P.O. BOX 2120



July 28, 2006



Division Superintendents



Billy K. Cannaday, Jr.

Superintendent of Public Instruction



Announcing Additional Aid Payments for Hurricane Relief



This is to inform you that the U.S. Department of Education (USED) has awarded additional Emergency Impact Aid funds to Virginia for school divisions and nonpublic schools that have enrolled students who were displaced by Hurricanes Katrina and Rita. In March, school divisions received an initial payment of Emergency Impact Aid funds based on initial first quarter student counts. In late April, a second payment was made to school divisions based on revised first quarter student counts and second and third quarter counts. Based on the latest grant award received, a third payment will be made to school divisions based on final student counts for all four quarters. The third payment of Emergency Impact Aid funds to school divisions will be made on July 31, 2006, by electronic funds transfer (EFT). These funds can be identified as revenue source code 84.938, project code 60528, on the corresponding EDI notice from the Virginia Department of Education.


The third Emergency Impact Aid payment to school divisions will be based on $1,095 per student without a disability and $1,369 per student with a disability for displaced students included in quarterly student counts submitted by school divisions in April 2006. Our correspondence with USED suggests additional funds will be appropriated, for a final award to states that will increase the final per-pupil allocation paid to school divisions for this program. The final payment per student will depend upon the total cost of the Emergency Impact Aid program based on final student counts and the final federal funding made available.


Please note that the actual per student amount to be paid to school divisions reflects a 1 percent reduction for state administrative costs. As a result, the per student amounts to be paid to school divisions and nonpublic schools is $1,084.05 for students without a disability and $1,355.31 for students with a disability. The attached Excel file shows the calculation of the Emergency Impact Aid payments to be made to school divisions on July 31, 2006.


School divisions are reminded that program funds may be used by school divisions and nonpublic schools to provide instructional opportunities for displaced students who enroll in their schools and for expenses incurred in serving displaced students. Examples of allowable expenses include paying the compensation of personnel, including teacher aides, acquiring curricular material and classroom supplies, and providing basic instructional services and support services for displaced students. While the activities and services must be related to serving displaced students, there is no requirement that they be provided only to those students. Funds paid for students with disabilities under this program may be used only to pay for special education and related services consistent with the Individuals with Disabilities Education Act. In addition, a school division may use up to 2 percent of its allocation for administration of the program. Recipients may also use these funds for pre-award costs, including the reimbursement of expenditures incurred prior to the receipt of a grant.


Payments to all accounts established for displaced students enrolled in nonpublic schools must be made within 14 days of receipt of funds by the school division. We have been informed by USED that the deadline for expending these funds will be extended. The Virginia Department of Education and local school divisions must obligate all Emergency Impact Aid funds received by September 30, 2006, and liquidate them within 90 days after that date, or they must be returned to the federal government.


Based on final displaced student counts for all quarters on April 28, 2006, Virginia reported a total of 1,294 displaced students on September 30, 2005; 1,108 displaced students on December 1, 2005; 946 displaced students on February 1, 2006; and 815 displaced students on March 31, 2006. Virginias total grant award to-date for this program is $4,636,575.


States may not submit any additions to the student count data beyond the April 30, 2006, deadline; however, if a school division must reduce its count, the reduction should be reported and any overpayment of funds must be returned to the Virginia Department of Education.


If you have questions about the division allocations of this grant funding, please contact Kent Dickey, budget director, at (804) 225-2025. Questions concerning disbursements and accounting procedures should be directed to Marie Williams, director of accounting, at (804) 225-2040. Questions about procedures for submitting student counts should be addressed to Patricia Popp, state coordinator for Project HOPE-VA, at (757) 221-7776 or Cindy Cave, director of student services, at (804) 225-2818.