Special Education Regional Tuition -– Payment is made twice a year; entitlements are paid in the semester that follows the one in which the expense was incurred (i.e., spring 2001 reimbursement is paid in fall 2001; fall 2001 reimbursement is paid in spring 2002).

• Adult Education –- A mid-year and year-end payment will be made upon receipt of reimbursement information in the department.

• English as a Second Language -– This entitlement will be distributed in two equal payments, one in December 2001, and one in April 2002.

• Reading Recovery –- One payment will be made upon receipt of reimbursement information in the department.

• Foster Care -– One payment is projected to be made for regular education and special education foster care in spring 2002.

• Individual Student Alternative Education Plan

Attachment B outlines the Program Classification Structure that will be used by the Department of Education to distribute funding to school divisions and local governments in fiscal year 2002 for public education and for services provided under the Comprehensive Services Act. The six- digit Catalog of Federal Domestic Assistance (CFDA) code (including the period) will be used as the revenue source code for federal funds.

The following describes the content of the columns contained in Attachment B:

JLD/kcd

Attachments

/administrators/superintendents_memos/2001/inf104a.pdf

/administrators/superintendents_memos/2001/inf104b.pdf