Funding Description
As part of the Special Education Assembly Bill (AB) 602 formula, the Extraordinary Cost Pool (ECP) program reimburses special education local plan areas (SELPAs) for extraordinary costs of single placements in nonpublic, nonsectarian schools (NPS) and special education-related services for pupils residing in licensed children's institutions (LCI). This program also reimburses necessary small SELPAs defined in California
Education Code (
EC) Section 56212, for extraordinary costs associated with educationally related mental health services, including out-of-home residential services. Costs of placements and services for single students in excess of the annual threshold amount will be reimbursed, subject to available funds.
Eligibility
| Eligible Applicants |
Local educational agencies
|
| Required Eligibility Criteria |
SELPAs that have extraordinary cost of single placements in NPS and related services in LCI and necessary small SELPAs that have extraordinary costs associated with mental health services are eligible. |
| Other Eligibility Considerations |
Not applicable |
| Eligible Grade Level(s) |
Not applicable
|
| Eligible Age Level(s) |
Not applicable
|
Funding
| Legal Authority |
California Education Code Section 56836.21; Budget Item 6100-161-0001(1)(15) |
| Source / Type |
State / Apportionment
|
| State Fiscal Year |
2026-27
|
| SACS Resource / Revenue Codes |
6500 / 8311
|
| Total Available |
$60,000,000
|
| Recipient Amount |
See allocation formula
|
| Match Requirement |
No
|
| Allocation Formula |
Costs for a single placement in excess of the applicable threshold amount will be eligible for reimbursement.
Funds shall first be available to fully reimburse extraordinary costs associated with the placement with educationally related mental health services, including out-of-home residential services for necessary small SELPAs (NSS), as defined in EC Section 56212. The threshold amount for 2026-27 for NSS is the lesser of $104,175.40 or one percent of the SELPA's net entitlement for the 2019-20 fiscal year. For NSS ECP for Mental Health (NSS ECPMH) funding details, refer to the NSS ECPMH web page.
Remaining funds shall be available for reimbursements for placements in NPS, pursuant to EC Section 56836.21, and pupils residing in LCIs. The threshold amount for 2026-27 for SELPAs that are not considered NSS as defined in EC Section 56836.21 is $104,175.40. This is equal to the 2025-26 threshold plus the 2026-27 cost-of-living adjustment of 2.87 percent. If the total reimbursable amount exceeds the current year appropriation, all claims will be prorated. For ECP funding details, refer to the ECP web page.
|
Important Dates
| Date Application Available |
Unavailable
|
| Due Date |
November 1, 2027
|
| Expected Notification Date |
Unavailable
|
Additional Information
| Application |
Principal Apportionment [http://www.cde.ca.gov/fg/aa/pa/] |
| Background |
Unavailable |
| Fiscal |
Unavailable |
| Other |
Funding for Extraordinary Cost Pool claims are allocated at the Annual Certification of the Principal Apportionment, which is certified by February 20th in the following fiscal year (with that year's First Principal Apportionment certification). |
Contacts
| Program |
Principal Apportionment Section, 916-324-4541, PASE@cde.ca.gov
|
| Fiscal |
Principal Apportionment Section, 916-324-4541, PASE@cde.ca.gov
|
| Division |
School Fiscal Services Division, 916-324-4541
|
Last Modified:
July 20, 2026
