Immediate and Upcoming Changes to Grant Management Processes

 

Word Version

April 27, 2012

TO THE ADMINISTRATOR ADDRESSED:

SUBJECT:      Immediate and Upcoming Changes to Grant Management Processes

This letter describes several changes to grant management processes that the Texas Education Agency (TEA) Division of Grants Administration will implement over the coming months. TEA’s intent in making these changes is to align processes among different types of grant programs where possible, with the purpose of reducing the administrative burden for local educational agencies (LEAs) and other grantees and increasing flexibility regarding state and federally funded grant programs.

Some changes are effective immediately, while others take effect with grants for the 2012–2013 school year, as follows.

Changes Effective Immediately

Expenditure Reimbursement Request Threshold

All state and federal grants will have an expenditure reimbursement request payment threshold of 20% of the total grant award per month, with the percentage aggregating each month. All expenditure requests exceeding the established 20% payment threshold will require manual review and approval by TEA staff. TEA staff will monitor expenditure reimbursements requests and may require additional data from grantees in support of their requests for payment. Previously, the grantee was allowed to draw down different percentages per month depending on the type of grant. Some percentages aggregated across months while others did not.

Applies to:

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Formula grants, state funded

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Formula grants, federally funded

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Discretionary competitive, state funded

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Discretionary competitive, federally funded

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Discretionary noncompetitive, state funded

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Discretionary noncompetitive, federally funded

25% Budget Amendment Variance

Grantees are not required to amend formula or discretionary grant applications as long as the grantee is moving 25% or less of the total approved budget and is not adding a new line item; however, items requiring specific approval are required to be budgeted in the original application or added via an amendment before grant funds may be expended on the item. Discretionary grantees must still amend the application any time the grantee changes the scope or objectives of the program. Previously, some grants had variances of 25% of the total budgeted amount while others were 25% of the amount budgeted in the class/object code.

Applies to:

-

Formula grants, state funded

-

Formula grants, federally funded

-

Discretionary competitive, state funded

-

Discretionary competitive, federally funded

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Discretionary noncompetitive, state funded

-

Discretionary noncompetitive, federally funded

Changes Effective with Grants for the 2012–2013 School Year

Amendments to Specific State-Funded Grants

For most state-funded formula and state-funded discretionary noncompetitive grants, no amendment will be required to be submitted for changes made to the approved application. However, certain types of programmatic changes may require notification and/or discussion with the TEA program office.

This flexibility does not apply to any grant over $1 million; to new nonprofit grantees; or to new charter school grantees. Previously, all state-funded grant applications required amendments for budgetary changes.

Applies to:

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Formula grants, state funded

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Discretionary noncompetitive, state funded

Amendments to Increase/Decrease Payroll Positions

Grantees will enter the “estimated” number of positions in the original grant application and will not be required to amend the application as long as the actual number of positions is not increased or decreased by more than 20% of the approved number. The specific type of position must be approved, or an amendment will be required to add the position. Previously, any change to the number of positions required an amendment.

Applies to:

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Formula grants, federally funded

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Formula grants, state funded; for grantees with NOGAs over $1 million, new charter schools, and new nonprofit grantees.

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Discretionary noncompetitive, federally funded

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Discretionary noncompetitive, state funded; for grantees with NOGAs over $1 million, new charter schools, and new nonprofit grantees.

Minimum Budget Placeholders

Grantees will be allowed to budget minimum amounts in any class/object code. This flexibility allows the grantee to implement the 25% budget amendment variance discussed above; however, items requiring specific approval are required to be budgeted in the original application or added via an amendment before grant funds may be expended on the item. Previously, this placeholder flexibility existed in some grant programs but not others.

Applies to:

-

Formula grants, state funded

-

Formula grants, federally funded

-

Discretionary noncompetitive, state funded

-

Discretionary noncompetitive, federally funded

For additional detail on any of the changes described in this letter, refer to the Division of Grants Administration guidance on expenditure reimbursement requests requiring manual approval and instructions on when to amend the grant application. If you have any questions, email the Division of Grants Administration at GAFPC@tea.state.tx.us.

Sincerely,

Cory Green, Chief Grants Administrator

Office for Grants and Fiscal Compliance

Page last modified on 5/22/2013 11:29:59 AM.