Administrators LEAD & MANAGE MY SCHOOL
Alternative Method to Distribute Title I Funds
Local educational agencies (LEAs) with fewer than 20,000 total residents

July 15, 2002

Mr. Paul Cahill
Administrative Consultant
Bureau of Administration and
  School Improvement Services
Iowa Department of Education
Grimes State Office Building
Des Moines, Iowa 50319-0146

Dear Mr. Cahill:

We are approving your State's continued use of its current alternative method to distribute Title I, Part A Basic, Concentration, and Targeted Grant funds to local educational agencies (LEAs) with fewer than 20,000 total residents. Iowa's alternative method would generally be based primarily on Iowa's count of free lunch children multiplied by 0.5 and State revenue data on the number of poor children multiplied by 0.5. We originally approved this method in 1999.

The use of an alternative method is authorized in sections 1124(a)(2)(B), 1124A(a)(4)(A), and 1125(d) of the Title I statute. At this time, however, it is not clear whether you may use this alternative method to distribute Title I Education Finance Incentive Grants authorized in section 1125A of the statute. We may regulate in order to give States this flexibility. We hope to make a decision soon and will keep you informed.

This approval, as it applies to Basic, Concentration, and Targeted Grants, remains in effect for the duration of the current Title I authorization. However, in order to use the most current data, you must update those portions of the data that change every year. If you wish to change your alternative method for distributing Title I, Part A Basic, Concentration, and Targeted Grant funds at a later time, please resubmit a request for approval.

Please note that any affected LEA that is dissatisfied with the State's determination of its grant under your alternative method may appeal that determination to the Secretary. If you have any questions concerning our approval, please contact Jacquelyn C. Jackson, Acting Director, Student Achievement and School Accountability Programs at (202) 260-0826.

Sincerely,
Susan B. Neuman, Ed.D.
Assistant Secretary
Office of Elementary and Secondary Education

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