View FileSeptember 25, 2002 to Rhode Island Department of Education Office of Special Needs Director Thomas P. DiPaolo (MS Word)
Dated: September 25, 2002Dr. Thomas P. DiPaoloDirectorOffice of Special NeedsRhode Island Department of EducationShepard Building255 Westminster Street, Room 400Providence, Rhode Island 02903-3400Dear Dr. DiPaolo:We have received your August 20, 2002 letter in which you request that the effective date of Rhode Island's Individuals with Disabilities Education Act (IDEA), Part B, Grant be changed to July 1, 2002. The grant was awarded on July 18, 2002, the date that the Office of Special Education Programs (OSEP) received the Rhode Island Department of Education's (RIDE) assurance that it would take action necessary to ensure that the requirements of 34 CFR 300.523 are met. You have indicated to us that the delayed effective date would have significant negative financial impact on programs funded with Part B monies, as those programs have little if any funding remaining from the FY 00 and 01 grants and had ongoing activities in July.Under the Cash Management Improvement Act of 1990, which provides for timely transfer of funds between Federal agencies and States, the Federal government is liable for interest payments to a State that disburses its own funds for Federal program purposes before the date that Federal funds are deposited to the States' bank account for those obligations. OSEP Memo 02-04 (Procedures for States to Follow in Order to Receive a Grant Award under Part B of the Individuals with Disabilities Education Act (IDEA) for Federal Fiscal Year 2002), describes the Education Department General Administrative Regulations (EDGAR) at 76.703-76.704 that establish procedures for the Department and States regarding the obligation of funds (copy available upon request).As explained in OSEP Memo 02-04, OSEP makes grant awards under Part B for FFY 2002 to States that submit complete eligibility document packages and provide an assurance that as soon as possible within the grant year, the State would make all needed changes that OSEP identifies in its review of the State's eligibility documentation. Our records reflect that on June 27, 2002 RIDE received a memo from OSEP informing RIDE of the apprSincerely,/s/ Patricia J. Guard forStephanie S. LeeDirectorOffice of Special Education ProgramsPage PAGE 2 - Dr. Thomas DiPaolo
