Recent announcements posted by the Texas Education Agency that will be of special interest in reference to the school district’s or charter school’s financial management activities are listed below.
To access more information, click on the item titles below.
Financial Accountability Rating Indicators
Changes were adopted to the Commissioner’s Rule on financial accountability rating indicators used to determine each school district's and open-enrollment charter school's rating for the 2016-2017 rating year. The rule amendment for the school district financial accountability rating system also referred as School FIRST clarified indicator 5 on a school district’s unrestricted net position balance amount and 10 on debt service coverage, in addition to increasing the threshold amounts for school districts’ ratings for the rating year 2016-17.
Depository Contracts for School Districts
Action Required: Each school district's depository contract must be renewed every two years. The next cycle is 2017-2019 for which the documentation will be due is June 15, 2017. TEA has replaced the former Bid Form and Request for Proposal (RFP) Form, in both Word and PDF form. You are now able to use the new forms although the school districts can use the former documents for their 2017-2019 contract and continue to be in compliance. The new forms are posted on the TEA depository contract web page.
All school districts that are selecting a depository must properly complete and electronically submit the following documents to the Texas Education Agency, Division of Financial Compliance:
- One completed and signed Depository Contract for Funds of Independent School Districts
- One Vendor Direct Deposit Authorization (VDDA) form, if applicable
- One completed and signed Texas Surety Bond form, if applicable
If eligible, submit the depository contract extension form for school districts if your district decides to extend the depository contact in lieu of awarding a new contract to a new or existing depository bank.
If applicable, submit the vendor direct deposit authorization form if the district is making changes at any time during the fiscal year to the district’s direct deposit account.
2015-2016 Final Summary of Finances
A Final Summary of Finances (SOF) report for the 20152016 school year is available at the Texas Education Agency (TEA) School District State Aid Reports web page. Be sure to review the potential adjustments to future cash flows related to Foundation School Program Allocations and Adjustments, in addition to Additional State Aid for Homestead Exemption.
Action Required: Be sure to also review various required actions related to the Existing Debt Allotment (EDA), Instructional Facilities Allotment (IFA) and revisions for weighted average daily attendance sold under Chapter 41, Equalized Wealth or Robin Hood, as applicable.
School Redesign Fund (SRF) Grant Opportunity
These grants seek to empower districts to redesign eligible low-performing campuses into high-quality campuses with strong redesigns and the operational flexibility necessary to provide better educational opportunities to students who would otherwise continue in low-performing schools. TEA is seeking applications from local education agencies (LEAs) on behalf of eligible campuses. Eligible campuses are current 2016-2017 Title I Priority and Focus schools that are not currently receiving Texas Title I Priority Schools (TTIPS) Cycle 4 or 5 grant funds. An LEA with multiple eligible campuses will be asked to submit individual applications for each campus that it is seeking competitive funds for.
Action Required: The application will be due on July 13th, 2017 at 5pm.
2017-2018 Initial Compliance Reviews (ICRs)
The 2017-2018 Initial Compliance Reviews (ICRs) based on 2016-2017 data for NCLB programs will not be conducted as a result of transition to implementation of the Every Student Succeeds Act (ESSA). The ICR desktop monitoring process will be revised to implement the new statutory requirements under ESSA during the summer of 2018.
Indirect Cost Rates Available for School Year 2017–2018 (Fiscal Year 2018)
TEA has approved indirect cost rates for open-enrollment charter schools, independent school districts, and education service centers. These rates are effective July 1, 2017, through June 30, 2018. School districts and open-enrollment charter schools have been issued two indirect cost rates, a restricted rate and an unrestricted rate. The restricted rate is used for grant programs covered by a supplement, not supplant provision. The unrestricted rate is used for grant programs without such a provision.
Action Required: Apply indirect cost new rates effective July 1, 2017.
2017-2018 Optional Flexible School Day Program (OFSDP)
The OFSDP is a program that your district may offer to provide flexible hours and days of attendance for students in any grade who meet one of the following criteria:
- The student has dropped out of school or is at risk of dropping out.
- The student participates in an approved early college high school plan.
- The student attends a campus implementing an innovative redesign under a plan approved by the commissioner of education.
- The student will be denied credit for one or more classes in which the student has been enrolled as a result of attendance requirements under the Texas Education Code, §25.092.
Action Required: Submit an annual application notifying the Texas Education Agency (TEA) that your district plans to participate. The application requires the following information: 1) implementation plan description, 2) staff plans, 3) schedules, and 4) student attendance accounting security procedures and documentation. The TEA will notify each applicant of its approval status to operate an OFSDP. The application may be submitted at any time, though your district must receive approval from the Texas Education Agency (TEA) before initiating the program.
2017-2018 Title I, Part C Carl D. Perkins Career and Technical Education Act Grant Application
Action Required: The 2017-2018 Title I, Part C Carl D. Perkins Career and Technical Education Act Grant Application is now available in eGrants. Allocations for eligible applicants are available and can be viewed on the Entitlements, Grants Administration Division page. Eligible applicants must apply through the eGrants system by 5:00 p.m. Central Time, August, 31, 2017.
Change in Distribution of Title I, Part A, Carl D. Perkins Career and Technical Education Secondary Reserve Grant for 2017-18
Beginning in the 2017-2018 school year, the TEA will change its approach for distribution of the Perkins Reserve Grant. Instead of distributing funds through a formula to qualifying LEAs, the Agency will use the funds to offer several competitive grant opportunities with specific focus areas (to be announced this summer). This change may have a fiscal impact on some school and district CTE programs.
2017-2018 Optional Flexible Year Program (OFYP)
Your school district or charter school may modify its instructional calendar for up to 4,200 minutes to provide a flexible year program to meet the educational needs of its students, including providing intensive instructional services. A flexible year program is for students who did not, or are likely not to, perform successfully on an assessment instrument administered under the Texas Education Code (TEC), §39.023, or who would not otherwise be promoted to the next grade level.
Action Required: To apply to participate in the OFYP, your district or charter school must submit a number of items to the Texas Education Agency. These items are: 1) a completed 2017–2018 application form, 2) a modified 2017–2018 instructional calendar, and 3) a letter describing the proposed modifications to the instructional calendar that includes a description of the OFYP that will be provided under the TEC, §29.0821. The letter must indicate the date on which the board of trustees approved the modified instructional calendar.
Private Nonprofit (PNP)
Federal law requires private schools to be contacted annually by the LEA to determine if PNPs would like to participate with federal programs. It is the responsibility of the Local Education Agency (LEA) to ensure consultation with the private schools is timely and meaningful. Consultation must occur during the design and development of the programs and before the LEA makes any decisions affecting the opportunities of eligible private school children, teachers, and other educational personnel to participate in the programs. LEAs are required to document that timely and meaningful consultation with PNP officials has occurred.
Action Required: Completed 2017-2018 Affirmations for PNPs participating with Title I, Part A; Title I, Part C Migrant; Title II Part A; Title III, Part A English Learner; Title III, Part A Immigrant; or Title IV, Part A services may be electronically signed if the LEA and PNP has Adobe Acrobat (not Adobe Reader) software or simply scanned with written signatures. The signed Affirmation must be uploaded through the GFFC Reports and Data Collections application accessible through TEA Secure Environment (TEASE) or TEAL no later than September 1, 2017. The LEA only needs to submit an Affirmation if PNPs are participating in any of the programs: Title I, Part A; Title I, Part C Migrant; Title II, Part A; Title III, Part A English Learner; Title III, Part A Immigrant; or Title IV, Part A.