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Special Education Listserv

Subject: Appropriate Use of Proportionate Share Funds

Source: Funds Management

Intended Audience: Special Education Directors, Superintendents, Financial Administrators

Date: February 15, 2010

It has come to our attention that there is confusion in the field on whether proportionate share funds may be paid directly to a private/parochial school to provide equitable services to parentally placed students with disabilities. The answer is no.  Proportionate Share funds for equitable services may not be paid directly to a private/parochial school.  Equitable services must be provided by employees of a public agency or through contract by the public agency with an individual, association, agency, organization, or other entity.

An LEA may use Part B funds to make public school personnel available in other than public facilities to the extent necessary to provide equitable services for private school children with disabilities and if those services are not normally provided by the private school.

The LEA must control and administer the funds used to provide special education and related services to parentally-placed private school children with disabilities, and maintain title to materials, equipment, and property purchased with those funds.  However, an LEA may use Part B funds to pay for the services of an employee of a private school to provide equitable services if the employee performs the services outside of his or her regular hours of duty and the employee performs the services under public supervision and control.  This is allowable because the district is paying an individual and not the private/parochial school directly.

For more information, please visit the Compliance website which contains frequently asked Questions and Answers related to proportionate share

at:  http://www.dese.mo.gov/divspeced/Compliance/osepletter05.html.

For questions, contact the Funds Management Section at (573) 751-0622 or

webreplyspefm@dese.mo.gov.