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ASEC

13.0 Fiscal Resources and Reporting Standards

 
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Use of State AidDistrict of Resident for 18-21 Yr. OldsBase RevenueSpecial Ed Maintenance of Effort
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Fiscal resources are the means for purchasing and/or obtaining the supplies, materials, equipment, services, and personnel required to provide programs for children and students with disabilities.  The district, in providing for the education of children and students with disabilities within its jurisdiction, must have in effect policies, procedures, and programs that are consistent with the State's policies and procedures. Each year the district must present to the Minnesota Department of Education (MDE) information to demonstrate that the amounts provided to the district under IDEA are expended in accordance with state and federal law.

In the following text, application refers to the district's submission of an approved local budget and the annual application for state and federal special education aids. reporting refers to the reports that must be submitted to state and federal agencies, including all supporting documentation as required for an audit.

Required Policies

Specific policies, procedures and other documentation to demonstrate compliance will be found on each of the fourteen district's policy web page.

13.0 Fiscal Resources and Reporting Standards

Legal Citation

13.01.01 Local Budget Development and Approval

Prior to July 1 of each year, the board of each district must approve and adopt its revenue and expenditure budgets for the next school year. The budget document so adopted must be considered an expenditure authorizing or appropriations document. No funds shall be expended by any board or district for any purpose in any school year prior to the adoption of the budget document which authorizes that expenditure, or prior to an amendment to the budget document by the board to authorize the expenditure. Expenditures of funds in violation of this subdivision shall be considered unlawful expenditures. Prior to the appropriation of revenue for the next school year in the initial budget, the board shall inform the principal or other responsible administrative authority of each site of the amount of general education and referendum revenue that the Department of Education estimates will be generated by the pupils in attendance at each site. For purposes of this subdivision, a district may adjust the department's estimates for school building openings, school building closings, changes in attendance area boundaries, or other changes in programs or student demographics not reflected in the department's calculations. A district must report to the department any adjustments it makes according to this subdivision in the department's estimates of compensatory revenue generated by the pupils in attendance at each site, and the department must use the adjusted compensatory revenue estimates in preparing the report required under section 123B.76, subdivision 3, paragraph (c).

Minn. Stat. 123B.77, subd. 4

13.01.02 Joint Powers Agreements

The Area Special Education Cooperative (ASEC) is a cooperative of 14 school districts in northwestern Minnesota. The Cooperative was formed in 1969 by a joint powers agreement of local schools to provide a full range of specialized services to children on a district level.

This cooperative is administered by a Board of Directors composed of the superintendents of the 14 school districts. The coop is managed by the director and assistant directors of special education.

13.01.03 Program and Aid Approval

Before June 1 of each year, each district providing special instruction and services to children with a disability must submit to the commissioner an application for approval of these programs and their budgets for the next fiscal year. The application must include an enumeration of the costs proposed as eligible for state aid pursuant to this section of the estimated number and grade level of children with a disability in the district who will receive special instruction and services during the regular school year and in summer school programs during the next fiscal year. the application must also include any other information deemed necessary by the commissioner for the calculation of state aid and for the evaluation of the necessity of the program, the necessity of the personnel to be employed in the program, for determining the amount which the program will receive from grants from federal funds, or special grants from other state sources, and the program's compliance with the rules and standards of the Department of Education. The commissioner may withhold all or any portion of the aid for programs which receive grants from federal funds, or special grants from other state sources.

The commissioner shall review each application to determine whether the program and the personnel to be employed in the program are actually necessary and essential to meet the district's obligation to provide special instruction and services to children with a disability. The commissioner shall not approve aid pursuant to this section for any program or for the salary of any personnel determined to be unnecessary or unessential on the basis of this review.

By August 31 the commissioner shall approve, disapprove, or modify each application, and notify each applying district of the action and of the estimated amount of aid for the programs. The commissioner shall provide procedures for districts to submit additional applications for program and budget approval during the fiscal year, for programs needed to meet any substantial changes in the needs of children with a disability in the district.

The commissioner may modify or withdraw the program aid approval and withhold aid pursuant to this section at any time the commissioner determines that the program does not comply with rules of the Department of Education or that any facts concerning the program or its budget differ from the facts in the district's approved application.

Minn. Stat. 125A, subd.4

13.01.04 Extended School Year

As a point of clarification, summer school and special education extended school year (ESY) services are two separate activities. ESY services are determined by the student's IEP team and are based on the student meeting ESY criteria. ESY services may be provided through a district's summer school program if those activities meet the specific needs of the student.

13.02 Sharing Information with State and Public

13.02.01 Information for State Education Agency

Legal Citation

The district must provide the state education agency with information necessary for the state to carry out its duties under Part B of the Act, including information relating to the performance of children with disabilities participating in programs carried out under Part B of the Act.

34 C.F.R. 300.211

13.02.02 Public Information

The district must make available to parents of children with disabilities and to the general public all documents relating to the eligibility of the agency under Part B of the Act.

34 C.F.R. 300.212

13.03 Conditions of Eligibility

13.03.01 Consistency with State Policies

Legal Citation

The district, in providing for the education of children with disabilities within its jurisdiction, must have in effect policies, procedures, and programs that are consistent with the State policies and procedures established under 300.101 through 300.163 and 300.165 through 300.174.

The district must have on file with the state the policies and procedures described above.

34 C.F.R. 300.201

13.03.02 Use of Amounts

Amounts provided to the district under Part B of the Act

  1. Must be expended in accordance with the applicable provisions of this part;

  2. Must be used only to pay the excess costs of providing special education and related services to children with disabilities, and

  3. Must be used to supplement State, local and other Federal funds and not to supplant those funds

34 C.F.R. 300.202

13.03.03 Maintenance of Effort

Except as provided in 300.204 and300.205, funds provided to a district under Part B of the Act must not be used to reduce the level of expenditures for the education of children with disabilities made by the district from local funds below the level of those expenditures for the preceding fiscal year.

34 C.F.R. 300.203(a)

13.03.04 Exception to Maintenance of Effort

A district may reduce the level of expenditures by the district below the level of those expenditures for the preceding fiscal year if the reduction is attributable to any of the following:

  1. The voluntary departure, by retirement or otherwise, or departure for just cause, of special education or related services personnel.

  2. A decrease in the enrollment of children with disabilities.

  3. The termination of the obligation of the agency, consistent with this part, to provide a program of special education to a particular child with a disability that is an exceptionally costly program, as determined by the State, because the child:

    1. Has left the jurisdiction of the agency;

    2. Has reached the age at which the obligation of the agency to provide FAPE to the child has terminated; or

    3. No longer needs the program of special education.

  4. The termination of costly expenditures for long-term purchases, such as the acquisition of equipment or the construction of school facilities.

  5. The assumption of cost by the high cost fund operated by the State.

34 C.F.R.300.204

 

13.03.05 Adjustment to Local Fiscal Efforts in Certain Fiscal Years

Notwithstanding 300.202(a)(2) and (b) and 300.203(a), and except as provided in paragraph (d) of this section and 300.230(e)(2) for any fiscal year for which the allocation received by the LEA under section 300.705 exceeds the amount the LEA received for the previous fiscal year, the LEA may reduce the level of expenditures otherwise required by 300.203(a) by not more than 50 percent of the amount of that excess.

If an LEA exercises the authority under paragraph (a) of this section, the LEA must use an amount of local funds equal to the reduction in expenditures under paragraph (a) of this section to carry out activities that could be support with funds under the ESEA regardless of whether the LEA is using funds under the ESEA for those activities.

Notwithstanding paragraph (a) of this section, if an SEA determines that an LEA is unable to establish and maintain programs of FAPE that meet the requirements of section 613(a) of the Act and this part or the SEA has taken action against the LEA under section 616 of the Act and subpart F of these regulations, the SEA must prohibit the LEA from reducing the level of expenditures under paragraph (a) of this section for that fiscal year.

The amount of funds expended by an LEA for early intervening services under 300.226 shall count toward the maximum amount of expenditures that the LEA may reduce under paragraph (a) of this section.

34 C.F.R. 300.205

13.03.06 School-wide Programs Under Title I of the ESEA

  1. Notwithstanding the provisions of 300.202 and 300.203 or any other provisions of Part B of the Act, an LEA may use funds received under Part B of the Act for any fiscal year to carry out a schoolwide program under section 1114 of the ESEA, except that the amount used in any schoolwide program may not exceed:

    1. The amount received by the LEA under Part B of that Act for the fiscal year; divided by the number of children with disabilities in the jurisdiction of the LEA; and

    2. multiplied by the number of children with disabilities participating in the schoolwide program.

  2. The funds described in paragraph (a) of this section are subject to the following conditions:

    1. The funds must be considered as Federal Part B funds for purposes of the calculations required by 300.202(a)(2) and (a)(3).

  3. Except as provided in paragraph (b) of this section, all other requirements of Part B of the Act must be met by an LEA using Part B funds in accordance with paragraph (a) of this section, including ensuring that children with disabilities in schoolwide program school:

    1. Receive services in accordance with a properly developed IEP; and

    2. Are afforded all of the rights and services guaranteed to children with disabilities under the Act.

34 C.F.R. 300.234

13.03.07 Permissive Use of Funds

Notwithstanding 300.202, 300.203(a) and 300.162(b) funds provided to an LEA under Part B of the Act may be used for the following activities:

  1. For the costs of special education and related services, and supplementary aids and services, provided in a regular class or other education-related setting to a child with a disability in accordance with the IEP of the child, even if one or more nondisabled children benefit from these services.

  2. To develop and implement coordinated, early intervening educational services system in accordance with 300.226

  3. To establish and implement cost or risk sharing funds, consortia, or cooperatives for the LEA itself, or for LEAs working in a consortium of which the LEA is part, to pay for high cost special education and related services.

An Lea may use funds received under Part B of the Act to purchase appropriate technology for record keeping, data collection, and related case management activities of teachers and related services personnel providing services described in the IEP of children with disabilities, that is needed for the implementation of those case management activities.

34 C.F.R. 300.208

 

Minnesota Department of Education

October 2008

Q & A: Student Absences

The Minnesota Department of Education (MDE) Division of Compliance and Assistance developed this document to assist school districts who have raised questions about making determinations regarding student absences.

 

 

13.04 Special Education Program Aid Payments

13.04.01 Travel for Home-based Services

Legal Citation

The state must pay each district one-half of the sum actually expended by a district, based on mileage, for necessary travel of essential personnel providing home-based or community-based services to children with a disability under age five and their families.

MN Statute 125A.75, sub. 1

13.04.02 SEA Reimbursement from Another State

The state must pay each district the actual cost incurred in providing instruction and services for a child whose district of residence has been determined by section 125A.17 or 125A.51, paragraph (b), and who is temporarily placed in a state institution, a licensed residential facility, or foster facility for care and treatment. The regular education program at the facility must be an approved program according to section 125A.515.


Upon following the procedure specified by the commissioner, the district may bill the state the actual cost incurred in providing the services including transportation costs and a proportionate amount of capital expenditures and debt service, minus the amount of the basic revenue, as defined in section
126C.10, subdivision 2, of the district for the child and the special education aid, transportation aid, and any other aid earned on behalf of the child. The limit in subdivision 2 applies to aid paid pursuant to this subdivision.

To the extent possible, the commissioner shall obtain reimbursement from another state for the cost of serving any child whose parent or guardian resides in that state. The commissioner
may contract with the appropriate authorities of other states to effect reimbursement. All money received from other states must be paid to the state treasury and placed in the general fund.

MN Statute 125A.75, subd. 3

13.04.03 Allocation of Expenditures and Payment of Aid to Cooperative Centers, Service Cooperative, Education Districts, and Intermediate Districts

For purposes of this section, a special education cooperative, service cooperative, education district, or an intermediate district must allocate its approved expenditures for special education programs among participating districts. Special education aid for services provided by a cooperative, service cooperative, education district, or intermediate district must be paid to the participating school districts.

MN Statute 125A.75, subd. 7

The Area Special Education Cooperative will provide each of its fourteen member districts with the percentage breakdown of cooperative staff salary and disability codes to be included in the district EDRS. The district will make adjustments in EDRS based on the cooperative staff data and district staff contracts and assignments.

13.04.04 General Education Revenue and State Special Education Aids

The aids provided for children with a disability must be paid to the district providing the special instruction and services. General education aid must be paid to the district of the pupil's residence. The total amount of aid paid may not exceed the amount expended for children with a disability in the year for which the aid is paid.

MN Statute 125A.75, subd. 2

13.04.05 District of Residence for Pupil Ages 18-21 Years of Age

For a pupil who is age 18 through 21 years of age and is receiving special education, the district where the pupil's parents, legal guardian, or conservator lives shall be financially responsible for the cost of the special education program even in those cases where the pupil serves as the parent according to Code of Federal Regulations, Title 34, section 300.20, for due process purposes.

MN R. 3525.0800, subp. 9

13.04.06 Use of State Aid

Use of State Aid for Personnel

Salaries for essential personnel who are teachers and related services and support services staff members are reimbursable for the following activities:

  1. child find and pupil identification;

  2. necessary short-term indirect or consultative services that are provided in conjunction with regular education prereferral activities to an individual suspected of having a disabling condition to determine whether referrals for evaluation shall be made;

  3. evaluation, progress reporting, and IEP planning for individual pupils;

  4. instruction or related and support services to pupils who have and IEP;

  5. parental involvement and due process;

  6. school psychological services and school social worker services provided for pupils identified as emotional or behavioral disordered according to part 3525.1329 alone or in conjunction with the instructional program outlined in any pupil's IEP;

  7. other related services provided in conjunction with the instructional program as outlined in a pupil's IEP;

  8. paraprofessional services provided under the direction of a regular or special education teacher or a related services provider that:

    1. enhance the instruction provided by the teacher or related services staff; and

    2. supplement instructional activities or provide extended practice in instances in which the paraprofessional has had training and ongoing support from a special education teacher or related services staff;

  9. program coordination; and

  10. due process facilitation, except for attorney costs for suit preparation.

Ongoing services for at-risk students, for example truancy, suicide prevention, child abuse, or protection are not reimbursable.

MN Rule 3525.1310

 

Use of State Aid for Personnel Providing Service for Private School Students

 

An LEA may use funds available under sections 611 and 619 of the Act to make public school personnel available to other than public facilities to the extent necessary to provide services under 300.130 through 300.144 for parentally-placed private school children with disabilities; and if those services are not normally provided by the private school.

34 C.F.R. 300.142(a)

 

An LEA may use funds available under section 611 and 619 of the Act to pay for the services of an employee of a private school to provide services under 300.130 through 300.144 if the employee performs the services outside of his or her regular hours of duty; and the employee performs the services under public supervision and control.

34 C.F.R. 300.142.(b)

 

An LEA may not use funds provided under section 611 or 619 of the Act to finance the existing level of instruction in a private school or to otherwise benefit the private school. The LEA must use funds provided under Part B of the Act to meet the special education and related services needs of parentally-placed private school children with disabilities, but not for the needs of a private school; or the general needs of the students enrolled in the private school.

34 C.F.R. 300.141

13.05 Special Education Base Revenue

13.05.01 Computing Special Education Base Revenue

Legal Citation

The special education initial aid equals the sum of the following amounts computed using current year data:

(1) 68 percent of the salary of each essential person employed in the district's program for children with a disability during the fiscal year, whether the person is employed by one or more districts or a Minnesota correctional facility operating on a fee-for-service basis;

(2) for the Minnesota State Academy for the Deaf or the Minnesota State Academy for the Blind, 68 percent of the salary of each instructional aide assigned to a child attending the academy, if that aide is required by the child's individual education plan;

(3) for special instruction and services provided to any pupil by contracting with public, private, or voluntary agencies other than school districts, in place of special instruction and services provided by the district, 52 percent of the difference between the amount of the contract and the general education revenue, excluding basic skills revenue and alternative teacher compensation revenue, and referendum equalization aid attributable to a pupil, calculated using the resident district's average general education revenue and referendum equalization aid per adjusted pupil unit for the fraction of the school day the pupil receives services under the contract. This includes children who are residents of the state, receive services under this subdivision and subdivision 1, and are placed in a care and treatment facility by court action in a state that does not have a reciprocity agreement with the commissioner under section 125A.155 as provided for in section 125A.79, subdivision 8;

(4) for special instruction and services provided to any pupil by contracting for services with public, private, or voluntary agencies other than school districts, that are supplementary to a full educational program provided by the school district, 52 percent of the amount of the contract for that pupil;

(5) for supplies and equipment purchased or rented for use in the instruction of children with a disability, an amount equal to 47 percent of the sum actually expended by the district, or a Minnesota correctional facility operating on a fee-for-service basis, but not to exceed an average of $47 in any one school year for each child with a disability receiving instruction;

(6) for fiscal years 1997 and later, special education base revenue shall include amounts under clauses (1) to (5) for special education summer programs provided during the base year for that fiscal year;

(7) the cost of providing transportation services for children with disabilities under section 123B.92, subdivision 1, paragraph (b), clause (4).

MN Statute 125A.76, subd. 2

13.05.04 State Total Special Education Aid

The state total special education aid equals $529,247,000 for fiscal year 2007, $694,063,000 for fiscal year 2008, $719,470,000 for fiscal year 2009, $735,693,000 for fiscal year 2010, and $786,586,000 for fiscal year 2011. The state total special education aid for later fiscal years equals:

(1) the state total special education aid for the preceding fiscal year; times

(2) the program growth factor; times

(3) the greater of one, or the ratio of the state total average daily membership for the current fiscal year to the state total average daily membership for the preceding fiscal year

Adjustments for tuition reciprocity with adjoining states.

(a) If an agreement is reached between the state of Minnesota and an adjoining state pursuant to section 124D.041 that requires a special education tuition payment from the state of Minnesota to the adjoining state, the tuition payment shall be made from the special education aid appropriation for that year, and the state total special education aid under subdivision 4 shall be reduced by the amount of the payment.

(b) If an agreement is reached between the state of Minnesota and an adjoining state pursuant to section 124D.041 that requires a special education tuition payment from an adjoining state to the state of Minnesota, the special education aid appropriation for that year and the state total special education aid under subdivision 4 shall be increased by the amount of the payment.

(c) If an agreement is reached between the state of Minnesota and an adjoining state pursuant to section 124D.041 that requires special education tuition payments to be made between the two states and not between districts in the two states, the special education aid for a Minnesota school district serving a student with a disability from the adjoining state shall be calculated according to section 127A.47, subdivision 7, except that no reduction shall be made in the special education aid paid to the resident district.

MN Stat. 125A Subd. 4

 

 13.05.05 School District Special Education Aid for 2000 and Later

A school district's special education aid for fiscal year 2008 and later equals the state total special education aid times the ratio of the district's initial special education aid to the state total initial special education aid.

MN Stat. 125A subd.5

Special education forecast maintenance of effort.

If, on the basis of a forecast of general fund revenues and expenditures under section 16A.103, the state's expenditures for special education and related services for children with disabilities from nonfederal sources for
a fiscal year, including special education aid under section
125A.76; special education excess cost aid under section 125A.76, subdivision 7; travel for home-based services under section 125A.75, subdivision 1; aid for students with disabilities under section 125A.75, subdivision 3; court-placed special education under section 125A.79, subdivision 4; out-of-state tuition under section 125A.79, subdivision 8; and direct expenditures by state agencies are projected to be less than the amount required to meet federal special education maintenance of effort, the additional amount required to meet federal special education maintenance of effort is added to the state total special education aid in section 125A.76, subdivision 4.

If, on the basis of a forecast of general fund revenues and expenditures under section 16A.103, expenditures in the programs in paragraph (a) are projected to be greater than previously forecast for an enacted budget, and an addition to state total special education aid has been made under paragraph (a), the state total special education aid must be reduced by the lesser of the amount of the expenditure increase or the amount previously added to state total special education aid in section 125A.76, subdivision 4.

For the purpose of this section, "previously forecast for an enacted budget" means the allocation of funding for these programs in the most recent forecast of general fund revenues and expenditures or the act appropriating money for these programs, whichever occurred most recently. It does not include planning estimates for a future biennium.

If the amount of special education aid is adjusted in accordance with this subdivision, the commissioner of education shall notify the chairs of the legislative committees having jurisdiction over kindergarten through grade 12 education regarding the amount of the adjustment and provide an explanation of the federal maintenance of effort requirements.

MN Statue 125A.76, Subd 8

13.06 Third Party Payments

13.06.01 Third Party Obligation to Payment

Legal Citation

Subd. 1. Nothing in sections 125A.03 to 125A.24 and 125A.65 relieves an insurer or similar third party from an otherwise valid obligation to pay, or changes the validity of an obligation to pay, for services rendered to a child with a disability, and the child's family. A school district shall pay the nonfederal share of medical assistance services provided according to section 256B.0625, subdivision 26. Eligible expenditures must not be made from federal funds or funds used to match other federal funds. Any federal disallowances are the responsibility of the school district. A school district may pay or reimburse co-payments, coinsurance, deductibles, and other enrollee cost-sharing amounts, on behalf of the student or family, in connection with health and related services provided under an individual educational plan.

Subd. 2. Beginning July 1, 2000, districts shall seek reimbursement from insurers and similar third parties for the cost of services provided by the district whenever the services provided by the district are otherwise covered by the child's health coverage. Districts shall request, but may not require, the child's family to provide information about the child's health coverage when a child with a disability begins to receive services from
the district of a type that may be reimbursable, and shall request, but may not require, updated information after that as needed.

For children enrolled in medical assistance under chapter 256B or MinnesotaCare under chapter 256L who have no other health coverage, a district shall provide an initial written notice to the enrolled child's parent or legal representative of its intent to seek reimbursement from medical assistance or MinnesotaCare for the individual education plan health-related services provided by the district.

The district shall give the parent or legal representative annual written notice of:

(1) the district's intent to seek reimbursement from medical assistance or MinnesotaCare for individual education plan health-related services provided by the district;
(2) the right of the parent or legal representative to request a copy of all records concerning individual education plan health-related services disclosed by the district to any third party; and
(3) the right of the parent or legal representative to withdraw consent for disclosure of a child's records at any time without consequence.

The written notice shall be provided as part of the written notice required by Code of Federal Regulations, title 34, section 300.504.

In order to access the private health care coverage of a child who is covered by private health care coverage in whole or in part, a district must:

(1) obtain annual written informed consent from the parent or legal representative, in compliance with subdivision 5; and
(2) inform the parent or legal representative that a refusal to permit the district or state agency to access their private health care coverage does not relieve the district of its responsibility to provide all services necessary to provide free and appropriate public education at no cost to the parent or legal representative.

If the commissioner of human services obtains federal approval to exempt covered individual education plan health-related services from the requirement that private health care coverage refuse payment before medical assistance may be billed, paragraphs (b), (c), and (d) shall also apply to students with a combination of private health care coverage and health care coverage through medical assistance or MinnesotaCare.


In the event that Congress or any federal agency or the Minnesota legislature or any state agency establishes lifetime limits, limits for any health care services, cost-sharing provisions, or otherwise provides that individual education plan health-related services impact benefits for persons enrolled in medical assistance or MinnesotaCare, the amendments to this subdivision adopted in 2002 are repealed on the effective date of any federal or state law or regulation that imposes the limits. In that event, districts must obtain informed consent consistent with this subdivision as it existed prior to the 2002 amendments and subdivision 5, before seeking
reimbursement for children enrolled in medical assistance under chapter 256B or MinnesotaCare under chapter 256L who have no other health care coverage.

Subd. 3. Use of reimbursements. Of the reimbursements received, districts may:

(1) retain an amount sufficient to compensate the district for its administrative costs of obtaining reimbursements;

(2) regularly obtain from education- and health-related entities training and other appropriate technical assistance designed to improve the district's ability to determine which services are reimbursable and to seek timely reimbursement in a cost-effective manner; or

(3) reallocate reimbursements for the benefit of students with special needs in the district.

Subd. 4. Parents not obligated to use health coverage. To the extent required by federal law, a school district may not require parents of children with disabilities, if they would incur a financial cost, to use private or public health coverage to pay for the services that must be provided under an individual education plan.

Subd. 5. Informed consent. When obtaining informed consent, consistent with sections 13.05, subdivision 4, paragraph (d); and 256B.77, subdivision 2, paragraph (p), to bill health plans for covered services, the school district must notify the legal representative (1) that the cost of the person's private health insurance premium may increase due to providing the covered service in the school setting, (2) that the school district may pay certain enrollee health plan costs, including but not limited to, co-payments, coinsurance, deductibles, premium increases or other enrollee cost-sharing amounts for health and related services required by an individual service plan, or individual family service plan, and (3) that the school's billing for each type of covered service may affect service limits and prior authorization thresholds. The informed consent may be revoked in writing at any time by the person authorizing the billing of the health plan.

Subd. 6. District obligation to provide service. To the extent required by federal law, no school district may deny, withhold, or delay any service that must be provided under an individual education plan because a family has refused to provide informed consent to bill a health plan for services or a health plan company has refused to pay any, all, or a portion of the cost of services billed.

Subd. 7. District disclosure of information. A school district may disclose information contained in a student's individual education plan, consistent with section 13.32, subdivision 3 , paragraph (a), including records of the student's diagnosis and treatment, to a health plan company only with the signed and dated consent of the student's parent, or other legally authorized individual. The school district shall disclose only that information necessary for the health plan company to decide matters of coverage and payment. A health plan company may use the information only for making decisions regarding coverage and payment, and for any other use permitted by law.

MN Statute 125A.21

Nothing in this section relieves an insurer or similar third party from an otherwise valid obligation to pay, or changes the validity of an obligation to pay, for services rendered to a child with a disability, and the child's family.

MN Statue 125A.40

A county human services agency or county board must continue to provide services set forth in their county social service agency plan. The county human services agency or county board must serve children with disabilities under age five and their families, or as specified in the IFSP for children with disabilities, birth through age two, or the individual service plan of each child. Special instruction and related services for which a child with a disability is eligible under this section are the responsibility of the local school board. It is the joint responsibility of county boards and school boards to coordinate, provide, and pay for all appropriate services required in
section
125A.29 and to facilitate payment for services from public and private sources.

MN Statute 125A.38

The districts within the ASEC are committed to accessing third party billing dollars. The cooperative provides an MA biller who assists staff in the districts in obtaining consent to bill as well is actual billing of MA and MinnesotaCare activities. The districts do not bill private insurance for school based services. Information is provided to parents on a yearly basis through the Parental Rights Brochure. Additional information can be found on the ASEC web site.

13.06.02 Child with a Disability Covered by Public Insurance

A public agency may use the Medicaid or other public insurance benefits programs in which a child participates to provide or pay for services required under this part, as permitted under the public insurance program, except as provided in paragraph (d)(2) of this section.

34 C.F.R.300.144(d)(1)

13.06.03 Parental Rights Regarding Insurance Programs

With regard to services required to provide FAPE to an eligible child under this part, the public agency:

  1. May not require parents to sign up for or enroll in public insurance programs in order for their child to receive FAPE under Part B of the Act;

  2. May not require parents to incur an out-of-pocket expense such as the payment of a deductible or co-pay amount incurred in filing a claim for services provided pursuant to this part, but pursuant to paragraph (g)(2) of this section, may pay the cost that the parent otherwise would be required to pay;

  3. May not use a child's benefits under a public insurance program if that use would:

    1. Decrease available lifetime coverage or any other insured benefit;

    2. Result in the family paying for services that would otherwise be covered by the public insurance program and that are required for the child outside of the time the child is in school;

    3. Increase premiums or lead to the discontinuation of insurance; or

    4. Risk loss of eligibility for home and community-based waivers, based on aggregate health related expenditures; and

  4. Must obtain parental consent consistent with 300.622.

34 C.F.R. 300154(d)(2)

 

Additional information regarding third party billing may be obtained from the Minnesota Department of Education Q & A document.

 

13.06.04 Child with a disability Covered by Private Insurance

With regard to services required to provide FAPE to an eligible child under this part, a public agency may access a parent's private insurance proceeds only if the parent provides informed consent consistent with 300.9.

Each time the public agency proposes to access the parent's private insurance proceeds, the agency must:

  1. Obtain parental consent in accordance with paragraph (e)(1) of this section; and

  2. Inform the parents that their refusal to permit the public agency to access their private insurance does not relieve the public agency of its responsibility  to ensure that all required services are provided at no cost to the parents.

34 C.F.R. 300.154

The districts within the ASEC do not ask for access to parents' private insurance.

 

13.06.05 Use of Part B Funds to Pay Costs When Parents Refuse to the Use of Their Insurance

If a public agency is unable to obtain parental consent to use the parent's private insurance, or public insurance when the parent would incur a cost for a specified service required under this part, to ensure FAPE the public agency may use its Part B funds to pay for the service.

To avoid financial costs to parents who otherwise would consent to use private insurance, or public insurance if the parent would incur a cost, the public agency may use its Part B fund to pay the cost the parents otherwise would have to pay to use the parent's insurance (e.g. the deductible or co-pay amounts).

34 C.F.R. 300.154(f)

13.06.06 Funds as Payor of Last Resort

Funds provided under [20 U.S.C. 1443] may not be used to satisfy a financial commitment for services that would have been paid for from another public or private source, including any medical program administered by the Secretary of Defense, but for the enactment of this subchapter, except that whenever considered necessary to prevent a delay in the receipt of appropriate early intervention services by an infant, toddler, or family in a timely fashion, funds provided under 20 U.S.C. 1443 may be used to pay the provider of services pending reimbursement from the agency that has ultimate responsibility for payment.

13.06.07 Proceeds from Public or Private Insurance

Proceeds from public or private insurance will not be treated as program income for purposes of 34 C.R.R. 80.25. If a public agency spends reimbursements from Federal funds (e.g., Medicaid) for services under this part, those funds will not be considered "State or Local" funds for purposes of the maintenance of effort provisions in 300.163 and 300.203.

34 C.F.R.300.154(g)

13.06.08 Reduction of Other Benefits

Nothing in this subchapter shall be construed to permit the State to reduce medical or other assistance available or to alter eligibility under title V of the Social Security Act (relating to maternal and child health) or title XIX of the social security act (relating to Medicaid for infants or toddlers with disabilities) within the State.

20 U.S.C. 1440(b)

13.07 Payment of Special Education Aid in Special Situations

13.07.01 Reimbursement to District for Nonresident Pupils, Including Day Program Placement

For the purposes of this section, any school district may enter into an agreement, upon mutually agreed-upon terms and conditions, to provide special instruction and services for children with a disability. In that event, one of the participating units may employ and contract with necessary qualified personnel to offer services in the several districts. Each participating unit must reimburse the employing unit a proportionate amount of the actual cost of providing the special instruction and services, less the amount of state special education aid.


MN Stat. 125A.11 subd. 3

13.07.02 Special Pupil Aid/Full State Payment

The state must pay each district the actual cost incurred in providing instruction and services for a child whose district of residence has been determined by section 125A.17 or 125A.51, paragraph (b), and who is temporarily placed in a state institution, a licensed residential facility, or foster facility for care and treatment. The regular education program at the facility must be an approved program according to section 125A.515.

Upon following the procedure specified by the commissioner, the district may bill the state the actual cost incurred in providing the services including transportation costs and a proportionate amount of capital expenditures and debt service, minus the amount of the basic revenue, as defined in section 126C.10, subdivision 2, of the district for the child and the special education aid, transportation aid, and any other aid earned on behalf of the child. The limit in subdivision 2 applies to aid paid pursuant to this subdivision.

To the extent possible, the commissioner shall obtain reimbursement from another state for the cost of serving any child whose parent or guardian resides in that state. The commissioner may contract with the appropriate authorities of other states to effect reimbursement. All money received from other states must be paid to the state treasury and placed in the general fund.


MN Stat. 125A.75, subd 3

 

13.07.04 Minnesota State Academies-Responsibility for Services

Subd. 1. Responsibility allocated.

Responsibility for special instruction and services for a blind/visually impaired or deaf/hard of hearing child attending the Minnesota State Academy for the Deaf or the Minnesota State Academy for the Blind must be determined in subdivisions 2 to 10.

 

Subd. 2.Child's legal residence.

The legal residence of the child is the district in which the child's parent or guardian resides.

 

Subd. 3.Educational program; tuition.

(a) When it is determined pursuant to section 125A.69, subdivision 1 or 2, that the child is entitled to attend either school, the board of the Minnesota State Academies must provide the appropriate educational program for the child.

(b) For fiscal year 2006, the board of the Minnesota State Academies must make a tuition charge to the child's district of residence for the cost of providing the program. The amount of tuition charged must not exceed the sum of (1) the general education revenue formula allowance times the pupil unit weighting factor pursuant to section 126C.05 for that child, for the amount of time the child is in the program, plus (2), if the child was enrolled at the Minnesota State Academies on October 1 of the previous fiscal year, the compensatory education revenue attributable to that child under section 126C.10, subdivision 3. The district of the child's residence must pay the tuition and may claim general education aid for the child. Tuition received by the board of the Minnesota State Academies, except for tuition for compensatory education revenue under this paragraph and tuition received under subdivision 4, must be deposited in the state treasury as provided in subdivision 8.

(c) For fiscal year 2007 and later, the district of the child's residence shall claim general education revenue for the child, except as provided in this paragraph. Notwithstanding section 127A.47, subdivision 1, an amount equal to the general education revenue formula allowance times the pupil unit weighting factor pursuant to section 126C.05 for that child for the amount of time the child is in the program, as adjusted according to subdivision 8, paragraph (d), must be paid to the Minnesota State Academies. Notwithstanding section 126C.15, subdivision 2, paragraph (d), the compensatory education revenue under section 126C.10, subdivision 3, attributable to children enrolled at the Minnesota State Academies on October 1 of the previous fiscal year must be paid to the Minnesota State Academies. General education aid paid to the Minnesota State Academies under this paragraph must be credited to their general operation account. Other general education aid attributable to the child must be paid to the district of the child's residence.

Subd. 4.Unreimbursed costs.

(a) For fiscal year 2006, in addition to the tuition charge allowed in subdivision 3, the academies may charge the child's district of residence for the academy's unreimbursed cost of providing an instructional aide assigned to that child, after deducting the special education aid under section 125A.76, attributable to the child, if that aide is required by the child's individual education plan. Tuition received under this paragraph must be used by the academies to provide the required service.

(b) For fiscal year 2008 and later, the special education aid paid to the academies shall be increased by the academy's unreimbursed cost of providing one to one instructional and behavioral management aides assigned to a child, after deducting the special education aid under section 125A.76 attributable to the child, if the aides are required by the child's individual education plan. Aid received under this paragraph must be used by the academies to provide the required service.

(c) For fiscal year 2008 and later, the special education aid paid to the district of the child's residence shall be reduced by the amount paid to the academies for district residents under paragraph (b).

(d) Notwithstanding section 127A.45, subdivision 3, beginning in fiscal year 2008, the commissioner shall make an estimated final adjustment payment to the Minnesota State Academies for general education aid and special education aid for the prior fiscal year by August 15.

(e) For fiscal year 2007, the academies may retain receipts received through mutual agreements with school districts for one to one behavior management aides.

Subd. 5.Providing appropriate educational programs.

When it is determined that the child can benefit from public school enrollment but that the child should also remain in attendance at the applicable school, the district where the institution is located must provide an appropriate educational program for the child and must make a tuition charge to the board of the Minnesota State Academies for the actual cost of providing the program, less any amount of aid received pursuant to section 125A.75. The board of the Minnesota State Academies must pay the tuition and other program costs including the unreimbursed transportation costs. Aids for children with a disability must be paid to the district providing the special instruction and services. Special transportation must be provided by the district providing the educational program and the state must reimburse that district within the limits provided by law.

Subd. 6.
Tuition reduction.

Notwithstanding the provisions of subdivisions 3 and 5, the board of the Minnesota State Academies may agree to make a tuition charge, or receive an aid adjustment, as applicable, for less than the amount specified in subdivision 3 for pupils attending the applicable school who are residents of the district where the institution is located and who do not board at the institution, if that district agrees to make a tuition charge to the board of the Minnesota State Academies for less than the amount specified in subdivision 5 for providing appropriate educational programs to pupils attending the applicable school.

Subd. 7.Staff allocation.

Notwithstanding the provisions of subdivisions 3 and 5, the board of the Minnesota State Academies may agree to supply staff from the Minnesota State Academy for the Deaf and the Minnesota State Academy for the Blind to participate in the programs provided by the district where the institutions are located when the programs are provided to students in attendance at the state schools.


MN Stat. 125A.65, subds. (1)-(7)

 

13.07.05 Agency Financial Responsibility for Interagency Early Intervention Services

The Chief Executive Officer of a State or designee of that officer must ensure that an interagency agreement or other mechanism for interagency coordination is in effect between each noneducational public agency described in paragraph (b) of this section and the SEA, in order to ensure that all services described in paragraph (b)(1) of this section that are needed to ensure FAPE are provided, including the provision of those services during the pendency of any dispute under paragraph (a)(3) of this section. the agreement or mechanism must include the following:

1. An identification of, or a method for defining, the financial responsibility of each agency for providing services described in paragraph (b)(1) of this section to ensure FAPE to children with disabilities. The financial responsibility of each noneducational public agency described in paragraph (b) of this section including the State Medicaid agency and other public insurers of children with disabilities, shall precede the financial responsibility of the local educational agency (or State agency responsible for developing the child's IEP)

34. C.F.R.300.142(a)(1)

13.07.06 Choice Options/Open Enrollment

When a pupil is placed outside of the district residence by the parent or pupil for the purpose of education and in accordance with a statutory education choice enrollment act, the resident district shall be responsible for assuming the cost of the education program when notified in accordance with Minnesota Statutes, section 127A.47, subdivision 5. The providing district shall be responsible for assuring that an appropriate program is available for the pupil including the notice and hearing provisions. Responsibility for transportation costs between the pupil's home and the providing school district shall be determined in accordance with Minnesota Statutes.

 

MN R. 3525.0800, subp. 8

 

If requested by the parent of a pupil, the nonresident district shall provide transportation within the district.

The resident district is not required to provide or pay for transportation between the pupil's residence and the border of the nonresident district. A parent may be reimbursed by the nonresident district for the costs of transportation from the pupil's residence to the border of the nonresident district if the pupil is from a family whose income is at or below the poverty level, as determined by the federal government. The reimbursement may not exceed the pupil's actual cost of transportation or 15 cents per mile traveled, whichever is less. Reimbursement may not be paid for more than 250 miles per week.

At the time a nonresident district notifies a parent or guardian that an application has been accepted under subdivision 4 or 5, the nonresident district must provide the parent or guardian with the following information regarding the transportation of nonresident pupils under section 123B.88, subdivision 6.

MN Stat 124D.03, subd. 8

 

Minnesota Department of Education


Q & A: State Open Enrollment

The Minnesota Department of Education (MDE) Division of Compliance and Assistance developed this document to assist school districts who have raised questions about making determinations regarding student absences.

 

 

Open enrollment is only available to students who will be age 5 by September 1 and under age 21, without a high school diploma unless the student is under age 5 and has been identified through a formal assessment process in the resident district as needing an individual education plan for early childhood special education.

Parents of children who have not been identified as in need of early childhood special education and who reside in another district should contact their district of residence and request an evaluation to be conducted by the resident district. If the evaluation determines the child is eligible for special education and the parent wants to apply for school choice, the parent must complete the School District Enrollment Options Program form.

Acceptance of Open Enrollment cannot be based on previous academic achievement, athletic or other extracurricular ability, disabling conditions, proficiency in the English language, previous disciplinary proceedings or the student's district of residence.

MN Stat. 124D.03, Subd. 6

13.09 Non-Regular Transportation Aid

13.09.01 Transportation for Pupils with Disabilities

Notwithstanding the provisions of sections 125A.11, 125A.14, and 125A.15, when a child receives special instruction and services in a day program outside the resident district, the resident district and the nonresident district where the child is placed may enter into an agreement providing for the nonresident district to pay the cost of any particular transportation categories specified in section 123B.92, subdivision 1, and claim transportation aid for those categories. In this case, the nonresident district may not obtain any payment from the resident district for the categories covered by the agreement.

MN Stat. 125A.20

Each district is responsible for the accurate reporting of special education costs. This information can be found in the Instructions for Completing the Pupil Transportation Annual Report.

13.09.02 Out of District Placement Transportation

No resident of a district who is eligible for special instruction and services pursuant to this section may be denied provision of this instruction and service because of attending a public school in another district pursuant to section 123B.88, subdivision 5, if the attendance is not subject to section 124D.08. If the pupil attends a public school located in a contiguous district and the district of attendance does not provide special instruction and services, the district of residence must provide necessary transportation for the pupil between the boundary of the district of residence and the educational facility where special instruction and services are provided within the district of residence. The district of residence may provide necessary transportation for the pupil between its boundary and the school attended in the contiguous district, but must not pay the cost of transportation provided outside the boundary of the district of residence.

 

MN Stat. 125A.12

 

Equal Treatment or Fair Busing Bill MN 123.84 through 123B.87

 

The basic premise of this law is that school districts must provide the same level of service for nonpublic school students that they do for public school students. An Attorney General's opinion provides that a public school district has the authority to set attendance areas for nonpublic schools if it establishes attendance areas for its public schools. These laws also provide that "when transportation is provided, manner and method of transportation, control and discipline of school children and any other matter relating thereto shall be within the sole discretion, control and management of the school board."

 

This provision allows the public school district to set the starting and ending times for the nonpublic schools, the dates transportation will be provided, bus routes, location of bus stops, etc. In setting the starting and ending times for the nonpublic schools, the public school district must not set times that would deprive the nonpublic school students of the same number of hours of instruction that the district's public school students receive. In addition, MN Rule 3520 requires that a school district meet at least once a year with nonpublic representatives to discuss attendance areas, safety, economics, conveniences and availability of space for the pupils. Although the final authority on attendance areas, starting times, etc., rests with the public school board an annual meeting is encourage to avoid any subsequent disputes.

 

Nonpublic School Located Outside the District

 

If there is not an appropriate nonpublic school within the district, then the public school district is responsible for transporting the nonpublic schools students to the appropriate school district boundary. The school district may do this by transporting the students by whatever means appropriate. The district where the nonpublic school is located is not required to transport nonresident students attending nonpublic schools within its district.

13.09.03 Transportation for Care and Treatment

Day Program Placement
When a district provides instruction and services in a day program outside the district of residence, the district of residence is responsible for providing transportation. When a district provides instruction and services requiring board and lodging or placement in a residential program outside the district of residence, the nonresident district in which the child is placed is responsible for providing transportation. Transportation costs shall be paid by the district responsible for providing transportation and the state shall pay transportation aid to that district.


MN Stat 125A.11.subd.2

 

When a child is temporarily placed for care and treatment in a day program located in another district and the child continues to live within the district of residence during the care and treatment, the district of residence is responsible for providing transportation to and from the care and treatment program and an appropriate educational program for the child. The resident district may establish reasonable restrictions on transportation, except if a Minnesota court or agency orders the child placed at a day care and treatment program and the resident district receives a copy of the order, then the resident district must provide transportation to and from the program unless the court or agency orders otherwise. Transportation shall only be provided by the resident district during regular operating hours of the resident district. The resident district may provide the educational program at a school within the district of residence, at the child's residence, or in the district in which the day treatment center is located by paying tuition to that district.

 

MN Stat 125A.15(c)

 

Residential Program Placement

When a child is temporarily placed in a residential program for care and treatment, the nonresident district in which the child is placed is responsible for providing an appropriate educational program for the child and necessary transportation while the child is attending the educational program; and must bill the district of the child's residence for the actual cost of providing the program, as outlined in section 125A.11, except as provided in paragraph (e). However, the board, lodging, and treatment costs incurred in behalf of a child with a disability placed outside of the school district of residence by the commissioner of human services or the commissioner of corrections or their agents, for reasons other than providing for the child's special educational needs must not become the responsibility of either the district providing the instruction or the district of the child's residence. For the purposes of this section, the state correctional facilities operated on a fee-for-service basis are considered to be residential programs for care and treatment.

A privately owned and operated residential facility may enter into a contract to obtain appropriate educational programs for special education children and services with a joint powers entity. The entity with which the private facility contracts for special education services shall be the district responsible for providing students placed in that facility an appropriate educational program in place of the district in which the facility is located. If a privately owned and operated residential facility does not enter into a contract under this paragraph, then paragraph (d) applies.

 

MN Stat. 125A.15

 

Providing District

The district of residence shall pay tuition and other program costs, not including transportation costs, to the district providing the instruction and services. The district of residence may claim general education aid for the child as provided by law. Transportation costs must be paid by the district responsible for providing the transportation and the state must pay transportation aid to that district.

 

MN Stat. 125A.15(f)

 

Board and Lodging for Nonresident Pupils with Disabilities

When a district provides instruction and services in a day program outside the district of residence, the district of residence is responsible for providing transportation. When a district provides instruction and services requiring board and lodging or placement in a residential program outside the district of residence, the nonresident district in which the child is placed is responsible for providing transportation. Transportation costs shall be paid by the district responsible for providing transportation and the state shall pay transportation aid to that district.

 

MN Stat. 125A.11, subd. 2

 

13.09.04 Placement in State Institutions-Transportation

When it is determined that the child can benefit from public school enrollment, provision for the instruction shall be made in the following manner:

(1) determination of eligibility for special instruction and services must be made by the commissioner and the commissioner of the department responsible for the institution;

(2) the district where the institution is located is responsible for providing transportation and an appropriate educational program for the child and must make a tuition charge to the child's district of residence for the actual cost of providing the program; and

(3) the district of the child's residence shall pay the tuition and other program costs excluding transportation costs and may claim general education aid for the child. Transportation costs must be paid by the district where the institution is located and the state must pay transportation aid to that district.


MN Stat. 125A.16(b)

 

13.09.05 Minnesota Academies for the Deaf and Blind

When it is determined that the child can benefit from public school enrollment but that the child should also remain in attendance at the applicable school, the district where the institution is located must provide an appropriate educational program for the child and must make a tuition charge to the board of the Minnesota State Academies for the actual cost of providing the program, less any amount of aid received pursuant to section 125A.75. The board of the Minnesota State Academies must pay the tuition and other program costs including the unreimbursed transportation costs. Aids for children with a disability must be paid to the district providing the special instruction and services. Special transportation must be provided by the district providing the educational program and the state must reimburse that district within the limits provided by law.


MN Stat. 125A.65, subd. 5

 

13.09.06 Extended School Year Programs

A district may provide extended school year services for children with a disability living within the district and nonresident children temporarily placed in the district pursuant to section 125A.15 or 125A.16. Prior to March 31 or 30 days after the child with a disability is placed in the district, whichever is later, the providing district shall give notice to the district of residence of any nonresident children temporarily placed in the district pursuant to section 125A.15 or 125A.16, of its intention to provide these programs. Notwithstanding any contrary provisions in sections 125A.15 and 125A.16, the district providing the special instruction and services must apply for special education aid for the extended school year services. The unreimbursed actual cost of providing the program for nonresident children with a disability, including the cost of board and lodging, may be billed to the district of the child's residence and must be paid by the resident district. Transportation costs must be paid by the district responsible for providing transportation pursuant to section 125A.15 or 125A.16 and transportation aid must be paid to that district.

MN Stat. 125A.14

It is extremely important that case managers for children identified as meeting extended school year criteria inform the building principal and MARSS Coordinator as soon as the decision has been made. A copy of the first page and service page of the student's IEP should be provided the MARSS Coordinator as documentation of the need any special transportation that will be provided.

13.09.07 Uniform Billing System for the Education Costs of Out-of-Home Places Students

The commissioner, in cooperation with the commissioners of human services and corrections and with input from appropriate billing system users, shall develop and implement a uniform billing system for school districts and other agencies, including private providers, who provide the educational services for students who are placed out of the home. The uniform billing system must:

(1) allow for the proper and timely billing to districts by service providers with a minimum amount of district administration;

(2) allow districts to bill the state for certain types of special education and regular education services as provided by law;

(3) provide flexibility for the types of services that are provided for children placed out of the home, including day treatment services;

(4) allow the commissioner to track the type, cost, and quality of services provided for children placed out of the home;

(5) conform existing special education and proposed regular education billing procedures;

(6) provide a uniform reporting standard of per diem rates;

(7) determine allowable expenses and maximum reimbursement rates for the state reimbursement of care and treatment services; and

(8) provide a process for the district to appeal to the commissioner tuition bills submitted to districts and to the state.

 

MN Stat 125A..80

13.10 Other State Aids

13.10.01 Vocational Education Revenue for Children with a Disability

13.10.02 Community Education Program Aid

A. Early Childhood Family Education Revenue

B. Adults with Disabilities-Program Revenue

13.10.03 Limited English Proficiency Programs Aid

13.10.04 Care and Treatment Special Education Aid

Special education services provided to pupils and regular education students who have been placed for care and treatment are reimbursable in accordance with parts 3525.0800 and 3525.1310.

 

A. When regular education and special education services are provided, only the special education portion shall be reimbursed with special education aid.

B. The special education services provided to pupils in accordance with an IEP are reimbursable.

C. The indirect or consultative services provided in conjunction with regular education prereferral interventions and evaluation provided to regular education students suspected of being disabled and who have demonstrated learning or emotional or behavioral problems in a screening are reimbursable.

D. Regular education, including screening, provided to students, pupils, and regular education students are not reimbursable with special education categorical aids.

MN Rule 3525.2325, subp.7

13.10.05 Joint Establishment of Eligibility

If two or more LEAs jointly establish eligibility in accordance with 300.223, the minimum average amount is the average of the combined minimum average amounts determined in accordance with the definition of excess costs in 300.16 in those agencies for elementary or secondary school student, as the case may be.

34 C.F.R. 300.202(b)(3)

13.10.06 Limitation of Use of Part B Funds

The excess cost requirement prevents an LEA from using funds provided under Part B of the Act to pay for all of the costs directly attributable to the education of a child with a disability, subject to paragraph (b)(1)(ii) of this section

The excess cost requirement does not prevent an LEA form using Part B funds to pay for all of the costs directly attributable to the education of a child with a disability in any of the ages 3, 4, 5, 18, 19, 20, or 21, if no local or State funds are available for nondisabled children of these ages. However, the LEA must comply with the non-supplanting and other requirements of this part in providing the education and services for these children.

34 C.F.R. 300.202(b)(1)

Questions regarding data keeping and general guidance as to when to use MARSS Transport Category 03 or 06 and UFARS Finance Dimension 723 and 728 are outlined in the MDE Special Education Transportation Chart

13.11 Reporting Standards

13.11.01 Records Subject to Fiscal Monitoring Compliance Review

A State may require a subgrantee to furnish reports that the State needs to carry out its responsibilities under the program.

34.C.F.R. 76.722

A State and a subgrantee shall keep records that fully show:

  1. The amount of funds under the grant or subgrant;

  2. How the State or subgrantee uses the funds;

  3. The total cost of the project' The share of that cost provided from other sources; and

  4. Other records to facilitate an effective audit.

13.11.02 State Audits

Public schools shall at all times be open to the inspection of the commissioner. The accounts and records of any district must be open to inspection by the state auditor, or the commissioner for the purpose of audits conducted under this section. Each district shall keep for a minimum of three years at least the following: (1) identification of the annual session days held, together with a record of the length of each session day, (2) a record of each pupil's daily attendance, with entrance and withdrawal dates, and (3) identification of the to-and-from school transportation category for each pupil as defined in section 123B.92, subdivision 1.

MN Statue 127A.41, subd.5

13.11.03 Accounting Process

Each recipient of Federal funds under any applicable program through any grant, subgrant, cooperative agreement, loan or other arrangement shall keep records which fully disclose the amount and disposition by the recipient of those funds, the total cost of the activity for which the funds are used, the share of that cost provided from other sources, and such other records as will facilitate an effective financial or programmatic audit. The recipient shall maintain such records for three years after the completion of the activity for which the funds are used.

20 U.s.C. 1232F(a)

The districts in the Area Special Cooperative follow the methods outlined in the Federal OMB Circular A-87 regarding allowable costs.

6. Others at the discretion of the parents or district.

 

Minnesota Department of Education

March 2012

Q & A: Personal Activity Reports (PARs) and Periodic Certification

The Minnesota Department of Education (MDE) Division of Compliance and Assistance has developed

this document to address questions raised by parents and school districts regarding completion of PARs reports.

 

 

 

 

Last modified 03/2/2011