Sep 2009 Recovery Letter
Dear County Superintendents of Schools, Auditors, and Treasurers:
NOTICE OF THE SEPTEMBER 2009 RECOVERY OF CATEGORICAL PROGRAM
OVERPAYMENTS FROM THE 2009-10 ADVANCE PRINCIPAL APPORTIONMENT
FISCAL YEAR 2008-09
This recovery of overpayment in the amount of $5,703,331.82, is made pursuant to sections 34 and 43 of Senate Bill 4 of the Third Extraordinary Session, Chapter 12, Statutes of 2009 (SBX3 4). SBX3 4, enacted in February 2009, amended the Budget Act of 2008 which was signed into law in September 2008. Specifically, Section 34 of SBX3 4 reduced the appropriations of 50 budget act items by approximately 15.4 percent, and Section 43 directed that the principal apportionment payment for school districts and county offices of education be reduced in order to recover any amounts already paid in excess of the February 2009 appropriation levels.
By the time SBX3 4 was enacted during the eighth month of the fiscal year, the California Department of Education (CDE) had allocated funds for 19 budget items or schedules by a total of $225.6 million in excess of their reduced appropriations. Approximately $208.9 million has been recovered through offsets to the first principal apportionment payment in May 2009 and second principal apportionment payment in July 2009. This notice of recovery seeks to recover approximately $5.7 million through offsets to the 2009-10 advance principal apportionment payment. The remaining balance will be recovered in September 2009 through offsets to the 2009-10 Pupil Transportation and AB 825 Block Grant apportionment payments, and final payment for the 2008-09 Teacher Credentialing Block Grant program. Since the first recovery, we learned of four additional CDE programs that had been overpaid and their amounts are reflected in the $225.6 million total cited above. One, the Bilingual Teacher Training Program was added to the July 2009 recovery. The remaining three, Advanced Placement, Cal-SAFE, and Class Size Reduction Grade Nine, are being recovered through this offset.
We note that funds for 2 of the 50 reduced budget act items are not allocated by CDE, rather by the Office of Public School Construction and California Commission on Teacher Credentialing. The CDE is not recovering funds that may have been overpaid by these agencies.
County offices of education are requested to inform the affected school districts and direct-funded charter schools in their counties of these recoveries. To view the schedule of recovery showing how much is being recovered from each county office, school district and direct-funded charter school in total and by program, in May 2009, July 2009, and September 2009, please visit the CDE Web page at: http://www.cde.ca.gov/fg/aa/ca/recovery08.asp.
To find information on the data used in the recovery calculation for a specific program or budget act item, please refer to the following list:
- K-12 High-Speed Network Item 6110-182-0001, please contact Cliff Rudnick at 916-323-5072 or by e-mail at firstname.lastname@example.org.
- For all other programs and budget act items, please visit the CDE Web page at http://www.cde.ca.gov/fg/aa/ca/. Select the program name and then the fiscal year 2008-09 funding results link. There, you will find a link to the schedule showing the data used in the calculations, and the name and contact information for the fiscal staff who can answer additional questions.
If you have any questions regarding the recovery process, please contact
Marcie Gregory, Fiscal Assistant, Categorical Allocations and Management Assistance, at 916- 324-4537or by e-mail at email@example.com [Note: the preceding contact information is no longer valid.]
Scott Hannan, Director
School Fiscal Services Division