Maintenance of effort (MOE) requires local educational agencies (LEAs) to maintain their state and local funds they spend to support federal programs at a specified level from one fiscal year to the next. If your organization receives a federal grant awarded under the Individuals with Disabilities Education Act of 2004, Part B (IDEA-B), the MOE requirement specifies that you must spend at least the same amount of state and local funds to provide services to students with disabilities as you spent in the previous fiscal year. You must comply with MOE requirements in order to receive a continued level of IDEA-B funding each fiscal year.
There are other fiscal requirements related to MOE that you should consider before you budget funds for services to students with disabilities. These requirements include coordinated early intervening services (CEIS), excess cost, and voluntary reduction. Information on these requirements is available in the resources listed below.
The following sources provide guidance to assist LEAs with IDEA-B and MOE.
IDEA-B LEA MOE Handbook
Refer to the IDEA-B LEA Maintenance of Effort (MOE) Guidance Handbook (PDF 755 KB) for information related to compliance for fiscal year 2014 and beyond.
The handbook is updated on an ongoing basis, as guidance is received and clarified.
IDEA-B LEA MOE Budgeting Resources
The following links lead to other resources that may help your organization budget funds for services to students with disabilities.
IDEA-B LEA MOE Calculation Tool
This is an Excel workbook to help your organization test its compliance with the MOE requirement. The calculation provides an estimate only and does not duplicate TEA's exact calculation process. The results of TEA's calculation will be the basis for the final MOE determination.
In April 2014, the US Department of Education issued a letter describing the level of effort LEAs should meet the year following a noncompliance determination from TEA.
In September 2013, the US Department of Education issued proposed amendments to MOE. The purpose was to clarify existing policy and revise the compliance and eligibility standards. The amendments also revised the level of effort required of an LEA in the year after it fails to maintain effort, and the consequence of a failure to maintain effort.
Additional guidance will be posted on this page as it becomes available. If you would like to be notified when updates occur, please subscribe to the Grants Administration and Federal Program Compliance listserv.
For more information, contact:
Division of Federal Fiscal Compliance and Reporting