Dear County Superintendents of Schools:
First Apportionment for Homeless Children and Youth II Fund of the American Rescue Plan Act
Fiscal Year 2021–22
This apportionment, in the amount of $13,890,155, is made from federal funds provided to the state under the American Rescue Plan Act, Elementary and Secondary School Emergency Relief - Homeless Children and Youth II Fund (ARP-HCY II) Section 2001(b)(1), Public Law 117-2. ARP-HCY II funds are apportioned to local educational agencies (LEAs) to support any purposes consistent with McKinney-Vento, help LEAs identify homeless children and youth, provide wraparound services that address the multiple effects of the COVID-19 pandemic on homeless children and youth, and ensure that homeless children and youth are able to attend school and participate fully in school activities.
The amount of funding awarded to each state for ARP-HCY II is in the same proportion as each state received under Title I, Part A of the Elementary and Secondary Education Act of 1965, as amended by the Every Student Succeeds Act, in Fiscal Year 2020–21. Each state must use no less than 75 percent of its allocation to make subgrants to LEAs. California’s allocation for ARP-HCY II is $55,560,291.
ARP-HCY II funds are allocated to LEAs using a formula that is based equally on the proportional share of an LEA's allocation under Title I, Part A for
2020–21, and the LEA's proportional share of the number of homeless children and youth identified by each LEA relative to all LEAs in the State, using the greater of the number of homeless children and youth in either the 2018–19 or 2019–20 school year in each LEA. If an LEA's allocation would be less than $5,000, in order to receive an ARP-HCY II subgrant, the LEA must join a consortium with a county office of education or with an LEA within the county to meet the $5,000 threshold.
Only those LEAs that submitted the ARP-HCY II Application for Funds by December 31, 2021, are included in this apportionment. To meet federal cash management requirements to reduce the time elapsing between the receipt and disbursement of federal funds, each LEA’s payment equals 25 percent of their ARP-HCY II allocation. Subsequent apportionments will be based on quarterly expenditure reporting.
Amounts paid in this apportionment are listed on the schedule of apportionment posted on the California Department of Education (CDE) Categorical Programs web page at https://www.cde.ca.gov/fg/aa/ca/.
The United States Department of Education (ED) grant award number for this funding is S425W210005 – 21A. The Catalog of Federal Domestic Assistance subprogram number is 84.425W (American Rescue Plan Elementary and Secondary Schools Emergency Relief Fund – Homeless Children and Youth [ARP-HCY]). The funding is appropriated in Schedule (1) of Item 6100-135-0890 of the Budget Act of 2021 (Chapter 21, Statutes of 2021) as amended by Senate Bill 170 (Chapter 240, Statutes of 2021). The California sub-allocation (pass-through) number is Program Cost Account (PCA) 15566.
This grant is subject to the provisions of the General Education Provisions Act (Public Law 103–382). This grant is also subject to the Education Department General Administrative Regulations in 34 Code of Federal Regulations (CFR), parts 76, 77, 81, 82, 24, 97, 98 and 99 as applicable; the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards in 2 CFR, Part 200; and 2 CFR, Part 3485 as applicable.
Under the federal Tydings Amendment, Section 421(b) of the General Education Provisions Act, any funds that are not obligated at the end of the federal funding period, April 23, 2021, through September 30, 2023, shall remain available for obligation for an additional period of 12 months, through September 30, 2024.
Pursuant to 2 CFR, Section 200.305(b)(9), interest earned amounts up to $500 per year may be retained by the non-federal entity for administrative expense. Any additional interest earned on federal advance payments deposited in interest-bearing accounts must be remitted annually. LEAs should forward interest payments for remittance to the ED to:
California Department of Education
P.O. Box 515006
Sacramento, CA 95851
To ensure proper posting of payments, please indicate the program’s PCA number (PCA 15566), and identify the payment as “Federal Interest Returned.”
Warrants will be mailed to each county treasurer approximately three weeks from the date of this Notice. For standardized account code structure coding, use Resource Code 5634: American Rescue Plan - Homeless Children and Youth II (ARP HCY II), and Revenue Object Code 8290, All Other Federal Revenue.
County superintendents were notified of this apportionment by email sent to their CDEfisc email addresses. The CDE requested that the email be forwarded to all school districts and charter schools in the county, and included the links to this letter and the accompanying apportionment schedule posted on the CDE web page at https://www.cde.ca.gov/fg/aa/ca/.
If you have any program-related questions regarding ARP-HCY II such as eligible uses of funds or federal compliance requirements, please contact the Homeless Education Team by email at HomelessED@cde.ca.gov or visit the CDE web page at https://www.cde.ca.gov/sp/hs/. For questions concerning this apportionment or the ARP-HCY II allocation amounts, please contact the Categorical Allocations and Audit Resolution Office, by email at CAAR@cde.ca.gov.
Elizabeth Dearstyne, Director
School Fiscal Services Division