November 2022

Table of Contents

• Financial
• General Information
• Coding
• Applications
• Upcoming Deadlines
• Staff Contact Information
• Department of Education Resources

Financial

Special Education Billing

Special Education Billing - Days Only

The Tuition In Billing (TIB) program will be available for districts to complete their first semester billings on Monday, December 5. As has been the case in the past few years, you will be required to enter student information by the number of “DAYS” the student was enrolled for FY23.

Special Education Estimated Billing

The Department will continue to use the predetermined daily rate feature as implemented in the TIB program, which allows an additional option in determining the amount billed for the first semester. A CAR upload is not required if this option is selected. The goal is to simplify the process and assure that every district is sending/receiving first semester bills. This option includes a basic daily rate for special education costs and general purpose percentages. Refer to the examples below.

Basic Daily Rate for a Level 1 Student

Special Education Cost:

District Cost Per Pupil (DCPP) X Special Ed Weighting / 180 X 1st Semester Billing Days = Special Ed Expenditures

[($7,413 X .72) / 180] X 90 days = $2,668.68

General Purpose Percentage

DCPP X Level I GPP Per Pupil % (each district is different) / 180 X 1st Semester Billing Days = GPP

[($7,413 X .82) / 180] X 90 days = $3,039.33

Basic Daily Rate for a Level II Student

Special Education Costs:

DCPP X Special Ed Weighting / 180 X 1st Semester Billing Days = Special Ed Expenditures

[($7,413 X 1.21) / 180] X 90 days = $4,484.87

General Purpose Percentage

DCPP X Level II GPP Per Pupil % (all districts are the same) / 180 X 1st Semester Billing Days = GPP

[($7,413 X .32) / 180] X 90 days = $1,186.08

Basic Daily Rate for a Level III Student

Special Education Costs:

DCPP X Special Ed Weighting / 180 X 1st Semester Billing Days = Special Ed Expenditures

[($7,413 X 2.74) / 180] X 90 days = $10,155.81

General Purpose Percentage

DCPP X Level III GPP Per Pupil % (all districts are the same) / 180 X 1st Semester Billing Days = GPP

[($7,413 X .27) / 180] X 90 days = $1,000.76

“First semester billing days” means the number of days the student was enrolled and served pursuant to the student’s Individualized Education Plan (IEP). The examples above assume the student was present for the full semester or 90 days. However, some students will be enrolled and served less than a full semester. In those cases, the district would enter the actual days enrolled and served rather than 90 (i.e., ($7,413 X 1.21)/ 180 X 25 days = $1,245.80)). If a student was Level II for part of the semester and then became Level III, the student would be shown once as Level II for the number of days served pursuant to the IEP at Level II, and again shown once as Level III for the number of days served pursuant to the IEP at Level III.

Upon entering the program, select which option to use. The first option, “Per Day Estimated Rate,” is the option described above. The second option, “Per Day Actual Costs from Screen 1,” is similar to what districts use for final billing. The Department was able to pull in basic pieces of student information, such as student name, student ID, special education weighting and resident district from the certified enrollment application. Although the program allows this to happen, it is imperative to make sure every student’s information has been transferred successfully. The program still allows districts to add/edit student information if needed. Additionally, districts must include the information on the student information screen that did not pull from the certified enrollment such as days enrolled and individualized costs.

The Department will continue to look at ways that will save valuable time in the process. If you have further questions or suggestions regarding TIB, please contact Bill Roederer at bill.roederer@iowa.gov, or 515-393-8349.

English Learner (EL) Reporting

EL Expenditure Coding

This article serves as the annual reminder regarding expenditure coding for the district’s English Learner (EL) program. While district expenditures coded to Project 1112 or 4644 cannot exceed the revenues coded to Project 1112 (property tax and state aid-financed weighted Limited English Proficiency (LEP) and School Budget Review Committee (SBRC) modified supplemental amount (MSA) for LEP) or Project 4644 (Title III, English Language Acquisition State Grants), the expenditures should not be changed from program codes 410 through 419. Expenditures without a program code of 410 through 419 will not appear in the LEP Allowable Cost Application. Continue to report LEP expenditures to Program 410 through 419, even though the project code may be changed to 0000. The LEP Allowable Cost application only includes expenditures with these program codes.

Appropriate and inappropriate uses of EL funds are found in Iowa Administrative Code 281—98.16. Very few expenditures that fall into the executive, building, or business administrative functions, or the operations and maintenance, transportation, and community service functions are appropriate uses of EL categorical funds. While these may be related costs, they are not direct costs of providing the district’s EL program; therefore, the costs cannot be included in a request to the SBRC for excess costs of providing the program. 

Reporting EL Instructional and Support Staff in Fall BEDS Staff

For districts that report expenditures for salaries but no teachers are identified with an appropriate English as a Second Language (ESL) assignment code in Fall BEDS Staff, those districts will not be able to submit a request to the SBRC for excess LEP costs incurred during the 2022-2023 school year. Please review Fall BEDS Staff to ensure teachers in a district’s LEP program have been appropriately identified with the position of Regular Education Teacher and assigned to the ESL program.

In the Iowa Education Portal, go to the Fall BEDS Staff application. Under “Staff Filters” in the upper right on the home page, set the Program field to ESL. All teachers and paraprofessionals assigned to the program must appear when filtering on ESL. Additional individuals, such as administrators or coordinators of the LEP program, may also appear.

Common Reporting Problems

Problem 1: Missing staff

The teacher will not appear when filtering on program = ESL if the program assignment has been identified as “No special program.” Edit the position and change the program to ESL.

Problem 2: Missing staff when a teacher has multiple assignments, not all of which are in the LEP program

Click to edit this placeholder text.

In this example, the teacher has two assignments, one of which belongs under “No special program." The other assignment belongs under the ESL program. For this teacher, the ESL assignment will need to be deleted from the “No special program” and the FTE will require a modification from 1.00 to 0.78. A new position must be added with the position of Regular Education Teacher, FTE = 0.22, and program = ESL. The ESL assignment will then be added to the added position. Seventy-eight percent of this teacher’s salary and benefits will be paid from noncategorical funds while 22 percent can be paid from LEP categorical funds.

Problem 3: A teacher with a regular curriculum course assignment coded to a categorical program

Click to edit this placeholder text.

This teacher is coded to two different categorical programs (ESL and Special Education); however, a third program (No special program) is required. The entry for the third program must have a position of regular education teacher and an FTE equivalent to the proportion of contract time the teacher is assigned to teach the Creative Writing course. The Creative Writing assignment must be moved to the newly created position. The FTE must also be modified to reflect only the portion of time the teacher is assigned to the ESL assignment. The portion of time (FTE), the program, and the funding stream from which the teacher will be paid should be in agreement.

Problem 4: A teacher assigned to teach a regular curriculum course under the ESL program

Click to edit this placeholder text.

If the teacher has an ESL endorsement, is appropriately licensed to teach physical science, and all students in the sections taught by this teacher are ELL students, then it may be possible to have that portion of the teacher’s assignment paid from LEP categorical funds. If students enrolled in the course are also generating credit toward graduation, the teacher would need to be appropriately licensed in the content area as well.

Please make sure all data submitted to the Department are reviewed for accuracy. Inaccurate reporting in one application can impact other applications as well.

If you have questions related to the Fall BEDS Staff application, contact Shelly Neese at shelly.neese@iowa.gov or 515-336-3859.

If you have questions related to account coding, please contact Kathy Bowers at kathy.bowers@iowa.gov or 515-210-9674, Jina Brincks at jina.brincks@iowa.gov or 515-313-5942, or Song Luong at song.luong1@iowa.gov or 515-205-0259.

Supply Chain Assistance Funding

Supply chain issues have significantly impacted the School Food Authorities' (SFAs) ability to procure nutritious foods. The United States Department of Agriculture (USDA) Supply Chain Assistance (SCA) funds are a critical funding stream that provide an additional financial resource for SFAs to assist with these issues.

Three total rounds of SCA funds have been made available. The first round was provided to Iowa SFAs that chose to accept the funding in Aug 2022. The second and third rounds will be combined as a single payment and schools will need to accept or decline via the form sent to the Authorized Representative. 

The requirements of 7 CFR 210.19(a)(1) to maintain no more than a three month operating balance in the nonprofit foodservice account does not impact an SFA’s eligibility for and/or receipt of SCA funds. SCA funds do not expire, but appropriate record keeping is required until funds are expended (Source/project 4014, Supply Chain Assistance Funds [FAL/CFDA 10.555]). 

SCA funds must be used exclusively for the purchase of domestic food products that are unprocessed or minimally processed. Examples of allowable food products include the examples below.

• Fluid milk, cheese and yogurt (flavored or unflavored)
• Fruits and vegetables, including 100% juices
• Grain products such as pasta and rice
• Meats (whole, pieces or ground)
• Meat alternatives such as beans or legumes
• Foods in a wide variety of minimal processing states (e.g., whole, cut, pureed) and/or forms (e.g., fresh, frozen, dried)

SCA funds must not be used for labor, supplies, administrative expenses, past or retroactive expenditures, non-domestic food products, or foods that are significantly processed or prepared. Examples of significantly processed or prepared foods include the examples below.

• Baked goods such as breads, muffins or crackers
• Pre-packaged sandwiches or meals
• Prepared and/or pre-cooked items such as chicken nuggets
• Foods that come ready-to-eat or require no preparation beyond heating

It is also important to note that SCA funds are only available for use in the following USDA Child Nutrition Programs: National School Lunch Program (NSLP), School Breakfast Program (SBP), Seamless Summer Option (SSO) and/or Afterschool Snack Program. SCA funds may NOT be used for Special Milk Program (SMP), Fresh Fruit and Vegetable Program (FFVP), Summer Food Service Program (SFSP) or Child and Adult Care Food Program (CACFP). 

If you have additional questions on SCA funding, review our informational webcast or contact Meg Collins at meg.collins@iowa.gov or 515-336-3903.

General Information

Medicaid

Medicaid - Federal Share

CARES Act funding included an increase of 6.2 percent in the federal share of state Medicaid programs starting January 2020 and continuing through December 31, 2022, and possibly longer. On October 1, 2022, the federal share, without the additional COVID-19 dollars, increased from 62.14 percent to 63.13 percent. Claims paid October 1,  2022 to December 31, 2022 have a federal share of 69.33 percent and a state share of 30.67 percent. The Department will advise districts through the School Business Alert of future announcements related to continuation of the increased federal share in 2023.

Private Duty Health Care Agency Nurse

If your district participates in Medicaid and paid for any private duty nurses during the 2021-2022 fiscal year, please contact Jim Donoghue with the hours and dollars paid for these individuals. These data are worked into the Medicaid rate setting for 2023-2024.

Providing Medicaid Reimbursement Documentation

For children requiring special education that are also engaged in open enrollment, Iowa Code section 282.18(8)”c” directs the receiving district to complete and provide to the district of residence the documentation necessary to seek Medicaid reimbursement for eligible IEP health services. Below are questions received about this expectation.

Q: May the attending district continue to bill Iowa Medicaid and credit the resident district for the amount received on their annual bill for services?

A: Yes. The legislation does not identify or limit the district that is able to submit the billing. The legislation only requires that the resident district receive the documentation necessary to do the billing. A contract/agreement between the resident and attending districts can specify roles and clarify intentions. Additionally, the requirement applies only to open enrolled students and not to Tuition In Billing (TIB) students.

Q: Districts have previously been able to charge their cost to provide this documentation. Are they still able to do this?

A: This charge would not be allowed for open-enrolled students, as providing the documentation is now required. This does not impact a district’s ability to charge an administrative fee for TIB students.

Q: The parental consent form specifically indicates the 'attending' district for the consent. Are attending districts required to obtain a parental consent form from the resident district?

A: Yes. Parent consent is one of the documents necessary to seek Medicaid reimbursement. An agreement between the resident and the attending districts can specify roles and clarify intentions.

Q: Who is responsible for the documentation to meet Medicaid standards?

A: The billing provider has this responsibility as they are responsible for services they are billing. The legislation applies only to open enrolled students. A guidance document containing a list of the required documentation is available on the School-based Medicaid page of the Department's website.

Eligibility Information for IEP Students in the ACHIEVE System

The Eligibility Report available at iowaidea.org now includes a separate column for students whose IEP is in the new ACHIEVE IEP system.

Requirement to Report Any Data Breach   

As a Medicaid provider, you are expected to report any breach of data to the Iowa Department of Health and Human Services (HHS). The form is available on the School-based Medicaid page of the Department's website. Please complete and submit the form with as much information as you know as soon as possible. Submit it to HHS Information Security and Privacy Office, 1305 E. Street, Des Moines, IA 50319-0114. HHS will want to know (1) where the breach originated, (2) specific student information involved, if applicable, and (3) any Medicaid information affected by the breach.

End Data for Retention of Protected Health Information from HHS

The Protected Health Information (PHI) that your Local Education Agency (LEA) or Area Education Agency (AEA) has from the HHS (e.g., Medicaid ID number and Eligibility) can only be used for certain purposes and must be protected. In the case of School-based Medicaid services, those purposes are billing and audits. For purposes of billing, the end date for retention of eligibility PHI issued after June 30, 2022 will be June 2023, since this program allows claim submission to a maximum of 12 months from the date of service. For purposes of audit or documentation review, the end date for retention of the eligibility PHI issued before July 1, 2021 will be June 2023, as we have found that recent Payment Error Rate Measurement audits request documentation for claims up to two years prior to the date of the request. More details will be posted on the School-based Medicaid page of the Department's website, under the "Statement to Downstream Providers" heading.

If you have further Medicaid questions, please contact Jim Donoghue at jim.donoghue@iowa.gov or 515-281-8505.

School Budget Review Committee Hearing October 12

The School Budget Review Committee (SBRC) met in regular session to hold hearings on October 11. The Committee received final FY23 cash reserve levy amounts totaling $191,705,908, down 6% from FY22. The Committee received an update on whole grade sharing districts making progress toward reorganization and took action to direct districts that were late filing financial reports to appear at the December 13 hearing to present corrective action plans.

The Committee approved a negative modified supplemental amount (MSA) in FY23 for one district that did not fully expend an award of MSA in FY22 that was based on anticipated costs totaling $6,558. The Committee also approved MSA for three districts relating to hazard abatement and one request for a Certificate of Need (CON) to use SAVE funds to pay off general obligation bonds. The Committee also tabled a CON request that would have paid off a bank loan relating to new construction with SAVE funds. The Summary of Action is available on the SBRC website.

If you have further questions regarding the SBRC, please contact the SBRC Liaison, Kassandra Cline at kassandra.cline@iowa.gov, or 515-326-2242.

Federal Procurement Requirements Related to Food Service Management Companies

The Bureau of Nutrition and Health Services offers the following reminder about federal and program-specific procurement regulations for LEAs who are considering contracting with a Food Service Management Company (FSMC).

Federal regulations at 2 CFR 200.319(a) require that all organizations that receive federal funding must provide a level playing field that allows for full and open competition for all potential vendors. When one FSMC is allowed to promote their business to district officials, then an equal opportunity must be provided to other FSMCs. Only allowing one FSMC to promote their business is providing them with an unfair advantage in the bidding process. If a FSMC is found to have an unfair advantage they may be excluded from bidding on potential contracts. Additionally, vendors who assist with contract language or specifications shall be excluded from competing for the procurement.

For additional information, refer to USDA Guidance - Contracting with Food Service Management Companies: Guidance for School Food Authorities. 

If you have any questions, contact Shea Cook at shea.cook@iowa.gov or 515-326-1682.

Psychiatric Medical Institution for Children Placements and Psychiatric Hospital Stays: Who Pays?

If the student:

• Is served pursuant to an IEP, the resident district pays.
• Is a regular education student, the resident district pays.
• Is home schooled, the resident district pays.
• Attends a nonpublic school, the resident district pays.
• Dropped out of school, the resident district pays.
• Recently moved into your district, the current resident district pays.
• Was placed by a parent, the resident district pays.
• Was counted in certified enrollment by another district, the current resident district pays.
• Was under open enrollment prior to the placement, the resident district pays.

Q: Is there a way a district can avoid paying for the educational services a student receives while at a Psychiatric Medical Institution for Children (PMIC) or psychiatric unit of a hospital?

A: If the student has an IEP and parental rights have been terminated, then the host district is responsible for paying. However, the district with the PMIC or hospital may file the claim with the state through the TIB application.

Q: How is the resident district determined? 

A: According to Iowa Code 282.1(2), the resident district is the location where a student is physically present, whose residence has not been established in another district by operation of law, and is in the district for the purpose of making a home and not solely for school purposes.

Q: If the resident district did not get to count the student in certified enrollment, does the resident district still have to pay?

A: Yes, the current resident district is still responsible for the educational costs incurred for a student in a PMIC facility or psychiatric unit of a hospital. Iowa Code 282.27(5) allows districts to include, in the regular education foster care claim, students who were not included in the resident district’s certified enrollment count and who were placed in either a PMIC facility or psychiatric unit of a hospital. The district with the PMIC facility will do the work for you - students who were not in the resident district’s count will be automatically included in the regular education foster care claim. For students in a psychiatric unit of a hospital, the resident district will need to enter the student in their local student information system in order to generate the record that will populate the regular education foster care claim. 

If you have questions related to billing, please contact Scott Dryer at scott.dryer@iowa.gov or 515-402-8700.

Coding

Teacher Leadership and Compensation

The Department has received questions regarding coding for Teacher Leadership and Compensation (TLC).

• Source/Project Code 3116 is used for funding the district receives through the school funding formula. Unused funds should be restricted at the end of the year.
• A district’s allocation is based on the budget enrollment x per pupil amount of $357.80for FY23 (Aid and Levy Line 4.46).
• The expenditure functions will depend on how the district uses the funds. Many of the expenditures will be coded to Instructional Staff Support Services (Function 221X). Keep in mind that use of the Instruction function code (Function 1XXX) requires instruction to students, not other teachers.
• Open enrollment in (Source 1323) and open enrollment out (Object 567) should include the TLC project code (3116). The resident district pays to the receiving district any monies received for a pupil. All districts should be using Project 3116 with these codes and will pay the open enrollment amount of $349.07 per pupil.

If you have questions related to account coding, please contact Kathy Bowers at kathy.bowers@iowa.gov or 515-210-9674, Jina Brincks at jina.brincks@iowa.gov or 515-313-5942, or Song Luong at song.luong1@iowa.gov or 515-205-0259.

If you have questions related to the TLC program, please contact Lora Rasey at lora.rasey@iowa.gov or 515-419-2088.

Accounting for Local Food for Schools (LFS)

The Iowa Department of Agriculture & Land Stewardship was awarded over $2.1 million through the Local Food for Schools Cooperative Agreement Program (LFS Source/Project 4911). These funds are available to schools to purchase local, domestic, unprocessed or minimally processed foods to help with the challenges of supply chain disruptions.

Schools that applied and agreed to the terms of the funding will work with a food hub sponsor for purchasing pre-authorization and payments. Purchases must be made directly from LFS registered vendors. Purchases from mainline distributors or grocery stores are not allowed for this sub-grant. Standard school local procurement regulations apply to all transactions and will be monitored through existing review processes. 

The expenditures must be incurred between October 1, 2022 and February 28, 2024, and all funds must be spent prior to that date. Districts will record LFS funds similar to how commodities are recorded. Expenditures and revenues must be equal at the end of the fiscal year with Source/Project 4911.

If you have further questions, please contact Kathy Bowers at kathy.bowers@iowa.gov or 515-210-9674, Jina Brincks at jina.brincks@iowa.gov or 515-313-5942, or Song Luong at song.luong1@iowa.gov or 515-205-0259.

FY23 Commercial and Industrial State Replacement Payment and Property Taxes

For FY23, school districts will not be receiving a Commercial and Industrial State Replacement payment. You should not see the separate payment on the statements from your county treasurer. Instead of the payment for FY23 and beyond, the Foundation Level was increased from 87.5% to 88.4%. The Foundation Level increase accounts for the approximately $60 million statewide districts received from the Commercial and Industrial State Replacement Payment in prior years.

If you have further questions, please contact John Parker at john.parker@iowa.gov, or 515-281-8485.

GASB 96 Subscription-Based Information Technology Arrangements

Districts should be working toward final implementation of Governmental Accounting Standards Board Statement 96 (GASB 96) relating to Subscription-Based Information Technology Arrangements (SBITA). GASB 96 is effective for fiscal years beginning after June 15, 2022 (FY23).

GASB 96 addresses accounting and financial reporting for SBITAs, a type of information technology (IT) arrangement (e.g., software licensing). GASB 96 defines a SBITA as a contract that conveys control of the right to use another party’s (i.e., a SBITA vendor’s) IT software, alone or in combination with tangible capital assets (i.e., the underlying IT asset), as specified in the contract for a period of time in an exchange or exchange-like transaction.

In addition to defining a SBITA, Statement 96 establishes that a SBITA results in a right-to-use subscription asset (i.e., intangible asset) and a corresponding subscription liability, provides capitalization criteria, and requires footnote disclosure. The standards for SBITAs are based on the standards established in Statement 87 (GASB 87) relating to leases, as amended. GASB 87 was effective for fiscal years beginning after June 15, 2021 (FY22).

Scope

The definition of a SBITA excludes contracts that solely provide IT support services but includes contracts that contain both a right-to-use IT asset and an IT support services component.

A district should assess whether both of the items below are present for GASB 96 to apply. 

• The right to obtain the present service capacity from use of the underlying IT assets.
• Example: Districts may access a cloud based student information system.
• The right to determine the nature and manner of use of the underlying IT assets.
• Example: District staff have control over information added into a cloud based student information system.

This guidance does not apply to the situations below.

• Contracts that convey control of the right to use another party’s combination of IT software and tangible capital assets that meet the definition of a lease in GASB 87, in which the software component is insignificant compared to the cost of the underlying tangible capital asset.
• Governments that provide the right to use their IT software and associated tangible capital assets to other entities through SBITAs.
• Contracts that meet the definition of a public-private and public-public partnership, which would be covered by Statement 94 (GASB 94), Public-Private and Public-Public Partnerships and Availability Payment Arrangements.
• Licensing arrangements that provide a perpetual license to governments to use a vendor’s computer software, which are subject to Statement 51 (GASB 51), Accounting and Financial Reporting for Intangible Assets.

For GASB 96 to apply, the subscription term would include both of the scenarios below. 

• Contract period during which a district has a noncancelable right to use the underlying IT assets.
• Contract periods covered by an option to:
• extend (if it is reasonably certain the district or SBITA vendor will exercise that option) or
• terminate (if it is reasonably certain the district or SBITA vendor will not exercise that option).

The following factors should be considered in evaluating the likelihood of an option exercise:

• Significant economic incentives,
• Potential changes in technological development that significantly affects the technology used by the IT asset,
• Potential significant changes in the district’s demand for the SBITA vendor’s IT asset,
• Significant economic disincentives, such as costs to terminate the SBITA and sign a new SBITA,
• Option exercise history, and
• The extent to which the SBITA’s IT assets are essential to the provision of district services.\

Short-Term SBITAs

At the commencement of the subscription term, a short-term SBITA has a maximum possible term under the SBITA contract of 12 months (or less), including any options to extend, regardless of their probability of being exercised. Periods for which both the government and the SBITA vendor have an option to terminate the SBITA without permission from the other party (or if both parties have to agree to extend) are cancellable periods and should be excluded from the maximum possible term. For a SBITA that has cancellable periods, such as a rolling month-to-month SBITA or a year-to-year SBITA, the maximum possible term of that SBITA is the non cancellable period, including any notice periods.

• Example: Cloud based curriculum software has a non-extendable term of nine months; this would be excluded from GASB 96.
• Example: Cloud based curriculum software has a term of two years with a cancellable option (without permission from other party) after nine months; this would be excluded from GASB 96.

Other information

A rolling month-to-month SBITA or a SBITA that continues into a holdover period until a new contract is signed would not be enforceable if both the district and the SBITA vendor have an option to terminate and either could cancel the SBITA at any time. 

Provisions that allow for termination of a SBITA as a result of either payment of all sums due or default on subscription payments are not considered termination options.

Multi-year SBITA contracts which are paid in full at the commencement of the contract term will not recognize a subscription liability, however, the subscription asset should be valued at the amount of the subscription payment made to the vendor at the commencement of the contract term.

Identifying possible SBITAs:

Review the following:

• Active agreements and contracts – review list to determine if any may meet definition of an SBITA.
• Vendor list – review listing to identify which vendors could be providing subscription-based IT services.
• Recurring payments – review to identify vendors that may be providing subscription-based IT services.
• Expenditure account codes – review expenditures in account codes that may contain payments for subscription-based IT services (i.e. instruction, office, accounting based subscriptions).
• Memo line/invoice descriptions – search transaction details in accounting software for terms such as ”subscription,” “software,” etc. to determine if the transactions are related to a subscription-based IT service.

Interview agency staff - conduct interviews or survey agency staff who can identify SBITAs in the areas below.

• Instructional services
• Non-instructional support services
• IT services
• General, administrative, and accounting services

Examples (cloud computing and other subscription-based software):

• Assessment software
• Communication software
• Curriculum software
• Social media software
• IT support software
• Class management software
• Accounting software
• Library software

Additional detailed guidance for GASB 96 implementation can be found on the GASB website (www.gasb.org) under “Standards & Guidance - Pronouncements”:

•  GASB Statement 96 - Summary
•  GASB Statement 96 - Full Text

Currently, districts should prioritize identifying existing SBITAs to prepare for implementation of GASB 96. 

GASB 96 journal entry examples have been added to the Uniform Financial Accounting page on the “UFA journal entries” spreadsheet under the “GASB 96 SBITAs” tab. 

If you have further questions, please contact Kathy Bowers at kathy.bowers@iowa.gov or 515-210-9674, Jina Brincks at jina.brincks@iowa.gov or 515-313-5942, or Song Luong at song.luong1@iowa.gov or 515-205-0259.

Iowa Chart of Account Coding Updates

The Iowa Chart of Account Coding, found on the Uniform Financial Accounting page of the Department website, is regularly updated to reflect changes necessary to meet fiscal reporting needs. The most recent update is provided below.

October 2022

Applications

SBRC Application for MSA – Due December 1

The SBRC Application is currently open and available for optional requests of MSA in the following areas:

• Increasing Enrollment—for districts showing fall 2022 actual enrollment (formerly known as row 7) greater than fall 2021 actual enrollment. (Iowa Code section 257.31(5)(a))
• Open Enrollment Out—for students identified as open enrolled out in fall 2022 who were not included in the district’s fall 2021 certified enrollment count, minus any increase in enrollment calculated above. (Iowa Code section 282.18(9)(e))
• LEP Instruction Beyond Five (5) Years—for resident students included in fall 2022 certified enrollment who have already received the maximum ELL supplementary weighting and who are continuing to receive ELL instructional services. (Iowa Code section 257.31(5)(j))

This application is pre-populated from the district’s certified enrollment and Student Reporting in Iowa (SRI) submission. In order to complete a request:

• Verify the accuracy of the data.
• Enter the amount of each request.
• Enter contact information.
• Click Submit.
• Upload board minutes.
• If board minutes will be uploaded after December 1, enter the date of the December board meeting when the board will act upon the request(s).  If this option is not available, enter the date the board action will occur.
• Each request should be a separate action item on the board agenda.

Board Action: Each of the three areas for which MSA is requested should be noted separately. It should not be a single, combined amount.

Sample Format:

Sample formats were provided in the October 2022 SBA. In general, they read:

Title of Reason - The district's administration is authorized to submit a request to the School Budget Review Committee for a modified supplemental amount of $XXXX related to (state reason). Ayes ____ Nays: ____ The motion ____ unanimously/by a vote of _____.

If you have questions as you complete the SBRC Application, please contact Scott Dryer at scott.dryer@iowa.gov or 515-402-8700.

At-Risk/Dropout MSA Application – Due January 17

The Department’s intent is to open the SBRC application for At-Risk/Dropout MSA available via the Iowa Education Portal by early December. The application will not open until the Fall 2022 Certified Enrollment numbers have been finalized. Only those districts wishing to request SBRC-granted MSA (Project 1119) will need to complete a submission.

The purpose of the requested MSA is to provide additional resources for the 2023-2024 school year that are necessary to implement the at-risk, dropout prevention, and returning dropout services for identified students that are included in your local school board’s adopted plan. The purpose is not for increasing regular program spending authority.

As in past years, the Department intends to maintain the general structure of the pre-2020 application for MSA as a tool for developing/housing the local program plan for those districts desiring to use it. This includes planning components, including budget forms, which districts have reported as being useful in developing the program plans for the local school board’s approval. Use of the planning components is not required; the planning components are not connected to the form used to request the MSA.

If you have questions relating to related programming or the application, please contact Scott Dryer at scott.dryer@iowa.gov or 515-402-8700.

Nonpublic Transportation Parental Claims – Due December 1

First semester parental claims for nonpublic transportation are due to the districts no later than December 1. Parents providing transportation for their children to attend an accredited nonpublic school are required to file these claims with their resident public district. Please make sure to communicate this information with the nonpublic schools within your district.

Once the requests have been received by the district, it is important to establish a good record-keeping process to ensure accurate information is reported at the end of the school year by the district to the Department. The most common information to track, possibly on a spreadsheet, are the names of the parent(s) and their child(ren), their legal address, the name and address of the nonpublic school, and the mileage distance for which the parent is transporting. This will make the claim from the district to the Department at the end of the year much easier to file and verify.

Please be sure to check for errors on parental claims. Including incorrect data in the Nonpublic Reimbursement application has an impact on the amount of funding per claim for all districts at the end of the year. Each year, the Department receives a number of requests for correction after the claims have been paid. Due to the funding mechanism, these are difficult, and in some cases impossible, to resolve.

As a reminder, second semester claims from parents to the districts will be due by May 2, 2023. Information regarding this program can be found in the Nonpublic Reimbursement page of the Department’s website. If you have further questions, please contact Max Christensen at max.christensen@iowa.gov or 515-336-3965.

Upcoming Deadlines

Staff Contact Information

Bureau of School Business Operations

Department of Education Resources

• Iowa Department of Education Departmental Directory
• Iowa Department of Education Alphabetical Directory
• Iowa Department of Education Customer Service Guide
• Previous School Business Alerts

It is the policy of the Iowa Department of Education not to discriminate on the basis of race, creed, color, sexual orientation, gender identity, national origin, sex, disability, religion, age, political party affiliation, or actual or potential parental, family or marital status in its programs, activities, or employment practices as required by the Iowa Code sections 216.9 and 256.10(2), Titles VI and VII of the Civil Rights Act of 1964 (42 U.S.C. § 2000d and 2000e), the Equal Pay Act of 1973 (29 U.S.C. § 206, et seq.), Title IX (Educational Amendments, 20 U.S.C.§§ 1681 – 1688), Section 504 (Rehabilitation Act of 1973, 29 U.S.C. § 794), and the Americans with Disabilities Act (42 U.S.C. § 12101, et seq.). If you have questions or complaints related to compliance with this policy by the Iowa Department of Education, please contact the legal counsel for the Iowa Department of Education, Grimes State Office Building, 400 E. 14^th Street, Des Moines, IA 50319-0146, telephone number: 515-281-5295, or the Director of the Office for Civil Rights, U.S. Department of Education, Citigroup Center, 500 W. Madison Street, Suite 1475, Chicago, IL 60661-4544, telephone number: 312-730-1560, FAX number: 312-730-1576, TDD number: 877-521-2172, email: OCR.Chicago@ed.gov.