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<DIV dir=ltr align=left><FONT face=Arial size=2><SPAN
style="FONT-SIZE: 10pt; FONT-FAMILY: Arial">TO: All ESD and District<FONT
color=blue><SPAN style="COLOR: blue"> </SPAN></FONT>Special Education
Directors<o:p></o:p></SPAN></FONT></DIV>
<DIV class=Section1>
<DIV>
<P class=MsoNormal><FONT face=Arial size=2><SPAN
style="FONT-SIZE: 10pt; FONT-FAMILY: Arial"> <o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial size=2><SPAN
style="FONT-SIZE: 10pt; FONT-FAMILY: Arial">The message below <FONT
color=black><SPAN style="COLOR: black">is being forwarded</SPAN></FONT> to you
on behalf of:<o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=navy size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: navy; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial size=2><SPAN
style="FONT-SIZE: 10pt; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=navy size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: navy; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial size=2><SPAN style="FONT-SIZE: 10pt; FONT-FAMILY: Arial">Nancy
Latini, PhD<o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial size=2><SPAN
style="FONT-SIZE: 10pt; FONT-FAMILY: Arial">Assistant
Superintendent<o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial size=2><SPAN
style="FONT-SIZE: 10pt; FONT-FAMILY: Arial">Student Learning &
Partnerships<o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial">______________________________________________<o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">April 29,
2009</SPAN></FONT><FONT face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><B><FONT face=Arial color=black size=3><SPAN
style="FONT-WEIGHT: bold; FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">RE:
Update/New Information on American Recovery & Reinvestment Act (ARRA)
Funding Under IDEA</SPAN></FONT></B><FONT face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">The United States
Department of Education (USED) hosted a webinar on April 21, 2009, to discuss
fiscal considerations for IDEA Stimulus Funds. <st1:place w:st="on"><st1:State
w:st="on">Oregon</st1:State></st1:place> was active in this event, posing
several questions for clarification. From this we received some valuable
responses from USED that represent <U>greater flexibility for districts </U>with
the IDEA Stimulus Funds. <U>Please look carefully at items #2 and #4 for the new
information</U>. </SPAN></FONT><FONT face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><B><FONT face=Arial color=black size=3><SPAN
style="FONT-WEIGHT: bold; FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">1)
Spending Timelines for Stimulus Funds</SPAN></FONT></B><FONT face=Arial
color=black><SPAN style="COLOR: black; FONT-FAMILY: Arial">:</SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">The original guidance
was that 85% of Stimulus Funds should be obligated by September 30, 2010, with
the remaining 15% obligated by September 30, 2011. This will remain true for
Title 1 Funds, but the <U>updated guidance for IDEA Stimulus Funds is more
flexible for districts</U>: "An LEA should use the IDEA recovery funds
expeditiously. An LEA should obligate the majority of these funds during school
years 2008–2009 and 2009–2010 and the remainder during school year 2010–11".
(<B><SPAN style="FONT-WEIGHT: bold">Guidance Document on IDEA Part B Stimulus
Funds</SPAN></B></SPAN></FONT><B><FONT face=Arial color=navy><SPAN
style="FONT-WEIGHT: bold; COLOR: navy; FONT-FAMILY: Arial">:</SPAN></FONT></B><FONT
face=Arial><SPAN style="FONT-FAMILY: Arial"> <A
href="http://stimulus.k12partners.org/content/updated-usdoe-idea-part-b-guidance-april-17th">http://stimulus.k12partners.org/content/updated-usdoe-idea-part-b-guidance-april-17th</A>).
</SPAN></FONT><FONT face=Arial size=2><SPAN
style="FONT-SIZE: 10pt; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial size=3><SPAN
style="FONT-SIZE: 12pt; FONT-FAMILY: Arial"> </SPAN></FONT><FONT face=Arial
size=2><SPAN
style="FONT-SIZE: 10pt; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">EDGAR 75.707 defines
"obligate" differently for various kinds of property and
services:</SPAN></FONT><FONT face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><B><FONT face=Arial color=black size=3><SPAN
style="FONT-WEIGHT: bold; FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">Sec.
75.707 When obligations are made: </SPAN></FONT></B><FONT face=Arial
color=black><SPAN style="COLOR: black; FONT-FAMILY: Arial">The following shows
when a grantee makes obligations for various kinds of property and services.
</SPAN></FONT><FONT face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV style="MARGIN-TOP: 6pt">
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">If the obligation is
for:</SPAN></FONT><FONT face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV style="MARGIN-TOP: 6pt">
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">(a) <B><SPAN
style="FONT-WEIGHT: bold">Acquisition of real or personal
property</SPAN></B>: On the date the grantee makes a binding written
commitment to acquire the property. </SPAN></FONT><FONT face=Arial color=black
size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV style="MARGIN-TOP: 6pt">
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">(b) <B><SPAN
style="FONT-WEIGHT: bold">Personal services by an employee of the grantee:
</SPAN></B> When the services are performed. </SPAN></FONT><FONT face=Arial
color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV style="MARGIN-TOP: 6pt">
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">(c) <B><SPAN
style="FONT-WEIGHT: bold">Personal services by a contractor who is not an
employee of the grantee:</SPAN></B> On the date on which the grantee makes a
binding written commitment to obtain the services. </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV style="MARGIN-TOP: 6pt">
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">(d) <B><SPAN
style="FONT-WEIGHT: bold">Performance of work other than the personal
services</SPAN></B>: On the date on which grantee makes a binding written
commitment to obtain the work. </SPAN></FONT><FONT face=Arial color=black
size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV style="MARGIN-TOP: 6pt">
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">(e) <B><SPAN
style="FONT-WEIGHT: bold">Public utility services: </SPAN></B>When the
grantee receives the services. </SPAN></FONT><FONT face=Arial color=black
size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV style="MARGIN-TOP: 6pt">
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> (f) <B><SPAN
style="FONT-WEIGHT: bold">Travel</SPAN></B>: When the travel is taken.
</SPAN></FONT><FONT face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV style="MARGIN-TOP: 6pt">
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">(g) <B><SPAN
style="FONT-WEIGHT: bold">Rental of real or personal property: </SPAN></B>When
the grantee uses the property. </SPAN></FONT><FONT face=Arial color=black
size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV style="MARGIN-TOP: 6pt">
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">(h) <B><SPAN
style="FONT-WEIGHT: bold">A preagreement</SPAN></B>: Cost that was properly
approved by the Secretary under the cost principles identified in 34 CFR 74.171
or 80.22. </SPAN></FONT><FONT face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV style="MARGIN-TOP: 6pt">
<P class=MsoNormal style="TEXT-INDENT: 0.5in"><B><FONT face=Arial color=black
size=3><SPAN
style="FONT-WEIGHT: bold; FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">(Authority:
20 U.S.C. 1221e-3 and 3474)</SPAN></FONT></B><FONT face=Arial color=black
size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">ODE asked USED if we
should interpret that to mean 51% or more by June 30, 2010. They indicated that
they would not give a specific percentage, but we would counsel you to use this
approach at a minimum. The implications of this update are very important to
you, as it could leave a district with up to 49% of its stimulus funds for use
between 7/1/10 and 9/30/11.</SPAN></FONT><FONT face=Arial color=black
size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><B><FONT face=Arial color=black size=3><SPAN
style="FONT-WEIGHT: bold; FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">2)
Non-Supplanting Requirements:</SPAN></FONT></B><FONT face=Arial color=black
size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">A footnote in the most
current USED Guidance Document of IDEA Part B states this clearly: "No
requirement currently exists related to supplanting ‘particular costs’ and if an
LEA maintains local, or state and local, effort, it will not violate the
supplement/not supplant requirements of the IDEA. "</SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><U><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">What does this mean
for you relative to IDEA Stimulus funds?</SPAN></FONT></U><FONT face=Arial
color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">When you close your
books for 2008-2009, you will have an estimate of your Fund 100: Area of
Responsibility 320 expenditures for that year, which need to be added to your
ESD 320 expenditures on behalf of kids on IEPs from your district. You then need
to compare that against the same audited figures for 2007-2008 to determine with
confidence whether or not you spent as much in 2008-2009 as you did in
2007-2008. <B><SPAN style="FONT-WEIGHT: bold">If you feel certain that you will
maintain effort in 2008-2009, then you would satisfy the non-supplanting
standard. Then, and only then, you could do something like the following
scenario</SPAN></B>:</SPAN></FONT><FONT face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">Because of general
fund reduction in 2008-2009, you are planning on laying off a certified special
education teacher who has traditionally been funded out of general fund. If you
are certain you will maintain effort in 2008-2009, you could save this position
by paying for it out of stimulus funds. If later it is found that you did not
maintain effort, you will have violated non-supplanting requirements and will
incur the enforcement consequences.</SPAN></FONT><FONT face=Arial color=black
size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><B><FONT face=Arial color=black size=3><SPAN
style="FONT-WEIGHT: bold; FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">3)
How do we define "obligate":</SPAN></FONT></B><FONT face=Arial color=black
size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">District grantees
should use the information we provided under question 1 above, found in Part 75
Section 707 (Sec. 75.707) of EDGAR to find this definition. </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">Most of the questions
we have received about "obligation" involve employee salaries in a district.
Under 75.707 (b) personal services by an employee of a grantee, the standard is
clearly "when the services are performed." In other words, no salaries and or
benefits could be obligated for employee services performed after the grant
period of September 30, 2011.</SPAN></FONT><FONT face=Arial color=black
size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><B><FONT face=Arial color=black size=3><SPAN
style="FONT-WEIGHT: bold; FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">4)
How ARRA funds should be coded:</SPAN></FONT></B><FONT face=Arial color=black
size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV style="MARGIN-TOP: 5pt; MARGIN-BOTTOM: 5pt">
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">Clarification was
requested because OSEP consistently stated that the ARRA funds are a 2009-2010
allocation and should be accounted for as such. Yet districts were told
they could go back as far as February 17, 2009, to use these funds, so coding to
2009-2010 was very puzzling. Nancy Latini and Sue MacGlashan spoke with
the OSEP staff this week and finally were able to clarify what OSEP means by
<I><SPAN style="FONT-STYLE: italic">coding</SPAN></I> all ARRA funds to
2009-2010. In a nutshell, OSEP does not care if the districts recognize some of
these funds as revenues in 2008-2009. OSEP simply wants the money kept separate
from regular flow through IDEA federal funding. <U>Please review and follow any
directions on this matter that come from the Department's School Finance
Office.</U></SPAN></FONT><FONT face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">These updates have
significance for districts, mostly in a very positive manner. The guidance
documents will be updated for each of these areas, and will be reposted as
revised on the ODE K-12 stimulus site at the bottom of the ODE home
page.</SPAN></FONT><FONT face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial"> </SPAN></FONT><FONT
face=Arial color=black size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
<P class=MsoNormal><FONT face=Arial color=black size=3><SPAN
style="FONT-SIZE: 12pt; COLOR: black; FONT-FAMILY: Arial">Any questions
regarding maintenance of effort, non-supplanting, expenditure timelines, or
EDGAR should be directed to Eric Richards</SPAN></FONT><FONT face=Arial><SPAN
style="FONT-FAMILY: Arial"> at <A
href="mailto:eric.richards@state.or.us">eric.richards@state.or.us</A><U><FONT
color=blue><SPAN style="COLOR: blue"> </SPAN></FONT></U>or
503-947-5786.</SPAN></FONT><FONT face=Arial size=2><SPAN
style="FONT-SIZE: 10pt; FONT-FAMILY: Arial"><o:p></o:p></SPAN></FONT></P></DIV>
<DIV>
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<DIV>
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the above link, please contact Laura Allran at <A
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