NC Education Code · NC Policy Manual
NC 1507-10 Reallocation of LEA Funds
Plain English summary
This regulation governs the State Education Agency's (SEA) authority to reallocate section 619 funds away from LEAs that are either adequately serving all children with disabilities aged three through five or have failed to obligate distributed funds within the carryover period. Reallocated funds must go to LEAs not adequately providing special education and related services to that age group, or may be retained at the State level within existing reservation limits.
Key requirements
- If the SEA determines that an LEA is adequately providing FAPE to all children with disabilities aged three through five years residing in the area served by the LEA with State and local funds, the SEA may reallocate any portion of the funds under section 619 of the Act that are not needed to provided FAPE, to other LEAs in the State that are not adequately providing special education and related services to all children with disabilities aged three to five years residing in the areas served by those other LEAs.
- The SEA may also retain those funds for use at the State level to the extent the State has not reserved the maximum amount of funds it is permitted to reserve for State-level activities pursuant to NC 1507-5.
- After the SEA distributes section 619 funds to an eligible LEA that is not serving any children with disabilities aged three through five years, as provided in NC 1507-8, 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.
- The SEA may reallocate any of those funds not obligated by the LEA to other LEAs in the State that are not adequately providing special education and related service to all children with disabilities aged three through five years residing in the areas served by those other LEAs.
Affected parties
- State Education Agency (SEA)
- Local Education Agencies (LEAs)
- Children with disabilities aged three through five years
- Special education program administrators