Obion County Board of Education
March 8, 2010

Agenda Item: VII.B.

Consider/Approve Budget Amendments to the General Purpose School and
School Federal Projects Funds

Background Information:

During the budget planning process for the current fiscal year, Board representatives attended numerous webinars, held budget hearings, had exhaustive conversations, as well as exchanged numerous emails, with State Department of Education, Division of Special Education, representatives concerning the proper budgeting and proposed expenditures of the American Recovery and Reinvestment Act (ARRA) of 2009. These funds were budgeted to continue the implementation of the Reading Recovery/Balanced Literacy initiative. All of the affected budgets and program narratives, IDEA Part B, IDEA Part B ARRA, and General Purpose School Fund budget, were approved by the State Department of Education, the School Board, and the County Commission. In November 2009, we were informed by State Department of Education representatives that the ARRA funds were not properly budgeted for the outlined purposes.

To bring our budgets into line with State Department of Education recommendations, the following actions were taken:

  • The IDEA Part B budget has been amended to reflect an allowable use of 15% of the total allocation, thus reducing revenues, to implement Coordinated Early Intervening Services; corresponding budgeted amounts for expenditures in account numbers 71200-310 and 71200-312 have been reduced
  • The IDEA Part B ARRA budget has been amended to reflect an increase in expenditures that were reduced from the IDEA Part B budget (71200-310 and 71200-312) and a decrease to 71200-429, which is the amounts budgeted for the Reading Recovery/Balanced Literacy initiative;
  • An amendment for the General Purpose School Fund budget has been prepared to reflect an increase in revenue and an increase in expenditures for the use of the 15% transferred from IDEA Part B for the Coordinated Early Intervening Services, thus allowing us to continue with the Reading Recovery/Balanced Literacy initiative; these increases are reflected in account numbers 47143 and 71100-429

Staff Recommendation:

I recommend approval of the respective budget amendments as outlined above.