Ed Dept Funds Data Wizards for Disability Finance
Published Date: 1/21/2025
Proposed Rule
Summary
The Department of Education wants to create a special center to help states get better at collecting and using money data for kids with disabilities under IDEA Parts B and C. This center will offer tailored support to each state, making sure they meet important rules and help every child succeed. States and related groups should share their thoughts by April 7, 2025, as this effort could start in fiscal year 2025 and beyond.
Analyzed Economic Effects
5 provisions identified: 2 benefits, 2 costs, 1 mixed.
New Fiscal Data Technical Center
The Department proposes a National Technical Assistance Center (Fiscal Data Center) to give tailored help to States to collect, report, analyze, and use IDEA Part B and Part C fiscal data. The Center could be used starting in FY 2025 and would focus on improving how States meet fiscal requirements so children with disabilities get resources and services.
Federal Set-Aside Funding Rule
The Secretary may reserve up to one-half of one percent (0.5%) of amounts appropriated under IDEA Part B each fiscal year for technical assistance activities, with a statutory cap of $25,000,000 per fiscal year (cumulatively adjusted by inflation). These reserved funds may be used to administer and carry out data collection, coordination, quality, and use activities for Parts B and C.
Risk of Fund Recovery for Bad Data
The Department states that inaccurate IDEA fiscal reporting can lead to noncompliance and potential monetary consequences, including recovery of funds. The notice cites examples (239 LEAs in 20 States with MOE failures for 2021-2022) and notes States had repaid only 26 of those shortfalls when they submitted data.
Voluntary Program; Application Burden
Participation in the Technical Assistance on State Data Collection program is voluntary. The Department certifies the proposed priority would not have a significant economic impact on a substantial number of small entities and that costs to applicants are limited mainly to application paperwork.
Grant Funding and Grantee Requirements
Applicants for the Fiscal Data Center cooperative agreement must meet detailed requirements: budget at least 50% of the award for targeted and intensive TA, include an annual set-aside of 5% of the grant for emerging needs, fund travel (kickoff 1.5 days, annual 3-day conference, three annual two-day trips), and fund a third-party evaluation with data available annually and at the end of Year 2.
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Key Dates
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