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Ltr7-10: Education Jobs Fund

Letter Head: Tom Torlakson, State Superintendent of Public Instruction, California Department of Education

July 18, 2012

Dear County Superintendents of Schools:

NOTICE OF THE SEVENTH APPORTIONMENT FOR THE
EDUCATION JOBS FUND OF THE
EDUCATION JOBS AND MEDICAID ASSISTANCE ACT (PL 111-226)
FISCAL YEAR 2010–11

This apportionment, in the amount of $31,649,646, is made to local educational agencies (LEAs) from federal funds provided to the state under the Education Jobs Fund (Ed Jobs) program authorized in the Education Jobs and Medicaid Assistance Act of 2010 (Public Law 111-226) (Act). These funds, appropriated in Section 1(a)(2)(A) of Senate Bill 847 (Chapter 220, Statutes of 2010) and augmented with additional funds appropriated in the Budget Act of 2011, are one-time, with an intended use to create and save education jobs in the 2010–11 school year. The amount of Ed Jobs funds available to support kindergarten through grade twelve is $1.2 billion and is made available for appropriation over fiscal years (FY) 2010–11 and 2011–12 state budget authorities.

LEAs were required to submit an application for the State Fiscal Stabilization Funds (SFSF) grant to be eligible to receive an Ed Jobs grant. Only those LEAs that submitted the SFSF application, completed the required American Recovery and Reinvestment Act (ARRA) Section 1512 quarterly report for the period ended June 30, 2012, and met federal cash management requirements are included in this apportionment. As required by federal statute and regulations, federal cash management procedures were applied in order to reduce the time elapsing between the receipt and disbursement of federal funds.

The amount paid to each LEA this quarter (from FY 2010–11 and FY 2011–12 funds) is equal to 25 percent of each LEA’s Ed Jobs entitlement, less the LEA’s cash balance as of June 30, 2012. Any amounts payable this quarter to those LEAs that met cash management thresholds that are not paid in this apportionment of FY 2010–11 funds will be paid from FY 2011–12 funds in a separate apportionment. Cash balance was determined by taking the difference between total Ed Jobs funds previously apportioned to each LEA and expenditures or obligations as reported in the June 2012 Section 1512 quarterly report.

Ed Jobs entitlements were calculated based on each LEA’s proportionate share, an amount equal to 3.762 percent, of revenue limit and charter school general purpose funding as of the 2010–11 Second Principal Apportionment. Funding associated with locally funded charter schools is included in the authorizing district or county amount. Details about the revenue limit data sources used to calculate the final entitlements can be viewed on the Schedule of Revised Final Entitlements for the Education Jobs Fund at http://www.cde.ca.gov/fg/aa/ca/edjobsfund.asp.

Ed Jobs entitlement amounts described above may differ from those posted for prior apportionments. After final entitlements were published in July 2011, California received an additional grant from the U.S. Department of Education for the Ed Jobs program in the amount of $17.7 million. As a result, entitlements were recalculated in March 2012 to distribute the additional funding to LEAs that applied for the program.

Letters of apportionment from the California Department of Education’s (CDE) School Fiscal Services Division are no longer mailed to county superintendents of schools. Instead, county superintendents are notified of each apportionment by e-mail. Accordingly, the CDE has sent an e-mail to each county superintendent, addressed to the county’s CDEfisc e-mail address, to inform him or her of this apportionment. The CDE requests that the e-mail be forwarded to all LEAs in the county, including direct funded charter schools. The letter and schedule for this apportionment is posted on the CDE Categorical Programs, Ed Jobs Web page at http://www.cde.ca.gov/fg/aa/ca/edjobsfund.asp.

Warrants will be mailed to each county treasurer within approximately two weeks from the date of this Notice. For standardized account code structure coding, use Resource Code 3205, Education Jobs Fund, and Revenue Object Code 8290, All Other Federal Revenue. The California sub-allocation (pass-through) number is Program Cost Account (PCA) 25152.

Use of Funds

LEAs must use Ed Jobs funds at the school site level only for compensation and benefits and other expenses, such as support services, necessary to retain existing employees, to recall or rehire former employees, and to hire new employees, in order to provide early childhood, elementary, or secondary educational and related services. For a comprehensive coverage of allowable and unallowable uses of Ed Jobs funds, all LEAs should review CDE's letter dated September 14, 2010, posted at the CDE's Ed Jobs Web site at http://www.cde.ca.gov/ar/ej/, and the U.S. Department of Education (ED) Initial Guidance for States on the Education Jobs Program at http://www.ed.gov/programs/educationjobsfund/applicant.html.

Ed Jobs funds are available for obligation through September 30, 2012. LEAs may not charge expenditures to Ed Jobs funds prior to August 10, 2010, the date of enactment of the Act.

Accountability and Reporting

LEAs must maintain records that separately track and account for Ed Jobs funds. In accordance with the requirements of Section 443(a) of the General Education Provisions Act (20 United States Code, Section 1232f [a]), LEAs must maintain records that will facilitate an effective audit and demonstrate that the funds were used in compliance with applicable requirements.

Under Section 101 of the Act, LEAs must fulfill the quarterly reporting requirements under Section 1512 of the ARRA. For additional information on Section 1512 reporting requirements, please see the CDE ARRA reporting Web page at http://www.cde.ca.gov/ar/rr/.

Section 101 also requires LEAs to provide annual reports as outlined under Section 14008 of the ARRA that would include information on the number of education personnel affected by the Ed Jobs program.

Grant Award

The ED award number for this apportionment is S410A100005. The Catalog of Federal Domestic Assistance subprogram number is 84.410.

Title 34 of the Code of Federal Regulations, Section 80.21(i), requires that any interest earned by LEAs on federal dollars be returned to the ED promptly, but at least quarterly. LEAs may keep interest amounts up to $100 per year for administrative expenses. LEAs should forward interest payments for remittance to the ED to:

California Department of Education
Cashier’s Office
P.O. Box 515006
Sacramento, CA 95851

To ensure proper posting of payments, please include the program’s PCA number (PCA 25152) and identify the payment as “Federal Interest Returned.”

Each recipient and subrecipient awarded funds made available under the Ed Jobs program must promptly refer to the ED’s Office of Inspector General any credible evidence that a principal officer, employee, agent, contractor, subrecipient, subcontractor, or other person has submitted a false claim under the False Claims Act or has committed a criminal or civil violation of laws pertaining to fraud, conflict of interest, bribery, gratuity, or similar misconduct involving those funds. Information about the Office of Inspector General Hotline is available at http://www.ed.gov/about/offices/list/oig/hotline.html.

If you have general questions regarding the Ed Jobs program, including questions regarding the appropriate use of funds, please contact the Fiscal Policy Office by e-mail at arra@cde.ca.gov. For questions on this apportionment, please contact Thi Huynh, Fiscal Consultant, Office of Charter Apportionments and District Reorganization, by phone at 916-324-4555, or by e-mail at thuynh@cde.ca.gov. For fiscal questions related to entitlement calculations, please contact Elizabeth Dearstyne, Fiscal Consultant, Office of Principal Apportionment and Special Education, by phone at 916-327-0398, or by
e-mail at edearstyne@cde.ca.gov.

Sincerely,



Jeannie Oropeza, Deputy Superintendent
Services for Administration, Finance, Technology, and Infrastructure Branch

JO:th

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