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No. 98-1648
1. This case involves an Establishment Clause challenge to the application,
in Jefferson Parish, Louisiana, of a federal program that provides financial
assistance to local educational agencies (LEAs) for education-improvement
programs, and authorizes LEAs receiving federal financial assistance to
lend instructional equipment, instructional materials, and library materials
purchased with that assistance to private elementary and secondary schools,
including religious schools, as part of a program that neutrally benefits
students in public and private schools. The application of a related state
program was also challenged. The federal program at issue here was substantially
amended twice during the course of this litigation and has had several titles;
it is currently found at Title VI of the Elementary and Secondary Education
Act of 1965 (ESEA), Pub. L. No. 89-10, 79 Stat. 55, as amended by the Improving
America's Schools Act of 1994, Pub. L. No. 103-382, §§ 6001-6403,
108 Stat. 3707-3716. See 20 U.S.C. 7301-7373. For simplicity we will refer
to the federal program as "Title VI"; previous decisions in this
case referred to it as "Chapter 2."1 2. In Louisiana, the State Bureau of Consolidated Educational Programs administers
the Louisiana Title VI program. After Louisiana receives its Title VI funds
from the federal government, the SEA allocates 80% of the funds to LEAs.
Eighty-five percent of those funds is allocated to LEAs based on the number
of participating elementary and secondary school students in both public
and private schools, and 15% is allocated based on the number of children
from low-income families. Pet. App. 86a.3 3. On December 2, 1985, plaintiffs Mary Helms, Amy Helms, and Marie Schneider
(hereafter respondents) brought suit in district court against federal,
state, and local officials, claiming that several federal, state, and local
programs as applied in Jefferson Parish, Louisiana, including Title VI,
violated the Establishment Clause.5 Respondents did not challenge Title
VI on its face. Rather, they contended that one provision, authorizing federal
funds to be used for the purchase of instructional equipment and materials,
had been unconstitutionally applied in the Parish because such equipment
and materials had been "transferred to nonpublic schools for their
use." Second Amended Complaint ¶ 50 (Nov. 1, 1988). Respondents
argued that this loan of instructional equipment and materials to private
schools violated the Establishment Clause because (a) there were allegedly
no safeguards in place to prevent the property lent to the private schools
from being used for religious purposes, and (b) any monitoring that would
be useful in preventing the use of instructional equipment for religious
purposes would create an excessive entanglement between the government and
private religious schools. Id. ¶ 52. 4. Respondents appealed to the Fifth Circuit. The court of appeals reversed,
and held that Jefferson Parish's Title VI program, insofar as it was applied
to provide instructional equipment and materials and library materials to
religious schools, was unconstitutional under this Court's decisions in
Meek and Wolman. Pet. App. 53a-71a. The Fifth Circuit expressly disagreed
with the Ninth Circuit's Walker decision upholding "a [Title VI] program
that was, in all relevant respects, identical to the one * * * in Jefferson
Parish." Id. at 59a. 5. The government petitioned for rehearing and suggested rehearing en banc
of the court of appeals' decision. Although one of the judges on the court
of appeals called for an en banc poll, the court denied both rehearing and
rehearing en banc. Pet. App. 154a. The panel amended its decision, however,
to make clear that the use of Title VI funds to provide textbooks to religious
school students is not prohibited by its decree. Id. at 155a. 6. In February 1999, the Department of Education issued amended Guidance
for SEAs and LEAs on various aspects of Title VI, including the statutory
requirement that all services, equipment, and materials made available to
private school students be secular, neutral, and nonideological. See App.,
infra, 1a-9a.7 The Guidance explains that LEAs "should implement safeguards
and procedures to ensure that Title VI funds are used properly for private
school children." Id. at 4a. First, "it is critical that private
school officials understand and agree to the limitations on the use of any
equipment and materials located in the private school." Ibid. To that
end,
The court of appeals has read this Court's decisions in Meek v. Pittenger,
421 U.S. 349 (1975), and Wolman v. Walter, 433 U.S. 229 (1977), to require
invalidation of an Act of Congress, insofar as that statute has been applied
to authorize the loan of instructional equipment, instructional materials,
and library materials for the benefit of religious school students. Moreover,
the court of appeals held that invalidation of the program was compelled
by the character of the aid alone, irrespective of whether the aid was accompanied
by safeguards with the purpose and effect of preventing the equipment and
materials lent to religious schools from being diverted to religious purposes.
That decision impairs the implementation of Title VI in the Fifth Circuit,
and the decision's reasoning is likely to have similar adverse effects on
other federal programs designed to ensure that all schoolchildren-including
those in religious schools as well as public schools and private nonreligious
schools-have access to computers in their classrooms and school libraries.
The court of appeals' decision also conflicts directly with a decision of
the Ninth Circuit upholding a similar program. This Court's review is therefore
warranted. 2. The court of appeals' decision conflicts directly with the Ninth Circuit's
decision in Walker v. San Francisco Unified School District, 46 F.3d 1449
(1995), which upheld a "virtually indistinguishable" Title VI
program (Pet. App. 107a). In that case, as in this one, private schools
were lent instructional equipment and materials, including computer equipment;
the schools were also lent library books and instructional materials, selected
from prescreened lists to ensure their secularity. Ibid. The Ninth Circuit
upheld the program, concluding in particular that it did not have the primary
effect of advancing religion because the benefits under the program were
available on a neutral basis without reference to religion, and because
"controls are in place to prevent [Title VI] benefits from being diverted
to religious instruction." 46 F.3d at 1467. 3. Meek and Wolman may fairly be read as the court of appeals read them,
to prohibit flatly the loan of instructional equipment and materials for
use by students at religious schools, without regard to safeguards with
the purpose and effect of preventing such aid from being diverted to religious
purposes. Such a broad categorical rule, however, appears unnecessary to
secure the "bedrock" Establishment Clause principle that "[p]ublic
funds may not be used to endorse [a] religious message." Rosenberger
v. Rector & Visitors of Univ. of Va., 515 U.S. 819, 846-847 (1995) (O'Connor,
J., concurring) (internal quotation marks omitted); see Bowen v. Kendrick,
487 U.S. 589, 611 (1988) (Establishment Clause "prohibit[s] government-financed
or government-sponsored indoctrination into the beliefs of a particular
religious faith") (internal quotation marks omitted); id. at 623 (O'Connor,
J., concurring) ("any use of public funds to promote religious doctrines
violates the Establishment Clause"); Levitt v. Committee for Pub. Educ.
& Religious Liberty, 413 U.S. 472, 480 (1973) ("the State is constitutionally
compelled to assure that the state-supported activity is not being used
for religious indoctrination"). Where the assistance is appropriately
limited and safeguarded, we submit that the Constitution should not be read
to demand a more sweeping restriction prohibiting all loans of such equipment
and materials to religious schools. Individual deviations from such safeguards
resulting in Establishment Clause violations can be redressed on a case-by-case
basis. Cf. Kendrick, 487 U.S. at 620-622 (opinion of the Court); id. at
623-624 (O'Connor, J., concurring). It is not necessary, however, to adopt
a blanket presumption that such safeguards can never be effective or manageable.
Cf. Committee for Pub. Educ. & Religious Liberty v. Regan, 444 U.S.
646, 662 (1980) ("[O]ur decisions have tended to avoid categorical
imperatives and absolutist approaches at either end of the range of possible
outcomes."). Accordingly, we submit that the rule of Meek and Wolman
should be limited to cases in which there is an unacceptable risk of diversion
of resources to religious purposes-either because the public aid to a religious
school is not supplementary, or because the provision of aid is not accompanied
by effective safeguards.14
The petitions for a writ of certiorari should be granted. Solicitor General DAVID W. OGDEN Acting Assistant Attorney General BARBARA D. UNDERWOOD Deputy Solicitor General PAUL R.Q. WOLFSON Assistant to the Solicitor General MICHAEL JAY SINGER HOWARD S. SCHER Attorneys MAY 1999 1 When this lawsuit was commenced, the federal program was known as Chapter 2 of the Education Consolidation and Improvement Act of 1981, Pub. L. No. 97-35, Tit. V, Subtit. D, Ch. 2, 95 Stat. 469-480; see 20 U.S.C. 3811-3863 (1982). Subsequently, in the Augustus F. Hawkins-Robert T. Stafford Elementary and Secondary School Improvement Amendments of 1988, Pub. L. No. 100-297, 102 Stat. 130, the program was amended and redesignated as Chapter 2 of Title I of the ESEA. See 102 Stat. 203-219; 20 U.S.C. 2911-2976 (1988). In 1994, the program was again redesignated as Title VI of the ESEA, see 20 U.S.C. 7301-7373, as explained in the text. Unless otherwise indicated, references in this brief to provisions of Title 20 of the United States Code are to the current (1994) edition. The current authorizations for appropriations and for disbursements by the Department of Education under Title VI extend through Fiscal Year 2000. See 20 U.S.C. 7302 (authorization through Fiscal Year 1999); 20 U.S.C. 1226a(a) (automatic one-year extension absent intervening legislation). If funds are appropriated for Title VI for Fiscal Year 2000, LEAs could expend those funds at the local level through Fiscal Year 2002. See 20 U.S.C. 1225(b). Therefore, the court of appeals' order prohibiting the loan of equipment and materials purchased with Title VI funds to religious schools is likely to affect LEAs, at a minimum, until September 30, 2002. We have been advised that the President will shortly announce proposals for extensive revision of the ESEA upon the expiration of its current authorization. That proposed revision would not extend the authorization for Title VI in its current form. However, under the President's proposal, programs similar to many that are currently funded under Title VI, which would permit the loan to private schools, including religious schools, of computer hardware and software for instructional use, would be funded under an expanded Title III of the ESEA. Like Title VI, Title III currently permits LEAs to use federal funds for the acquisition of hardware and software for use in classrooms and school libraries, see 20 U.S.C. 6844(3), requires LEAs to allow religious schoolchildren to participate in the benefits of programs on an equitable basis, see 20 U.S.C. 8893(a)(1) and (b)(1)(D), and also requires that any benefits made available be secular, neutral, and nonideological, see 20 U.S.C. 8893(a)(2). It is anticipated that the proposed revision of Title III will contain similar provisions. 2 When this case was commenced in 1985, the permitted purposes of financial assistance under the program were somewhat differently focused. In particular, the program then expressly permitted LEAs to use federal funds for (among other things) the acquisition and utilization of "instructional equipment and materials suitable for use in providing education in academic subjects for use by children and teachers in elementary and secondary schools." 20 U.S.C. 3832(1)(B) (1982). LEAs could, at that time, use federal funds to purchase instructional equipment such as slide projectors, cassette players, and filmstrip projectors, as well as computers. As a result of the 1988 amendments, the statute no longer expressly authorizes LEAs to use federal funds to purchase "instructional equipment," but it does expressly authorize the acquisition of computer hardware for instructional purposes. 20 U.S.C. 2941(b)(2) (1988); 20 U.S.C. 7351(b)(2). Both before and after the 1988 amendments, Title VI permitted LEAs to lend computer equipment for instructional purposes to religious schools. Further, computer equipment lent to religious schools has been an important part of this case since the beginning. See Complaint ¶ 41 (Dec. 2, 1985) (challenging loan of microcomputers to private schools for use by teachers and students); First Amended Complaint ¶ 43 (Jan. 13, 1987) (same); Second Amended Complaint ¶ 50 (Nov. 1, 1988) (same). And, as explained above (note 1, supra), we anticipate that, under the President's proposed reauthorization and revision of the ESEA, LEAs would continue to have authority to lend computer hardware and software to private religious schools. 3 "Pet. App." refers to the appendix to the petition for a writ of certiorari in No. 98-1648. 4 This monitoring by state and local officials revealed occasional lapses from Title VI's requirement of secularity, which were corrected. Woodward on one occasion discovered that 191 books purchased and lent to religious school libraries were in violation of Title VI guidelines. Those books were recalled and donated to a public library. Pet. App. 51a, 91a. A monitoring visit by the SEA to JPPSS also revealed a possible inappropriate purchase of a religious book for a religious school library, which led to a recommendation by the SEA that JPPSS be more careful in its oversight of Title VI, but investigation by Woodward disclosed that the book in question had not in fact been purchased with Title VI funds. Id. at 90a-91a. 5 Although the other challenged programs were the subject of extensive decisions in both lower courts, they are not directly pertinent to respondents' challenge to Title VI discussed herein, and will not be further addressed in this brief. 6 The court also invalidated, as applied in Jefferson Parish, Louisiana's counterpart statute permitting the loan of instructional materials to religious schools, La. Rev. Stat. Ann §§ 17:351-17:352 (West 1982 & Supp. 1998). See Pet. App. 71a. 7 A complete copy of this Guidance has been lodged with the Clerk. 8 In school year 1997-1998, $16,472,226 was allocated in Title VI funds for programs serving students at private, nonprofit schools in 34 States. Of that amount, $12,513,910, or 76%, was used for instructional and educational materials. U.S. Dep't of Education, Elementary and Secondary Education Act (ESEA): Title VI: Innovative Education Program Strategies, National Compendium of State and Local Activities, 1997-1998 School Year 2.3 (Feb. 1999) (lodged with the Clerk). In Louisiana, of $572,751 allocated for private schoolchildren in the same year, $522,183, or 91%, was used for instructional and educational materials. See id. at 2.27. 9 Although Section 7351(b) theoretically permits the LEA to use federal funds for other kinds of programs, some of those other programs may in some circumstances present Establishment Clause concerns in the religious school setting, because they anticipate that the benefits be provided directly to the school, rather than to the schoolchildren. See 20 U.S.C. 7351(b)(3) (educational reform projects), (7) (school reform), and (9) (school improvement programs). 10 For Fiscal Year 1999, Congress appropriated $375,000,000 to carry out the pertinent innovative-assistance programs under Title VI. See Department of Education Appropriations Act, 1999, Pub. L. No. 105-277, Div. A, Tit. III, § 101(f), 112 Stat. 2681-368. We are informed by the Department of Education that approximately 53,400,000 students received Title VI services in school year 1994-1995 (the latest year for which such statistics were available). That number of students may be slightly overstated, because some students may receive services under more than one Title VI program, but it is believed to be a reasonably accurate estimate of the total number of students receiving Title VI services. Therefore, Congress has appropriated, for Title VI, about $7 per student. See also Pet. App. 63a n.18 (court of appeals noting that San Francisco Title VI program provided $6.65 in benefits per student). While that amount may be sufficient to provide students at each private school with a few items of equipment and materials, it is not sufficient to provide individual students with software or computer equipment. 11 For the same reasons, it would also be difficult, if not impossible in many instances, to hire public school teachers to give religious school students benefits under other Title VI programs, such as those designed to improve higher-order thinking skills or to combat illiteracy. See 20 U.S.C. 7351(b)(4) and (5). 12 The Ninth Circuit did not consider the case before it to be controlled by Meek and Wolman in part because it read this Court's subsequent decisions as undermining those decisions. 46 F.3d at 1464-1466. We do not suggest that the Ninth Circuit properly concluded that it was not bound by Meek and Wolman. See Agostini, 521 U.S. at 237 (emphasizing that only this Court has the prerogative of overruling its own decisions, and that lower courts should not conclude that this Court's "more recent cases have, by implication, overruled an earlier precedent"). The Ninth Circuit may, however, have identified factors that legitimately distinguish Title VI from the programs invalidated in Meek and Wolman, and could be adopted by this Court to modify the holdings of those decisions, even if the Court does not disapprove those cases on their particular facts. See Walker, 46 F.3d at 1467 (discussing supplementary nature of Title VI); pp. 29-30, infra (discussing point that assistance under Title VI must supplement, and not supplant, resources otherwise available to LEAs and schools). 13 The possible exception relates to computer equipment, for the Ninth Circuit noted that, at one point, computers lent to San Francisco private schools under Title VI had been "locked" for use only with prescreened software, thus ensuring that they could not be diverted to use with religiously-oriented software. See Walker, 46 F.3d at 1464. It does not appear, however, that other instructional equipment lent to religious schools, such as overhead projectors and videocassette players, was similarly "locked" for use only with prescreened materials. See ibid. 14 A program of aid to religious schools might contravene the Establishment Clause for other reasons as well; for example, if the program favored religious schools over secular schools, then it might have the impermissible effect of advancing religion. See Agostini, 521 U.S. at 230-231. No contention has been made in this case, however, that either Title VI on its face or Jefferson Parish's implementation of it in this case favors religious schools over secular schools. 15 Indeed, much earlier, in Regan, supra, the Court upheld a state statute authorizing reimbursement to private schools for the costs of administering state-required standardized tests because "there was no substantial risk that the examinations could be used for religious educational purposes." 444 U.S. at 656; see id. at 659 (noting that the law "provides ample safeguards against excessive or misdirected reimbursement"). The Court explained in Regan that Meek should not be read to hold "'that all loans of secular instructional material and equipment' inescapably have the effect of direct advancement of religion." Id. at 661-662 (quoting Wolman, 433 U.S. at 263 (Powell, J., concurring in part, concurring in the judgment in part, and dissenting in part)). 16 Accordingly, should the Court conclude that, instead of the categorical rule applied by the court of appeals, a review of the adequacy of safeguards is appropriate, the Court may wish to remand the case to the court of appeals for further consideration, rather than addressing for itself in the first instance the adequacy of the safeguards, on which no findings were made by the court of appeals. 17 With respect to entanglement, the task of monitoring the use of instructional equipment and materials at religious schools is not likely to require the pervasive kind of surveillance about which the Court expressed concern in Lemon. In that case, involving (inter alia) state-sponsored salary supplements for religious school teachers, the Court observed that "a teacher cannot be inspected once so as to determine * * * subjective acceptance of the limitations imposed by the First Amendment," and that any effective means to prevent religious school teachers paid by the State from fostering religion would require "comprehensive, discriminating, and continuing state surveillance." 403 U.S. at 619. The same need not be true with regard to monitoring the use of instructional equipment and materials; schools can and do maintain logs documenting the classes in which such equipment and materials are used, the assignments that are carried out on them, and the teachers who use them. Such logs could be required as a condition of acceptance of the equipment and materials, and use of such equipment and materials could also be limited to classes in which the prospect of religious inculcation is relatively minimal. Cf. Allen, 392 U.S. at 248 ("Nothing in this record supports the proposition that all textbooks, whether they deal with mathematics, physics, foreign languages, history, or literature, are used by the parochial schools to teach religion."). One of the statutes examined in Lemon-unlike Title VI-also involved reimbursement of funds expended by religious schools. In that context, the Court held that state audits of religious schools' accounts to distinguish religious and secular expenditures would be impermissibly intrusive. See 403 U.S. at 621-622. But even if that particular rationale has survived the Court's subsequent decisions in Kendrick (see 487 U.S. at 616-617) and Agostini (see 521 U.S. at 233-234), which permit some governmental review of religious institutions' compliance with statutory requirements, the same danger is not present in Title VI. An LEA would not have to examine a religious school's books to determine whether equipment was being used for improper purposes; indeed, Title VI proscribes any direct funding or reimbursement to religious schools. The LEA could review the purposes for which loaned equipment and materials had been used by examining the information maintained on logs. APPENDIX ELEMENTARY AND SECONDARY EDUCATION ACT (ESEA) as amended by IMPROVING AMERICA'S SCHOOLS ACT OF 1994 (IASA) GUIDANCE for Title VI of the ESEA Innovative Education Program Strategies U.S. DEPARTMENT OF EDUCATION WASHINGTON, D.C. [Seal Omitted] February 1999 [iii] PURPOSE OF THIS GUIDANCE This document contains guidance for Title VI of the Elementary and Secondary Education Act, as amended by the Improving America's Schools Act. Guidance in this document replaces all prior non-regulatory guidance for Chapter 2 of Title I of the former ESEA-the predecessor program to Title VI. Previous regulations for the former Chapter 2 program are no longer applicable, and no regulations will be issued for Title VI. This document includes an explanation of statutory requirements contained in Title VI and provides guidance for carrying out programs under Title VI. This document does not impose any requirements beyond those in the Title VI statute and other applicable Federal statutes and regulations, but encourages varying views and focuses upon what can be done, rather than setting limits. State and local recipients that follow the guidance in this document shall be deemed in compliance with Title VI and other applicable Federal statutes and regulations by U.S. Department of Education officials, including the Inspector General. Throughout the document, we have used several devices to aid the reader in the guidance. Examples are provided in several places and appear in thick-lined boxes. Examples are merely illustrative, and the Department encourages State Education Agencies (SEAs) and local educational agencies (LEAs) to refer to them only as guides that might be helpful in designing and implementing programs under Title VI. Other information that the Department believes will be helpful in planning and implementing programs appears in thin-lined boxes. This document also includes interpretations that are in direct response to questions raised by the Title VI State coordinators. These interpretations appear throughout the document under the hearing "Supplemental Guidance." For ready reference, an index of "Frequently Asked Questions" is included at the end of this document. These questions are cross-referenced to pages in the guidance answers can be found. Also, the relevant statutory and regulatory citations appear in parentheses following each question. * * * * * First, it is critical that private school officials understand and agree to the limitations on the use of any equipment and materials located in the private school. Therefore, LEAs should obtain from the appropriate private school official a written assurance that any equipment and materials placed in the private school will be used only for secular, neutral and nonideological purposes; that private school personnel will be informed as to these limitations; and that the equipment and materials will supplement, and in no case supplant, the equipment and materials that, in the absence of the Title VI program, would have been made available for the participating students. Second, the LEA is responsible for ensuring that any equipment and materials placed in the private school are used only for proper purposes. The LEA should determine that any Title VI materials, such as library books and computer software, are secular, neutral and nonideological. A good benchmark for this review is that the equipment and materials would be appropriate for use in public schools. The LEA should mark all equipment and materials purchased with Title VI funds so that they are clearly identifiable as Title VI property of the LEA. The LEA also should maintain an up-to-date inventory of all Title VI equipment and materials provided for the benefit of private school students. The Department also believes it is a helpful practice for private schools to maintain logs to document the use of Title VI equipment and materials located in their schools. The LEA also should perform periodic on-site monitoring of the use of the equipment and materials. The monitoring could include on-the-spot checks of the use of the equipment and materials, discussions with private school officials, and a review of any logs maintained. Third, the LEA should designate one public school official to oversee Title VI services for private school students and ensure that services, materials and equipment provided for these students are secular, neutral and nonideological. The designated official also should be responsible for receiving and handling any complaints or allegations that Title VI funds are being used for improper activities for private school students. Finally, LEAs need to ensure that if any violations occur, they are corrected at once. An LEA must remove materials and equipment from a private school immediately if removal is needed to avoid an unauthorized use. Supplemental Guidance Benefit to Students-If Title VI funds are used to provide services for children enrolled in private, nonprofit schools, these services must primarily benefit the children, not the schools. (See section 6402(a)(1), 20 USC 7372(a)(1), which states that an LEA shall provide for services for the benefit of the children in private schools.) A question has arisen as to whether this precludes an LEA from providing reform-oriented Title VI services to private school children because of the likelihood that such services would benefit the private schools, rather than the children. The Department's interpretation is that if the LEA can show that the private school students will receive the primary benefit of reform-oriented Title VI services, the LEA may provide those services for the private school students, even if the private schools also happen to benefit. If the primary benefit of the reform-oriented Title VI services would fall to the private schools, however, the Department believes that the LEA would not be able to provide reform-oriented Title VI services for the private school children. FISCAL REQUIREMENTS Supplement, Not Supplant Section 6401(b) of Title VI of the ESEA provides that an SEA or an LEA may use and allocate Title VI funds only to supplement and, to the extent practical, increase the level of funds that would, in the absence of funds made available under Title VI, be made available from non-Federal sources. Title VI funds may not be used to supplant funds from non-Federal sources. (20 USC 7371(b)) Whether an SEA or LEA may use Title VI funds as part of any State-mandated program however, depends upon whether non-Federal funds are already available to carry out activities under the State-mandated plan. Section 6401(b) of Title VI prohibits the use of Title VI funds where such use would result in supplanting funds available from non-Federal sources. Presumably, in the absence of Title VI funds, the SEA or LEA would use State funds to carry out a State-mandated plan. To use Title VI funds in connection with the plan would therefore violate the supplement, not supplant requirement of Title VI. However, Title VI funds might be used in connection with the plan, without violating the supplement, not supplant requirement, if the Title VI funds are used for supplemental activities that would not have been provided but for the availability of the Title VI funds. In general, an SEA or LEA should determine what educational activities it would support if no Title VI funds were available. If the result of this determination is that no State or local funds remain available to fund certain activities, then the SEA or LEA may be able to use Title VI funds for those activities. In no event, however, may an SEA or LEA decrease State or local funds for particular activities because Title VI funds are available. _________________________________________________ Example: An LEA that qualified for State funds has been conducting a program for gifted and talented students. The State funds were based on the number of such children attending schools in the LEA. The number of these children in the LEA decreases and the LEA therefore no longer qualifies for the State funds. The LEA may choose to continue to operate this program using Title VI funds without violating the supplement, not supplant clause. This example presumes that the LEA would not fund the program out of other non-Federal funds in the absence of Title VI. _________________________________________________ Maintenance of Effort SEAs are required to maintain effort in order to receive their full allocation of Title VI funds for any fiscal year. The SEA maintains effort when either the combined fiscal effort per student or the aggregate expenditures within the State with respect to the provision of free public education for the preceding fiscal year was not less than 90 percent of the combined fiscal effort or aggregate expenditures for the second preceding fiscal year. (See section 6401(a), 20 USC 7371(a)(1).) The Department interprets "preceding fiscal year" to mean either the Federal fiscal year or the twelve-month fiscal period most commonly used in a State for official reporting purposes prior to the beginning of the Federal fiscal year in which funds are available. Both State and local expenditures for free public education within the State are to be considered in determining whether a State has maintained effort under Title VI. The Department interprets "aggregate expenditures for free public education" to include expenditures such as those for administration, instruction, attendance, health services, pupil transportation, plant operation and maintenance, fixed charges, and net expenditures to cover deficits for food service and student body activities. States may include in the maintenance of effort calculation expenditures of Federal funds for which no accountability to the Federal government is required. (Impact Aid funds are an example of such funds; however, there is a requirement of accountability for certain Impact Aid funds, such as those received for children with disabilities. Therefore, Impact Aid funds may be included in a State's maintenance of effort calculation under Title VI, but only to the extent that there is no accountability for their expenditure.) States must be consistent in the manner in which they calculate maintenance of effort from year to year in order to ensure that the annual comparisons are on the same basis (i.e., calculations must consistently, from year to year, either include or exclude expenditures of Federal funds for which accountability to the Federal government is not required). Moreover, States that choose to include expenditures of Federal funds for which accountability to the Federal government is not required, must do so with the understanding that future years' maintenance of effort calculations may be affected by fluctuating Federal appropriations over which neither the Department, nor a State, has any control. Finally, it is the Department's position that expenditures not to be considered in determining maintenance of effort under Title VI are expenditures for community services, capital outlay, debt service, or any expenditures of Federal funds for which accountability to the Federal government is required. |
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