NC Education Code · NC Policy Manual
NC 1506-1.4 Subgrants to LEAs
Plain English summary
This regulation governs how North Carolina must distribute federal IDEA Part B special education funds to Local Education Agencies (LEAs), including public charter schools operating as LEAs. It establishes a three-part allocation formula based on 1999 base payments, enrollment numbers, and poverty levels, and outlines conditions under which the SEA may reallocate unused or unneeded funds. LEAs must receive funds even if they are not currently serving children with disabilities, effective with funds available July 1, 2009.
Key requirements
- Each State that receives a grant under section 611 of the Act for any fiscal year must distribute any funds the State does not reserve under NC 1506-1.3 to LEAs (including public charter schools that operate as LEAs) in the State that have established their eligibility under section 613 of the Act.
- Effective with funds that became available on July 1, 2009, each State must distribute funds to eligible LEAs, including public charter schools that operate as LEAs, even if the LEA is not serving any children with disabilities.
- The State first must award each LEA described in paragraph (a) of this section the amount the LEA would have received under section 611 of the IDEA for fiscal year 1999, if the State had distributed 75 percent of its grant for that year under section 611(d) of the IDEA, as that section was then in effect.
- If a new LEA is created, the State must divide the base allocation among the new LEA and affected LEAs based on the relative numbers of children with disabilities ages 3 through 21, or ages 6 through 21 if a State has had its payment reduced under NC 1506-1.2(b), currently provided special education by each of the LEAs.
- If one or more LEAs are combined into a single new LEA, the State must combine the base allocations of the merged LEAs.
- If, for two or more LEAs, geographic boundaries or administrative responsibility for providing services to children with disabilities ages 3 through 21 change, the base allocations of affected LEAs must be redistributed among affected LEAs based on the relative numbers of children with disabilities ages 3 through 21, or ages 6 through 21 if a State has had its payment reduced under NC 1506-1.2, currently provided special education by each affected LEA.
- If an LEA received a base payment of zero in its first year of operation, the SEA must adjust the base payment for the first fiscal year after the first annual child count in which the LEA reports that it is serving any children with disabilities.
- Allocate 85 percent of any remaining funds to those LEAs on the basis of the relative numbers of children enrolled in public and private elementary schools and secondary schools within the LEA's jurisdiction.
- Allocate 15 percent of those remaining funds to those LEAs in accordance with their relative numbers of children living in poverty, as determined by the SEA.
- If the SEA determines that an LEA is adequately providing FAPE to all children with disabilities residing in the area served by that agency with State and local funds, the SEA may reallocate any portion of the funds under this part that are not needed by that LEA to provide FAPE, to other LEAs in the State that are not adequately providing special education and related services to all children with disabilities residing in the areas served by those other LEAs.
- After the SEA distributes funds under this part to an eligible LEA that is not serving any children with disabilities, the SEA must determine, within a reasonable period of time prior to the end of the carryover period in 34 CFR 76.709, whether the LEA has obligated the funds.
Affected parties
- Local Education Agencies (LEAs)
- Public charter schools operating as LEAs
- State Education Agency (SEA)
- Children with disabilities ages 3 through 21
- Children with disabilities ages 6 through 21 (in states with reduced payments)