COMMONWEALTH OF VIRGINIA
DEPARTMENT OF EDUCATION
P.O. BOX 2120
RICHMOND, VIRGINIA 23218-2120
SUPTS. MEMO NO. 42
July 22, 2005
Jo Lynne DeMary
Superintendent of Public Instruction
Certifications for Certain State Funds in Fiscal Year 2006
Due: August 31, 2005
Chapter 951, 2005 Acts of Assembly, (2004-2006 appropriation act) requires school divisions to submit certifications for certain optional, incentive-based accounts before the Department of Education can release the state funding. The purpose of this memorandum is to provide you with the certification forms for several of these accounts. For fiscal year 2006, an Excel template will be used to facilitate the collection of the required certifications. The Excel template can be downloaded from the departments website at the following address:
Attachment A to this memorandum provides instructions for accessing the Excel file from the departments website.
This memorandum addresses the certification requirements for the following accounts:
1. School Construction Grants Program Fiscal year 2005 funds carried over at the local level and fiscal year 2006 funds may be used for school construction, additions, renovations, infrastructure, site acquisition, technology, other expenditures related to modernizing classroom equipment, school safety equipment or school safety renovations, and payments to escrow accounts pursuant to Chapter 391, 1999 Acts of Assembly (Section 22.1-175.5, Code of Virginia). School Construction Grant funds may also be used for debt service on projects completed within the previous 10 years (since fiscal year 1996 inclusive). This 10-year limit, back to fiscal year 1996, applies to all sources of state school construction funds expended in fiscal year 2006, including those funds spent from the School Construction Escrow Fund, regardless of the fiscal year the funds were originally provided by the state.
The School Construction Grants Program certification sheet requests information on actual expenditures for fiscal year 2005 and estimated expenditures for fiscal year 2006. The certification sheet also requests information regarding the handling of School Construction Grant funds by the local governing body. Fifty percent of School Construction Grant funds will be distributed in December 2005, pending receipt and approval of the required certification form. The remaining 50 percent of funds will be distributed in May 2006.
2. Lottery Funds - Signing this form certifies that the division will maintain a certain level of total local operating expenditures (details are on the certification form) and that state lottery funds will be appropriated only for uses permitted and specified in the appropriation act. The permitted uses of state lottery funds are defined in Item 147 of the 2004-2006 appropriation act (Chapter 951, 2005 Acts of Assembly) as follows:
no more than 50 percent shall be used for recurring costs and at least 50 percent shall be spent on nonrecurring expenditures by the relevant school divisions. Nonrecurring costs shall include school construction, additions, infrastructure, site acquisition, renovations, technology, and other expenditures related to modernizing classroom equipment, and debt service payments on school projects completed during the last 10 years.
In addition, a local match based on the Composite Index of Local Ability-to-Pay is required to receive the state funds. After the Department of Education receives and approves all certifications, the distribution of fiscal year 2006 lottery funds will begin on a semi-monthly basis.
3. At-Risk Signing this form certifies that the state and local shares of the At-Risk payment for fiscal year 2006 will be used to support approved programs for students who are locally identified as educationally at-risk. A local match based on the Composite Index of Local Ability-to-Pay is required to receive the state funds. Payments for this account in fiscal year 2006 began on July 16, 2005, and will be continued on each semimonthly electronic funds transfer (EFT); however, divisions are required to submit the certification form to the Department of Education by August 31, 2005, or these funds will be withdrawn and future payments will be stopped. Beginning in fiscal year 2006, At-Risk funds may also be used for community and school-based truancy officer programs.
4. Standards of Learning Algebra Readiness Signing this form certifies that an intervention program will be offered in fiscal year 2006 to students who are identified through the state-provided Algebra Readiness Diagnostic Test (ARDT) as needing additional instruction, and that students who receive intervention services will be assessed again at the end of the 2005-2006 school year as a condition of receiving state funds under this program in fiscal year 2006. You will also certify on this form that state funds received for this program in fiscal year 2005 that were unspent at the end of the fiscal year were carried over to fiscal year 2006 and re-appropriated to the school division for use only in the SOL Algebra Readiness program in fiscal year 2006. A local match based on the Composite Index of Local Ability-to-Pay is required to receive the state funds. These entitlements will be paid in two equal payments in November 2005, after the department receives and approves the required certifications, and in March 2006, after the department updates the payments for actual 2005 fall membership.
If you plan to use a locally developed or selected diagnostic test instead of using the state-provided diagnostic test (ARDT), you must check the box on the certification form indicating that you plan to use a locally developed or selected diagnostic test subject to approval by the department.
Regardless of the diagnostic test that is administered, you must also submit a second superintendents certification form to the Instructional Division. This certification form can be obtained from the departments Forms Web page (under the Instruction section) at the following address:
5. Compensation Supplement You must certify, no later than March 1, 2006, that an average salary increase, equivalent to at least the value of a 3 percent increase effective December 1, 2005, will be granted to classroom teachers in fiscal year 2006. Upon receipt of the certification, payments will be made in semimonthly installments, beginning on the December 16, 2005, EFT. In the event the certification form is received after December 16, 2005, payments will begin approximately one month after the departments receipt of the certification. A local match, based on the Composite Index of Local Ability-to-Pay, is required to receive the state funds.
6. Participation Intent Checklist This checklist provides a summary of your intent to participate in the five incentive-based programs addressed in this memorandum. This summary indicates whether your division intends to participate in each program in fiscal year 2006.
Please note that forms for all other accounts requiring certification for fiscal year 2006 are communicated through separate superintendents memoranda. These include:
K-3 Primary Class Size Reduction The fiscal year 2006 certification will be sent to school divisions as part of the 2005 fall data collection. All data needed to calculate these payments will come from the 2005 fall data collection. No other data collections will be required.
Early Reading Intervention Informational Superintendents Memorandum No. 107, dated May 20, 2005, included instructions and the certification for participating in this program in fiscal year 2006. The certification was due to the department by June 30, 2005.
At-Risk Four-Year-Olds (Virginia Preschool Initiative) Informational Superintendents Memorandum No. 71, dated April 1, 2005, included the application package and required certifications for fiscal year 2006. The application was due to the department by May 15, 2005.
All school divisions are required to return the signed certifications and Excel template to the budget office by August 31, 2005, unless otherwise noted, indicating whether or not your division is participating in these optional programs in fiscal year 2006. The August 31, 2005, deadline does not apply to the certification required for receipt of the certification for the Compensation Supplement, which has a due date of no later than March 1, 2006.
Please mail the signed certifications to:
Virginia Department of Education
Attn: Budget Office
P.O. Box 2120
Richmond, Virginia 23218-2120
Please also e-mail the completed Excel template to K12Budget@doe.virginia.gov. If you have any questions concerning this certification process, please contact budget office staff at (804) 225-2025.