September 2013
Safety Net Funding
1. Purpose: State and federal safety net funds are made available for districts with demonstrated capacity for special education funding beyond the amounts provided through the special education funding formula under RCW 28A.150.390.
2. Description of services provided: State and federal funding may be provided to eligible districts as reimbursement for services that have been provided to special education students through a properly formulated IEP.
3. Criteria for receiving services and/or grants:
Safety net funds are awarded by a state safety net oversight committee subject to the following conditions and limitations consistent with RCW 28A.150.392 and 34 CFR §300.704:
a. The committee shall consider additional funds for districts that can convincingly demonstrate that all legitimate expenditures for special education exceed all available revenues from state funding formulas.
In the determination of need, the committee shall also consider additional available revenues from federal sources. Differences in program costs attributable to district philosophy, service delivery choice, or accounting practices are not a legitimate basis for safety net awards. In the determination of need, the committee shall require that districts demonstrate that they are maximizing their eligibility for all state and federal revenues related to services for special education-eligible students and all federal revenues from federal impact aid, Medicaid, and the Individuals with Disabilities Education Act-Part B and appropriate special projects. Awards associated with (b) and (c) below shall not exceed the total of a district's specific
determination of need.
b. The committee shall then consider the extraordinary high cost needs of one or more individual special education students.
Differences in costs attributable to district philosophy, service delivery choice, or accounting practices are not a legitimate basis for safety net awards.
c. Using criteria developed by the committee, the committee shall then consider extraordinary costs associated with communities that draw a larger number of families with children in need of special education services. The safety net awards to school districts shall be adjusted to reflect amounts awarded under (b).
4. Beneficiaries in 2012-13 School Year:
# of School Districts: 106
# of Schools: unknown
# of Students: 1865 high need individual students
Other: 6 districts received community impact awards totaling $1,764,147
FY 13 Funding: State Appropriation: $ 9.469 million
Federal Appropriation: $14.787 million
TOTAL (FY13) $24.256 million
5. Are federal or other funds contingent on state funding? Yes, see the following federal regulations:
34 CFR §300.163 Maintenance of state financial support.
(a) A state must not reduce the amount of state financial support for special education and related services for children with disabilities, or otherwise made available because of the excess costs of educating those children, below the amount of that support for the preceding fiscal year.
34 CFR §300.166 Rule of construction. In complying with §300.162 and §300.163, a state is may not use funds paid to it under IDEA-B to satisfy State-law mandated funding obligations to LEAs, including funding based on student attendance or enrollment, or inflation.
34 CFR §300.704 State-level activities. Regulations pertaining to the administration of IDEA Part B and coordination of activities under Part B are found in §300.704.
6. First year funded: 1995-96
7. State funding since inception: Program used state funding 1995—2002; and again starting with the 2005-06 school year.
Fiscal Year / AmountFY13 / $9.469 million
FY12 / $8.914 million
FY 11 / $22.134 million
FY 10 / $26.963 million
FY 09 / $26.963 million
FY 08 / $21.808 million
FY 07 / $13.130 million
FY 06 / $9.043 million
FY 05 / $0
8. Number of beneficiaries (e.g., schools, students, districts) since inception:
Fiscal Year / # of high needdistricts / # of high need students
FY13 / 106 districts / 1865 students
FY12 / 99 districts / 1752 students
FY 10 / 65 districts / 1036 students
FY 09 / 151 districts / 2604 students
FY 08 / 174 districts / 2270 students
FY 07 / 143 districts / 1930 students
FY 06 / 134 districts / 1574 students
FY 05 / 90 districts / 1093 students
9. Average and range of funding per beneficiary, 2012-13 school year: The average amount of funding received per school district was $295,600 with a range of $1,781 to $1,938,763. The average amount funded per student served in the program was $15,855.
10. Programmatic changes since inception: The safety net process as authorized by the Legislature and administered by the Office of Superintendent of Public Instruction has evolved during the last eighteen years. Annual adjustments have been made consistent with changes in public policy to both the safety net and the state special education funding formula. For example, the categories of and sources of money for safety net funding have changed over time. Initially, the primary category of safety net relief was a formula driven amount known as Maintenance of State Revenue, or MOESRS. This category of state funding was a buffer for changes to the state funding formula when the Legislature transitioned from a categorical funding formula to a non-categorical funding formula in 1995-96. MOESRS funding was essentially “hold harmless” funding for the first four years after the formula changed. Demographics, percentage and other categories of state funding have also been available at one time or another during the past eighteen years. Federal safety net funding has been available to support individual high need students since 1995.
11. Evaluations of program/major findings: In recent years, JLARC (Joint Legislative and Audit Review Committee) has released three major reports on special education programs and funding in the state of Washington. The publications are Number 95-3; 01-11; and 06-3. See also the Superior Court challenge to state special education funding formula. Court Case #04-2-02000-7 heard in Thurston County Superior Court and Docket # 36294-5 Court of Appeals and # 82961-6 Supreme Court of State of Washington.
12. Major challenges faced by the program: The biggest challenge faced by the program is the continual friction between the districts that believe safety net funding is an entitlement and the federal and state requirements that clearly indicate safety net is not an entitlement. Safety net funding is for reimbursement for specially designed instruction and related services provided by the district via a properly formulated IEP, when the district can demonstrate that all legitimate expenditures exceed all available revenues.
13. Statutory and/or Budget language:
RCW28A.150.390 Appropriations for special education programs. The Superintendent of Public Instruction shall submit to each regular session of the legislature during an odd-numbered year a programmed budget request for special education programs for students with disabilities. Funding for programs operated by local school districts shall be on an excess cost basis from appropriations provided by the legislature for special education programs for students with disabilities and shall take account of state funds accruing through RCW 28A.150.260 (4)(a) and (b), (6), and (8), federal medical assistance, and other state and local funds, excluding special excess levies.
Budget Proviso: 3ESSB 5034 Section 1505 (7) $$8,914,000 of the general fund--state appropriation for fiscal year 2012, $9,469,000 of the general fund state for fiscal year 2013, and $32,574,000 of the general fund--federal appropriation are provided solely for safety net awards for districts with demonstrated needs for special education funding beyond the amounts provided in subsection (4) of this section. If the federal safety net awards based on the federal eligibility threshold exceed the federal appropriation in this subsection (7) in any fiscal year, the superintendent shall expend all available federal discretionary funds necessary to meet this need. At the conclusion of each school year, the superintendent shall recover safety net funds that were distributed prospectively but for which districts were not subsequently eligible.
14. Other relevant information:
34 CFR §300.166 Rule of construction prohibits a state from using funding paid under IDEA-B to satisfy a state mandated funding obligation to LEAs. This is why Community Impact funding is a state obligation.
Current provisos commit the following of the general fund—federal appropriation:
(8)Safety Net / (13)
Transition services / ( 14)
Ombudsman program / (16)
Inclusion strategies
FY13 / $14,787,000 / $50,000
FY12 / $14,787,000 / $50,000
15. List of schools/districts receiving assistance:
The following districts were awarded safety net funding in 2012-13:
Anacortes / Everett / Mukilteo / SequimArlington / Evergreen 114 / Napavine / Shoreline
Auburn / Federal Way / North Kitsap / Snohomish
Bainbridge Island / Ferndale / North Mason / Snoqualmie Valley
Battle Ground / Fife / North Thurston / Soap Lake
Bellevue / Franklin Pierce / Northshore / South Kitsap
Bellingham / Grand Coulee Dam / Oakville / South Whidbey
Bethel / Grandview / Okanogan / Southside
Blaine / Granite Falls / Olympia / Spokane
Boistfort / Griffin / Onalaska / Stanwood-Camano
Bremerton / Highline / Orcas Island / Sultan
Burlington-Edison / Hood Canal / Pe Ell / Sumner
Cashmere / Issaquah / Peninsula / Tacoma
Central Kitsap / Kelso / Port Angeles / Tahoma
Chimacum / Kent / Port Townsend / Toledo
Clarkston / Lake Stevens / Puyallup / Tonasket
Clover Park / Lake Washington / Quilcene / Tukwila
College Place / Lakewood / Quincy / Tumwater
Concrete / Longview / Reardan-Edwall / University Place
Davenport / Lynden / Renton / Vancouver
Dieringer / Marysville / Richland / Vashon Island
Eatonville / Mercer Island / Riverside / Washougal
Edmonds / Morton / Riverview / Wenatchee
Ellensburg / Moses Lake / San Juan / West Valley 363
Enumclaw / Mount Baker / Seattle / Wilbur
ESA 112 / Mount Vernon / Sedro-Woolley / Woodland
Yakima
Yelm