Local Educational Agency (LEA) Maintenance of Effort (MOE) Organizer
Meeting the Compliance (Expenditure) Standard
Consequences of Not Meeting the Compliance Standard
If an LEA fails to maintain its level of expenditures for the education of children with disabilities, the SEA must return to the U.S. Department of Education, using non-federal funds, an amount equal to the amount by which the LEA failed to maintain its level of expenditures or the amount of the LEA’s Part B subgrant, whichever is lower.
34 CFR §300.203 (b) Maintenance of effort. Compliance standard. Describes the MOE requirements for the compliance standard and the consequences of noncompliance.
2 CFR §200.441 Fines, penalties, damages and other settlements. Explains that these costs cannot be paid out of Federal funds. If an LEA fails to maintain effort and the SEA (as the federal grantee) must repay the amount by which the LEA failed to maintain effort, this provision explains that such repayment must be out of non-federal funds or federal funds for which accountability to the federal government is not required.
OSEP Guidance – Section E. Provides questions and answers on the final LEA MOE regulations that were released on April 28, 2015.
TA Center Resources
CIFR. LEA MOE Calculator. Allows SEAs and LEAs to determine whether the LEA MOE eligibility (budget) and compliance (expenditure) standards have been met by any of the four methods permitted by IDEA. The calculator assists users in identifying the appropriate comparison year and amount, accounts for exceptions and adjustments from current and past years, and incorporates the Subsequent Years rule. The tool also calculates shortfalls and repayment amounts and allows users to record repayment dates.