School Budget Review Committee actions: MSAs, EL awards and transportation grants summarized

Department staff summarized key actions taken by the School Budget Review Committee (SBRC) and recommendations presented to the board on Jan. 14.

Highlights included: a transportation assistance award (distributed via education license plate revenues) totaling approximately $10,230 per eligible district; approval of modified supplemental amounts (MSAs) for English Learner programs beyond the state’s five‑year funding window (about $13.9 million); awards of EL excess costs for prior year claims (~$30 million requested and approved); MSA for increased enrollment requests (~$11.7 million); open‑enroll out requests (~$59.8 million); and special education deficit awards for prior‑year costs (approximately $256 million) across hundreds of districts. The SBRC reviewed districts with preliminary negative unspent balances and required corrective action plans for several that will return for updates in March.

The board discussed thresholds for spending authority, the role of special‑education weightings in generating state funds, and how categorical balances (for example, special education) are treated in year‑end accounting. Department staff said the statewide unspent balance is over $2 billion and noted the complexity of establishing a one‑size threshold for spending authority across diverse districts.

Specific district actions noted included hazard abatement awards and a district correction where coding errors led to an inappropriate $900,000 special‑education MSA that the district and department corrected with a corresponding negative MSA adjustment.