This letter describes the four exceptions for an LEA to reduce its level of expenditures using local, or state and local, funds below those for the preceding fiscal year. The letter further clarifies that Part B of the IDEA does not permit an LEA to reduce its level of expenditures if the decrease is due to a reduction in the rate that an LEA pays for retirement contributions on behalf of its employees. There must be an actual departure (voluntary or for just cause) of special education or related services personnel. Note: the regulations have been revised at least once since the references in the document and therefore while the information is still relevant, the regulation numbers may not still be accurate.
Local Educational Agency (LEA) Maintenance of Effort (MOE)
Letter to a Chief State School Officer
This 2014 letter clarifies that the level of effort an LEA must meet under IDEA regulations—in the year after it fails to maintain effort—is the level that would have been required in the absence of that failure and not the LEA’s reduced level of expenditures. It also provides examples of LEAs that meet and those that do not meet the MOE compliance and eligibility requirements. See §613(a)(2)(A)(iii).
Federal Register, Vol. 80, No. 81, 34 CFR Part 300: Assistance to States for the Education of Children with Disabilities: Final Rule (MOE)
These LEA MOE regulations, effective July 1, 2015, consist of an analysis of comments to the proposed regulations, changes to and clarifications regarding requirements of LEA MOE, and an appendix of 10 tables of examples for calculating LEA MOE.
Issuance of Guidance on the Final Local Educational Agency (LEA) Maintenance of Effort (MOE) Regulations under Part B of the Individuals with Disabilities Education Act (IDEA)
This question-and answer-document explains (1) the eligibility standard; (2) the compliance standard; (3) the subsequent years rule; and (4) the consequences for an LEA’s failure to maintain effort. The document also describes the actions that SEAs and LEAs must take to meet the MOE eligibility and compliance standards, answers frequently asked questions about LEA MOE, and shares examples to facilitate and enhance SEA and LEA understanding of LEA MOE.
Special Education: More Flexible Spending Requirement Could Mitigate Unintended Consequences While Protecting Services
The Government Accountability Office (GAO) conducted a 50-state survey of local and state special education directors about LEA MOE requirements. Their report examines the challenges districts face with meeting the requirements as well as unintended consequences such as discouraging innovation and efficiencies and reducing general education spending.
Letter to Lovato
This letter responds to questions about the use of MOE exceptions using examples of a provider who is a consultant and leaves the LEA. The letter explains that an LEA may take the exception under 34 CFR §300.204(a) for the voluntary departure, or departure for just cause, regardless of whether a special education teacher or related services provider is an employee of the public agency or an independent contractor.
Crosswalk of Current IDEA Local Educational Agency Maintenance of Effort Regulations with Prior Maintenance of Effort Regulations
This document shows the differences between the regulations that went into effect on July 1, 2015, and the ones that had been in place since 2006.
Understanding LEA MOE PowerPoint Training Deck
Developed by CIFR, this PowerPoint training deck is designed for SEA staff to train LEA staff to increase their familiarity and comfort level with applying the LEA MOE regulatory requirements under IDEA Part B. The customizable training deck includes a basic review of the regulatory requirements, examples of the requirements at work, and a list of additional resources. The deck is accompanied by a Microsoft Word Script and a Guide to Slides with presenter tips and directions for customization.
Local Educational Agency (LEA) Maintenance of Effort (MOE) Organizer
CIFR’s LEA MOE Organizer is designed to provide SEA and LEA users with a comprehensive overview of LEA MOE federal regulations and resources to support understanding and implementation. Users can easily navigate the graphical interface for information and relevant tools and resources from technical centers and OSEP on topics such as:
- Eligibility (budget) and compliance (expenditure) standards
- Calculating exceptions and adjustments
- Calculating LEA MOE using any of the four methods
- Freed-up funds
- Federal reporting requirements
Local Educational Agency (LEA) Maintenance of Effort (MOE) Calculator
Developed by CIFR, this calculator enables SEAs and LEAs to determine, for up to 10 years, whether the LEA MOE eligibility (budget) and compliance (expenditure) standards have been met by any of the four methods permitted by IDEA: total local funds, total state and local funds, local funds per capita, and state and local funds per capita. The calculator assists users in identifying the appropriate comparison year and calculating exceptions and adjustments from current and past years.
This version (2.0) replaces Version 1.4.