Title I, Part A - Maintenance of Effort (MOE)

Federal statute requires that local education agencies (LEAs) receiving Title I, Part A funds must continue to maintain fiscal effort with state and local funds.

An LEA may receive its full Title I, Part A entitlement if either the combined fiscal effort per student or the aggregate expenditures for the preceding fiscal year was not less than 90 percent of the combined fiscal effort or aggregate expenditures for the second preceding fiscal year.

Maintenance of Effort (MOE) is determined using state and local operating expenditures by function, excluding expenditures for community services, capital outlay, debt service, and supplementary expenses as a result of a Presidential declared disaster, as well as any expenditures from funds provided by the federal government.

The Texas Education Agency includes the following categories of expenditures from state and local funds in determining whether the LEA has met the MOE requirement:

 

 

Category Function

Instruction

11

Instructional Leadership (previously Administration)

21

Instructional Leadership (previously Administration)

12

Curriculum Development and Instructional Staff Development

13

School Leadership

23

Guidance and Counseling Services

31

Social Work Services

32

Health Services

33

Student (Pupil) Transportation

34

Deficits for Cocurricular/Extracurricular Student Body Activities

36

Deficits for Food Services

35

General Administration

41

Plant Maintenance and Operation

51

Data Processing Services

53


Any expenditures for community services, capital outlay, or debt service, and any expenditures made from funds granted under federal programs will be excluded from the calculation.

The LEA is responsible for producing documentation of compliance with MOE for the LEA's independent auditor.

The Texas Education Agency monitors compliance of LEAs with respect to MOE by using data on actual expenditures as reported to the Public Education Information Management System (PEIMS).

Failure to Maintain Fiscal Effort

The Agency is required to reduce the amount of the LEA's allocation of Title I, Part A funds in the exact proportion by which the LEA fails to meet the MOE requirement.

In determining MOE for the fiscal year immediately following the fiscal year in which the LEA failed to maintain effort, the LEA must consider the expenditures in the year the failure occurred to be no less than 90 percent of the expenditures for the second preceding year (this establishes a new base year). Note: MOE is based on actual expenditures, not on budget projections.

Waiver

The state has no authority to waive the MOE requirement. However, the U.S. Secretary of Education may waive the MOE requirement if the Secretary determines that such a waiver would be equitable due to:

  • exceptional or uncontrollable circumstances such as a natural disaster; or
  • a precipitous decline in the financial resources of the LEA.  

NCLB LEA MOE Determination Calculation Tool

TEA has developed an Excel tool for LEAs to use in determining compliance with the NCLB LEA MOE requirement. The calculation performed by the NCLB MOE determination calculation tool is an estimate only and does not duplicate TEA's exact calculation process. The results of TEA's calculation will be the basis of the final MOE determination.

NCLB LEA MOE Determination Calculation Tool
•Instructions for using the tool: Forthcoming

Student Counts

This serves to provide information on the student counts used in the MOE calculation:

  • Refined Average Daily Attendance – School Finance Average Daily Attendance Reports
  • Membership – Snapshot School District Profiles – Membership is represented as item 3 of a school district’s Snapshot District Detail report and is listed as “Total Students”
  • Enrollment –  PEIMS Edit + Report View - PRFD002 Summary by Sex and Ethnicity – Enrollment is captured on page 3 of 4 on this report and is listed in the column heading and row that states “Total”

For information on ESEA MOE requirmements please access the following website: http://www.tea.state.tx.us/index4.aspx?id=4073 


For additional information, contact:

Division of Federal Fiscal Compliance and Reporting
1701 North Congress Avenue
Austin, TX  78701
512/463-9127 

Compliance@tea.state.tx.us  

 

Page last modified on 12/19/2013 08:45:27 AM.