POLICY LETTER: September 25, 2009 to Fiscal and Policy Advisor for Greater California Special Education Fiscal Support Alliance J. Sarge Kennedy

RTMENT OF EDUCATIONOFFICE OF SPECIAL EDUCATION AND REHABILITATIVE SERVICESSEP 25 2015J. Sarge KennedyFiscal/Policy AdvisorGreater California Special Education Fiscal Support AllianceP.O. Box 8057Red Bluff, CA 96080Dear Mr. Kennedy:This is in response to your letter dated June 1, 2009 to Mr. William W. Knudsen, former Acting Director of the Office of Special Education Programs (OSEP), regarding the excess costs, supplement not supplant, and local maintenance of effort requirements in Part B of the Individuals with Disabilities Education Act (IDEA) and its implementing regulations at 34CFRPart 300. Your questions and OSEP's responses are indicated below.Question 4. Does the non-supplanting requirement of State funds mean that, in meeting the excess cost and supplement, not supplant requirements, the LEA must fully expend the prior year's level of local AND STATE funds before Part B can be used for the excess costs?OSEP's Response: No. As stated above, the excess cost and supplement/not supplant provisions describe separate tests that LEAs must meet in order to comply with the Part B requirements around the use of Part B funds. Under the non-supplanting requirement in 34CFR300.202(a)(3), Federal Part B dollars must be used to supplement State, local, and other Federal funds used for providing services to children with Page PAGE * MERGEFORMAT 2 J. Sarge Kennedy400 MARYLAND AVE. S.W., WASHINGTON, DC 20202-2600www.ed.govOur mission is to ensure equal access to education and to promote educational excellence throughout the Nation.RTMENT OF EDUCATIONOFFICE OF SPECIAL EDUCATION AND REHABILITATIVE SERVICESSEP 25 2015J. Sarge KennedyFiscal/Policy AdvisorGreater California Special Education Fiscal Support AllianceP.O. Box 8057Red Bluff, CA 96080Dear Mr. Kennedy:This is in response to your letter dated June 1, 2009 to Mr. William W. Knudsen, former Acting Director of the Office of Special Education Programs (OSEP), regarding the excess costs, supplement not supplant, and local maintenance of effort requirements in Part B of the Individuals with Disabilities Education Act (IDEA) and its implementing regulations at 34CFRPart 300. Your questions and OSEP's responses are indicated below.Question 4. Does the non-supplanting requirement of State funds mean that, in meeting the excess cost and supplement, not supplant requirements, the LEA must fully expend the prior year's level of local AND STATE funds before Part B can be used for the excess costs?OSEP's Response: No. As stated above, the excess cost and supplement/not supplant provisions describe separate tests that LEAs must meet in order to comply with the Part B requirements around the use of Part B funds. Under the non-supplanting requirement in 34CFR300.202(a)(3), Federal Part B dollars must be used to supplement State, local, and other Federal funds used for providing services to children with Page PAGE * MERGEFORMAT 2 J. Sarge Kennedy400 MARYLAND AVE. S.W., WASHINGTON, DC 20202-2600www.ed.govOur mission is to ensure equal access to education and to promote educational excellence throughout the Nation.