How to Prepare for a Federal Monitoring Visit (SASA/OSEP)

Jennifer S. Mauskapf, Esq.jmauskapf@bruman.com Brustein & Manasevit, PLLCFall Forum 2013

AGENDA

Overview of the Monitoring Process ESEA

▪ ESEA Flexibility▪ SASA

▪ Non-Flexibility States ▪ Unwaiverable Title I Requirements

IDEA - OSEP

Preparing for a Monitoring Visit

Common Findings

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OVERVIEW OF THE MONITORING PROCESS

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ESEA Flexibility Monitoring• Pilot

• 2 States (CO, MS) participated in on-site monitoring pilot in May • 2 States (NJ, CT) to participate in desk pilot in July • Revisions to Process

• Remaining States • 1/3 On-site• 2/3 Desk

• Inclusion of LEAs/schools in monitoring ?

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ESEA Flexibility – Depth of Review

Depth of Review

On-site Monitoring

Desk Monitoring

Foundational Review

All 17 elements All 17 elements

Comprehensive Review

• All SEA Systems & Processes elements (4)

• 3 of 9 ‘List A’ elements

• 2 ED selected• 1 SEA selected

• All SEA Systems & Processes elements (4)

Unwaived Title I Requirements

8 requirements 8 requirements

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5To be monitored via separate process…STAY TUNED!

ESEA Flexibility Monitoring Timeline• ED Contacts SEA re: Type and Date• Preliminary Monitoring Call (6 weeks prior)• If on-site: SEA selects element (5 weeks prior)• ED sends customized protocol (4-5 weeks prior)• SEA submits documentation (at least 2 weeks prior)• Exit Conference (within 2 weeks of visit)• Monitoring Report within 35 business days of visit

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SASA Monitoring Covers…

• SASA Monitoring for Select Non-Flex States:• Title I, Part A• Title I, Part D (Neglected, Delinquent, or At-Risk)• Title X, Part C (McKinney-Vento Act/Homeless Program)• Title III, Part A

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Non-Flex Selection Factors2012-2013

• SEA has not been monitored since the 2006-2007 or 2007-2008 monitoring cycle

• Review of Audits and Previous Monitoring Findings• Staff Leadership Turnover or New Staff

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Monitoring Strategies, 2012-2013• Pre-site document reviews• SEA and LEA website reviews• Previous corrective actions• Combination of program specific—

• Desk• Teleconference / Videoconference• Web-based conference• On-site monitoring review of indicators

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OSEP ‘Monitoring’ Covers…

• Continuous Improvement Visits http://therightidea.tadnet.org/assets/browse_by_folder?folder=36&folder_name=OSEP+Continuous+Improvement+Visits• Results Component

http://www2.ed.gov/about/offices/list/osers/osep/rda/index.html• Stakeholder Input Process• Verification Component

http://therightidea.tadnet.org/assets/browse_by_folder?folder=61&folder_name=CrEAGs-+Part+B

• Determinations. State Performance Plan (SPP) / Annual Performance Report (APR) Review

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Prior to Visit• Desk monitoring of each State

• State contact gathers and analyzes data and information• Information collected primarily through Web-based searches and

document analysis• Specific documentation requested from SEA

• Selection of LEAs• Receipt of Agenda and List of ED Participants

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The Visit Itself

• HOW LONG?• Typically one full week

• WHAT WILL ED BE DOING DURING THE VISIT?• Review documentation not available prior to the trip • Interview SEA and LEA staff, principals, teachers, parents, and other

stakeholders • Exit Conference

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Post-Visit – SASA-specific

DRAFT comprehensive monitoring report issued To be issued within 35 business days of the on-site visit SEA has 5 business days to review and provide technical edits and corrections

FINAL report issued SEA Response

SEA has 30 business days to respond to any required actions SASA sends a letter approving proposed

actions or requiring revision/further action May require close collaboration (e.g., CAPs)

and/or follow-up visits Significant compliance findings can lead

to special conditions

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TOP 10 WAYS TO PREPARE FOR A MONITORING VISIT

Preparation is the Key!

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1. Organizational Meeting

• Meet with Key Personnel

• All about Communication!• Discuss program and areas that will be reviewed

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2. Select Main Visit Contact• Main Visit Contact

• Schedule meetings• Ensure lead personnel schedules clear• Organize travel requests / information (as requested by SASA)• Schedule visits to schools (as requested by SASA)

• Schedule conference calls with SASA prior to visit

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3. Select Main Interview ContactsA representative should be appointed as lead

interviewer for each program (and topic) as appropriateTitle I, Part ATitle I, Part D – Neglected, Delinquent or At-RiskTitle X, C - McKinney-VentoTitle III, Part ASIGIDEA Results

These representatives must know who should be present for each indicator and where all documentation is located!

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4. Select Meeting Place• Want meeting place separate from main offices so that all

parties can remain focused• Don’t completely isolate

• All personnel should have cleared scheduled and be ready to participate as necessary• Organized by the applicable lead contact

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5. Complete Monitoring Documents • Complete the Actual Monitoring Document the Monitors will be

using!• Put your best foot forward• Narrative Form

• How?• Answer the Question Being Asked!• Respond to correct fiscal year!

• Include Specific Citations as appropriate.• Note Flexibility Monitoring Webinar Comment

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5. Complete Monitoring Documents (cont.)

OSEP: Critical Elements Analysis Guide (CrEAG) Part BGen. SupervisionFiscal Systems

SASA Monitoring Plan for Formula Grant ProgramsSIG: Application Process, Implementation, Fiscal, Technical

Assistance, Monitoring, Data CollectionTitle I Team: Title I-A Fiduciary, Title I-D, McKinney-VentoTitle III-A: Monitoring of Subgrantees; Standards, Assessments &

Accountability, Instructional Support, FiduciaryESEA Flexibility Monitoring Protocol (Customized)

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5. Complete Monitoring Documents (cont.)

• OSEP’s CrEAG Format Bru

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Critical Element General Supervision (GS)-1: Does the State have a general supervision system that is reasonably designed to identify noncompliance in a timely manner using its different components? Related Question Response A. Describe the components and data sources

of the State’s general supervision system and how they are used to identify noncompliance (e.g., database, self-assessments, desk audits, on-site monitoring, dispute resolution, etc.).

Notes:

Document Review

Notes:

State Monitoring Manual Monitoring Reports Training Calendar

Database Reports APR Indicator 15

Customer Service Info. Notes:

OGC Comments Notes:

Interview Info. Interview Summary Related Requirements 34 CFR §300.100 [Eligibility for assistance] 34 CFR §300.149(a)&(b)[SEA responsibility for general supervision] 34 CFR §300.149(a)&(b)[SEA responsibility for general supervision] 34 CFR §300.200 [Condition of assistance] 34 CFR §300.600 [State monitoring and enforcement] 34 CFR §300.601 [State performance plans and data collection] 34 CFR §300.602 [State use of targets and reporting] 20 U.S.C. 1232d(b)(3)(GEPA)

5. Complete Monitoring Documents (cont.)• SIG Format

• Title I & Title III Team Format

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5. Complete Monitoring Documents (cont.)• ESEA Flexibility Format

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6. Organize Documentation

• Corresponding Binders• Tabbed!• Organized!• Complete Examples!• Connect-the-Dots!

• Copies for yourself • Include any additional documents given to

SASA during the visit

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7. Mock Visit• Practice Makes Perfect! (sort of)• Take the monitoring instrument and review the current

system in place• Interview selected personnel (“test”)• CONDUCT PRIOR TO VISIT

• Chance to change systems as needed!• Chance to create corrective action plans and begin

implementation as needed!

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8. Be Prepared to Address Noncompliance• Be prepared to address any corrective action plan already

created or implemented.

• If no corrective action plan then attempt to create a plan prior to SASA’s arrival.

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9. Review Findings From Your State• Review old monitoring reports• Special Conditions• State Plans

• Did you complete everything you said you would?• Review audits

• Including A-133 Single Audit

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10. Review Monitoring Findings In Other States

• Title I & Title III Reports (2011-2012): http://www2.ed.gov/admins/lead/account/monitoring/reports12/index.html

• SIG Reports: http://www2.ed.gov/programs/sif/monitoring/index.html

• OSEP Continuous Improvement Letters: http://www2.ed.gov/fund/data/report/idea/partbvvltr/chrondate.html

• ESEA Flexibility: http://www2.ed.gov/policy/elsec/guid/esea-flexibility/monitoring/index.html

• Review reports to identify focus areas, trends in findings.

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COMMON FINDINGS ACROSS THE BOARD

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Written Policies and ProceduresConflicting policiesOut-of-date policiesNon-existent policies

If you have to explain how something is done without being able to point to a clear and current written policy or procedure, you probably have some work to do!!!

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Notification Requirements

TimelinessRequired ItemsPublic ReportingExamples:

Title I-A: Annual LEA Report Card, HQT Status Letter, School Improvement Status, SES and Choice Notice

Title III: Student Identification, AMAO DeterminationIDEA: Procedural Safeguards, Stakeholder Input for

SPP/APR

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Fiduciary

Timely review and approval of LEA applications Timely allocation of subgrants Period of availability of funds to LEAs Process for Reallocating Funds Timely Obligation and Liquidation

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Fiduciary

Ensuring Funds are Used for Allowable Uses Consistent with Federal Cost Principles? Consistent with EDGAR? Consistent with program-specific rules? How does SEA/LEA ensure and document allowability?

Program-specific Fiscal Rules MOE Supplement not Supplant Caps

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Fiduciary – High Dollar Areas of Concern

•Procurement•Property / Inventory Management

•Time Distribution

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EDGAR Procurement Rules

• Section 80.36 of EDGAR• All procurement transactions must be conducted with full and

open competition• Conflict of Interest:

• Must have written code of conduct for all employees engaged in contract award and administration

• Must have protest procedures to handle disputes• Follow Procurement Rules!!!

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Inventory Management: Common Problems

• Determining between “equipment” and “supply”

• Determining level of control over item• Tracking non-equipment items

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Equipment Rules

Section 80.32 of EDGARMust have adequate controls in place to account for:

Location of equipment Custody of equipment Security of equipment

Property recordsDescription, serial number or other ID, title information,

acquisition date, cost, percent of federal participation, location, use and condition, and disposition (if applicable)

Physical inventoryMust be performed at least every 2 years

Control system to prevent loss, damage and theftAll incidents must be investigated

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Equipment Rules (cont.)

• Must protect against unauthorized use• May use for other projects as long as use is incidental

and does not interfere with authorized use

• When property is no longer needed, must follow disposition rules:• Transfer to another federal program• Over $5,000 – Keep or sell, but must pay a share based

on the percentage of federal ED participation at initial acquisition

• Under $5,000 – May keep, sell, or dispose of it with no obligation to ED

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Supplies

• Section 80.33 of EDGAR• Supplies are everything else• Do not cost much money• Used fairly quickly

• Examples: pens, paper, toner, laptops• EDGAR does not set out any specific tracking

requirements• As a practical matter, ED expects subgrantees to

track all property purchased with federal funds, in order to prove there has been an allocable benefit to the federal program

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Time Distribution

• Selected Items of Cost: Salaries and Wages• Allowable if proper time distribution records

• Time Distribution Records must be maintained for all employees whose salaries are: • Paid in whole or in part with federal funds• Used to meet a match/cost share requirement

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Time Distribution – Common Problems• Proper Identification of “Cost Objective(s)”• Completion of Required Documentation

• PAR vs. Semi-annual Certification• Correct Signatory?• Correct Time Period?• Time reported add up to 100% time worked?• Signed after-the-fact?

• Quarterly Reconciliations

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Equitable Services

• Timely and Meaningful Consultation• LEA Maintaining Control

• Program • Funds—no reimbursement!• Property—tags, inventory

• Evaluation of Services• Identification of Eligible Students• Administration Costs NOT Charged Against Equitable Services

Set-Aside

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Subrecipient Monitoring

• Comprehensive Monitoring Protocol• Follow-up procedures to ensure corrective actions taken to

address compliance issues• Linking Monitoring Findings with Technical Assistance

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RESOURCES - SASA ESEA Flexibility Monitoring http://www2.ed.gov/policy/elsec/guid/esea-flexibility/monitoring/index.html

SASA Monitoring http://www2.ed.gov/admins/lead/account/monitoring/index.html Indicators (2011-2012) http://www2.ed.gov/admins/lead/account/monitoring/indicators1112.pdf Title I & Title III Reports (2012-2013):

http://www2.ed.gov/admins/lead/account/monitoring/reports13/index.html NASTID Presentation on SASA Monitoring for 2012-2013http://www.nationaltitleiassociation.org/resource/resmgr/t12s/2012-

2013_overview_sasa_moni.pdf

Office of School Turnaround – SIG Monitoring SIG Monitoring Plan http://www2.ed.gov/programs/sif/sigmonitoringplan2012-2013.pdf SIG Reports:

http://www2.ed.gov/programs/sif/monitoring/index.html

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RESOURCES - OSEP

Continuous Improvement Visit Page http://therightidea.tadnet.org/assets/browse_by_folder?folder=36&folder_name=OSEP+Continuous+Improvement+Visits OSEP Continuous Improvement Letters:

http://www2.ed.gov/fund/data/report/idea/partbvvltr/chrondate.html

Part B SPP and APR Determination Letters: http://www2.ed.gov/fund/data/report/idea/partbspap/allyears.html

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Questions?

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This presentation is intended solely to provide general information and does not constitute legal advice.

Attendance at the presentation or later review of these printed materials does not create an attorney-client

relationship with Brustein & Manasevit, PLLC. You should not take any action based upon any information in this

presentation without first consulting legal counsel familiar with your particular circumstances.

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Disclaimer