COMMONWEALTH OF VIRGINIA

DEPARTMENT OF EDUCATION

P.O. BOX 2120

RICHMOND, VIRGINIA 23218-2120 

SUPTS. MEMO NO. 11

April 11, 2008

ADMINISTRATIVE

TO:

Division Superintendents

 

FROM:

Billy K. Cannaday, Jr.

Superintendent of Public Instruction

 

SUBJECT:

Virginia Public School Authority (VPSA) Educational Technology Notes Series V, Series VI, Series VII, Series VIII and Series IX

 

 

The Virginia Public School Authority (VPSA) is conducting the eighth sale of equipment notes, Series VIII. The proceeds from these notes provide the next installment of funds in the educational technology grant program, which provides support for school divisions to develop and implement the Standards of Learning (SOL) Web-based Technology Initiative. Funding for this program is targeted to achieve the following four goals:

 

  1. Provide student access to computers at a ratio of one computer for every five students;

 

  1. Create Internet-ready local area network capability in every school;

 

  1. Assure adequate high-speed, high-bandwidth capability for instructional, remedial, and testing needs; and

 

  1. Establish a statewide Standards of Learning test delivery system.

 

The VPSA is planning to sell the spring 2008 Educational Technology Notes, Series VIII, on April 30, 2008, and to close on the notes deal on May 22, 2008. Proceeds of the Series VIII notes will be made available for reimbursement of qualifying expenditures to localities following the scheduled closing on May 22, 2008.

 

There are a limited number of business days between the notes issuance date and the end of fiscal year 2008. Therefore, to ensure sufficient time to process the requests for payment, reimbursements that need to be received by school divisions by June 30, 2008, must be received by the Department of Education electronically and the original signature page sent to the department by June 13, 2008. Please note that no requests for reimbursement may be processed until the note proceeds have officially been issued.

 

Attachment A to this memorandum lists the local grant allocations for the Series VIII VPSA note issue. Grants to school divisions for the Series VIII notes are based on $26,000 per eligible school and $50,000 per school division. Eligible schools include those reporting fall membership as of September 30, 2007, as well as division and regional vocational, special education, and alternative education centers, academic year Governor's Schools, and the two Virginia Schools for the Deaf and the Blind in the cities of Staunton and Hampton. Localities are required to provide a match of funds equal to 20 percent of the total grant amounts provided to the school division. At least 25 percent of the local match must be used for teacher training in the use of this technology. Regional centers and the two schools for the deaf and blind are not required to provide a 20 percent match to their grant amount.

 

Consistent with previous VPSA notes, payments to school divisions and regional centers will be on a reimbursement basis only. School divisions and regional centers must first complete payments for the qualifying equipment purchased and then file a Series VIII reimbursement request with the Department of Education. School divisions and regional centers that adopted a reimbursement resolution and made expenditures prior to the issuance of the Series VIII notes are required to certify that all reimbursements are qualifying reimbursements. School divisions and regional centers may not be reimbursed for qualifying expenditures incurred more than 60 days prior to the adoption of a reimbursement resolution. Please note that reimbursements for the Series VIII issue for regional vocational, regional special education, Governor's Schools, and regional alternative education centers may be made directly to the regional centers through separate reimbursement accounts set up specifically for regional centers. School divisions will not be required to deposit the regional centers' share of the note proceeds in their account and then pass those proceeds on to the regional center.

 

The Series VIII reimbursement request form is a downloadable Excel template. This file is available on the Department of Education's website at:

 

http://www.doe.virginia.gov/school_finance/edu_technology_notes/reimbursement_forms/series08.xls.

 

The Series VIII reimbursement form includes certification provisions that incorporate federal and state requirements regarding capital expenditures that qualify for reimbursement. School divisions are primarily responsible for determining whether requests for reimbursement are permissible under federal and state requirements. School division officials should carefully read and initial the certification provisions to ensure that none of their reimbursement requests violate any of the stated provisions.

 

Divisions are not required to submit copies of supporting reimbursement documentation to the Department of Education because the reimbursement request form incorporates the certification provisions. However, copies of all supporting documents (invoices, work orders, statements, etc.) for which reimbursement is to be made must be retained by the school division for at least five years in the event an audit is required. All reimbursement requests for the VPSA Series VIII notes issue must be made using the above-referenced Series VIII form. The Department of Education will review the reimbursement request and, when approved, file the request on behalf of the school division (or regional program) with the Virginia State Non-Arbitrage Program (SNAP), which serves as the investment and account manager for the note proceeds. Please note that no reimbursement requests for the Series VIII notes will be approved until all of the division's grant allocations from notes Series V (Spring 2005), Series VI (Spring 2006) and Series VII (Spring 2007) are spent. Please see Attachments B, C, and D to this memorandum that provide the Series V, VI and VII allocation balances, respectively, for each school division and regional program.

 

To improve information security, the department changed the reimbursement process for the VPSA Technology Notes beginning with the spring 2005 issuance. Earlier versions of the VPSA Technology reimbursement form provided a section for localities to enter their bank routing number and account number each time they requested a reimbursement. This section has been removed and all school divisions and regional programs will need to provide their bank routing number and account number directly to the State Non-Arbitrage Program (SNAP) before SNAP executes the actual payment of Notes proceeds to the school division or regional program.

 

Attachment G to this memo provides the SNAP VPSA Technology Notes Withdrawal Instructions form. If you need to make changes to wire instructions previously submitted to SNAP, please complete and sign Attachment G and return the form to SNAP prior to requesting any further reimbursements. The completed form should be faxed to Nelson Bush or Brad Lamb, SNAP representatives, at 1-800-252-9551. If you have not completed this form, the Department of Education will hold all requests for reimbursements until SNAP confirms receipt of your certified bank account information. SNAP will maintain all bank information and, if needed, will assist divisions who need to amend such information. If you have any questions regarding Attachment G, please contact Nelson Bush or Brad Lamb of SNAP at 1-800-570-SNAP.

 

Proceeds from the Series V, VI, VII and VIII issues may not be used for middle schools until all high schools in your division have achieved Stage 2 High School Readiness Certification. See Administrative Supts. Memo No. 27, dated May 17, 2002, for additional information on certification procedures. Also, the proceeds of the Series V, VI, VII and VIII notes may not be used for elementary schools until all middle schools in your division have achieved Stage 2 Middle School Readiness Certification. Procedures for achieving all levels of school readiness certification are explained in the following document:

 

http://www.doe.virginia.gov/support/technology/sol_technology_initiative/readiness/readiness_documentation.pdf.

 

The School Readiness Certification workbook is a downloadable Excel template. This file is available on the Department of Education's website at:

 

http://www.doe.virginia.gov/support/technology/sol_technology_initiative/readiness/readiness_certification_workbook.xls.

 

If expenditures for middle or elementary schools are submitted prior to achieving the appropriate certifications, those expenditures cannot be reimbursed until after the readiness certifications have been achieved.

 

Please submit all Series VIII requests for reimbursement using the Series VIII reimbursement request form referenced above. E-mail your completed request to Richard Schley at VPSA@doe.virginia.gov. In addition, please mail a signed copy of the reimbursement form to the following address:

 

Richard Schley

Office of Instructional Technology

Virginia Department of Education

James Monroe Building 22nd Floor

101 North 14th Street

Richmond, VA 23219

 

No requests for reimbursement will be processed until the Department of Education has received both the electronic Series VIII reimbursement request form and your signed hardcopy Series VIII form with each certification initialed.

 

 

Educational Technology Notes, Series VII (Spring 2007):

 

As initially announced in Administrative Supts. Memo No. 14

, dated April 20, 2007, the Series VII notes were sold by the VPSA in May 2007. Proceeds of the Series VII notes were available to school divisions for reimbursement of qualifying expenditures on and after the closing date of May 24, 2007. For grant allocations of Series VII VPSA notes, see Attachment A to Administrative Supts. Memo No. 14, dated April 20, 2007. All reimbursement forms for the Series VII issue must be submitted to the department as soon as possible. No reimbursement requests for the Series VIII notes will be approved until the division's Educational Technology Notes Series V, VI and VII note proceeds are spent. Attachment D to this memorandum provides a status of the Series VII grant balances.

 

For divisions and regional programs that have not completed reimbursement of expenditures from the Series VII VPSA notes, the procedures outlined in Administrative Supts. Memo No. 14, dated April 20, 2007, should be followed, and the Series VII reimbursement request form should be used. The Series VII reimbursement request form is a downloadable Excel template available on the Department of Education's website located at:

 

http://www.doe.virginia.gov/school_finance/edu_technology_notes/reimbursement_forms/series07.xls.

 

 


Educational Technology Notes, Series VI (Spring 2006):

 

As initially announced in Administrative Supts. Memo No. 18

, dated May 12, 2006, the Series VI notes were sold by the VPSA in May 2006. Proceeds of the Series VI notes were available to school divisions for reimbursement of qualifying expenditures on and after the closing date of May 25, 2006. For grant allocations of Series VI VPSA notes, see Attachment A to Administrative Supts. Memo No. 18, dated May 12, 2006. All reimbursement forms for the Series VI issue must be submitted to the department as soon as possible. Richard Schley will be contacting school divisions with Series VI balances remaining in order to facilitate timely draw down of these funds. No reimbursement requests for the Series VIII notes will be approved until the division's Educational Technology Notes Series V, Series VI and Series VII note proceeds are spent. Attachment C to this memorandum provides a status of the Series VI grant balances.

 

For divisions and regional programs that have not completed reimbursement of expenditures from the Series VI VPSA notes, the procedures outlined in Administrative Supts. Memo No. 18, dated May 12, 2006, should be followed, and the Series VI reimbursement request form should be used. The Series VI reimbursement request form is a downloadable Excel template available on the Department of Education's website located at:

 

http://www.doe.virginia.gov/school_finance/edu_technology_notes/reimbursement_forms/series06.xls.

 

 

Educational Technology Notes, Series V (Spring 2005):

 

As initially announced in Administrative Supts. Memo No. 15

, dated April 1, 2005, the Series V notes were sold by the VPSA in May 2005. Proceeds of the Series V notes were available to school divisions for reimbursement of qualifying expenditures on and after the closing date of May 25, 2005. For grant allocations of Series V VPSA notes, see Attachment A to Administrative Supts. Memo No. 15, dated April 1, 2005. All reimbursement forms for the Series V issue must be submitted to the department as soon as possible. Richard Schley will be contacting school divisions with Series V balances remaining in order to facilitate timely draw down of these funds. No reimbursement requests for the Series VIII notes will be approved until the division's Educational Technology Notes Series V, Series VI and Series VII note proceeds are spent. Attachment B to this memorandum provides a status of the Series V grant balances.

 

For divisions and regional programs that have not completed reimbursement of expenditures from the Series V VPSA notes, the procedures outlined in Administrative Supts. Memo No. 15, dated April 1, 2005, should be followed, and the Series V reimbursement request form should be used. The Series V reimbursement request form is a downloadable Excel template available on the Department of Education's website located at:

 

http://www.doe.virginia.gov/school_finance/edu_technology_notes/reimbursement_forms/series05.xls.

 

 

Educational Technology Notes, Series IX (Spring 2009):

 

The 2008-2010 biennial budget (House Bill/Senate Bill 30, adopted by the General Assembly on March 13, 2008, and pending the Governor's signature) includes funding to continue the educational technology notes program in fiscal year 2009 with debt service paid through the Literary Fund. The General Assembly-adopted budget includes Virginia Public Schools Authority (VPSA) equipment notes totaling approximately $60.2 million in fiscal year 2009 to be issued in the spring of 2009.

 

The fiscal year 2009 budget maintains grant amounts at $26,000 per eligible school (for K-12 schools reporting fall membership and for various division and regional programs) and $50,000 per school division. A required local match is maintained at 20 percent of the state grant amount, and 25 percent of the required local match must be used for teacher training. The continuation of the VPSA initiative is intended to increase school divisions' capability for Web-based instruction, remediation, and testing of the Standards of Learning.

 

The fiscal year 2009 budget also updates the number of schools eligible for funding under the VPSA technology grants. Funding to school divisions for the VPSA technology grant program was increased by $312,000 in fiscal year 2009 based on an anticipated increase in the number of reported schools in fiscal year 2009. Attachment E to this memorandum lists the estimated local grant allocations for the Series IX note issue.

 

School divisions that have spent all of their Series V, Series VI, Series VII and Series VIII note proceeds and that have adopted a reimbursement resolution for the Series IX (Spring 2009) notes issue may make purchases in support of the Web-based SOL Technology Initiative to be reimbursed from Series IX proceeds; however, please be aware that the note proceeds will not be available for reimbursement until after the closing of the notes sale, which will likely be in late spring 2009. Please be aware that, prior to incurring any costs, the local school board must state its intention to use the proceeds of the equipment notes to reimburse qualifying expenditures. This must be done through a reimbursement resolution adopted by the local school board. A sample resolution is provided as Attachment F to this memorandum. Please note that divisions may not reimburse themselves for project-related expenditures incurred more than 60 days prior to the adoption of the resolution.

 

If you have questions relating to the financing or determination of qualifying reimbursements, please call the budget staff at (804) 225-2025. If you have questions relating to qualifying equipment that may be purchased from the VPSA note proceeds (i.e., hardware, software), please call Richard Schley in the Office of Instructional Technology at (804) 371-6882.

 

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Attachments

 

a. Series VIII VPSA Notes Issue Local Grants Allocation (PDF)

b. Series V VPSA Notes Issue Local Grant Balances (PDF)

c. Series VI VPSA Notes Issue Local Grant Balances (PDF)

d. Series VII VPSA Notes Issue Local Grant Balances (PDF)

e. Series IX VPSA Notes Issue Estimated Local Grants Allocation (PDF)

f. Sample Reimbursement Resolution (PDF)

g. SNAP VPSA Technology Notes Withdrawal Instructions (PDF)