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Ltr1-12: Economic Impact Aid

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

September 21, 2012

Dear County Superintendents of Schools:

NOTICE OF THE FIRST APPORTIONMENT
FOR THE ECONOMIC IMPACT AID PROGRAM
FISCAL YEAR 2012–13

This apportionment, in the amount of $174,999,135, is made from funds provided by Item 6110-128-0001 of the Budget Act of 2012 (Chapter 21, Statutes of 2012). These funds support the Economic Impact Aid (EIA) program pursuant to California Education Code (EC) sections 54020 through 54028.

County superintendents are notified of each apportionment by e-mail which is sent to their CDEfisc e-mail address to inform him or her of this apportionment and request that the e-mail be forwarded to the school districts in the county.

This apportionment equals 20 percent of the local educational agencies (LEAs) estimated 2012-13 entitlements, less $557,792, which represents reductions in categorical funding for basic aid school districts, as explained below. This estimate is based on final 2011–12 entitlements, as reduced by a 1.1932624914 deficit factor. LEAs that have not yet applied to participate in the current year EIA program are not included in this apportionment; LEAs that subsequently request EIA funding will be included in future apportionments. Four additional apportionments of 20 percent each are planned, one in November 2012, and one in the months of January, March, and May 2013.

Once necessary data are available, new EIA entitlements for 2012–13 will be calculated. We expect to post these 2012–13 entitlements by December 2012 and will use these new entitlements for future apportionments. These entitlements will be posted on the California Department of Education (CDE) 2012–13 EIA Funding Results Web page at http://www.cde.ca.gov/fg/aa/ca/eia.asp. Select “Economic Impact Aid 2012 Funding Results,” and then select “Schedule of 2012–13 EIA Entitlement Data.”  

Under the EIA formula, each district’s 2012–13 entitlement will be equal to its 2012–13 EIA per-pupil funding rate multiplied by its EIA eligible pupil count; no cost of living adjustment was provided for the current year. In the event the budget appropriation is not sufficient to fully fund calculated entitlements, a deficit factor will be applied to reduce each LEAs allocation. The EIA Eligible Pupil count for each LEA is the sum of the following:

  • Number of economically disadvantaged (ED) pupils. For most districts, the ED count is the district’s Title I formula child count used in its current year Title I entitlement calculation. The Title I counts are primarily based on U.S. census poverty data. The ED count for a small, rural district (district has less than 600 enrollment and was given a small, rural “locale” code by the National Center for Education Statistics), and for county juvenile court schools, is the district’s prior year free meal count converted to a figure in lieu of its Title I formula child count.
  •  Number of English Learners (EL), as reported by the district or county juvenile court school in the prior year R30-LC Language Census.
  • A calculated number for each district that has a combined ED and EL pupil count (or concentration) greater than 50 percent of the district’s or county office’s (for the sum of its juvenile court schools) total pupil enrollment, as reported in the prior year California Longitudinal Pupil Achievement Data System.

There is no restriction on the amount of EIA funds that may be carried over from year to year. For standardized account code structure coding, use Resource Code 7090, Economic Impact Aid, or Resource Code 7091, Economic Impact Aid: Limited English Proficiency, and Revenue Object Code 8311, Other State Apportionments-Current Year.

Senate Bill (SB) 81 (Chapter 2, Statutes of 2012) requires that 2012–13 categorical funding allocations to school districts that were basic aid in fiscal year 2011–12 be reduced by the lesser of: (1) the district’s 2011–12 total revenue limit subject to the deficit factor, calculated as of the 2011–12 certified second principal apportionment, multiplied by 9.57 percent; or (2) the amount of the district’s excess taxes. Pursuant to SB 81, we have reduced the amount paid to certain basic aid districts in this apportionment. The amounts reduced are shown on the apportionment schedule. To view the list of basic aid districts and the total amount to be reduced from their 2012–13 categorical funding allocations, please go to the CDE Web page at http://www.cde.ca.gov/fg/aa/ca/basicaid.asp, and under “2011–12 basic aid districts and 2012–13 categorical funding reductions per SB 70, Chapter 7/2011, as amended by SB 81, Chapter 2/2012” select the “Schedule of Categorical Program Recoveries for Basic Aid Districts.”

If you have any questions regarding this apportionment, please contact Ross Valentine, Consultant, Charter Apportionments and District Reorganization Office, by phone at 916-327-4405 or by e‑mail at rvalenti@cde.ca.gov.

Sincerely,



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

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