Due July 1, 2018, school districts with at least 4 schools and that receive at least 50 percent of their funding from the State, will be required to submit a complete plan to NYSED demonstrating how State and local funds will be spent at individual schools within the district. The reporting requires that schools report per-pupil funding levels at individual school building and requires an explanation of how funding is allocated among the schools within a district. This reporting which will be required annually, must include “uniform decision rules regarding allocation of centralized spending to individual schools from all funding sources.”
The New York State School Boards Association has compiled a list of about 75 schools across the State that are affected by this change which includes a handful of districts on Long Island. While many schools across the Island are not required to provide this reporting to the State by the July 1, 2018 deadline, the changes in school-level reporting will apply to all schools as follow:
- For the 2019-2020 school year, all school districts with at least 4 schools would be subject to the reporting requirements.
- All remaining schools are required to comply with the new reporting requirement in the 2020-2021 school year.
The Director of the Budget in consultation with the Commissioner of Education will develop the reporting form. A school district’s increase in aid would be withheld until a determination of compliance is made. Districts would also be required to make this information publicly available on their website.
Another similar requirement will be taking effect starting in the 2018-2019 school year. The Federal Every Student Succeeds Act (ESSA) requires schools nationwide to track school-level spending. The first reports will be due to the State Education Department in December 2019. More details and guidance to come.
Nicholle Mezier, CPA, MBA
Nicholle is a Manager of Cerini & Associates’ audit staff where she brings experience in audit, review, and consulting services to our general business, nonprofit and special education clients. Nicholle has worked with a large number of nonprofit clients, predominantly focusing on social service providers, healthcare providers, foundations, educational institutions, and arts and culture organizations. Nicholle’s technical knowledge allows her to provide specific services, including financial statement audits, internal and claims audits, and nonprofit outsourced accounting services. Nicholle has also contributed to the firm’s various newsletters.