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(1) Legislative appropriations for special education are administered by the Superintendent of Public Instruction. Expenditures of funds received from the legislative appropriations are limited to certain allowable costs associated with the provision of educational services to children with disabilities. The following general provisions apply to these funds:

(a) Through the block grant system, districts are allowed flexibility in methods of providing special education programs within allowable cost guidelines.

(b) The distribution of the funds is based primarily on current ANB.

(c) Expenditures of the funds are limited to services to students with disabilities ages 3-21.

(d) Local district contributions, referred to as local match, are required.

(e) Instructional and related services block grants and local matching funds may only be spent for special education allowable costs as approved by the Superintendent of Public Instruction. Instructional block grant funds plus the corresponding local matching funds may be expended for instructional and/or related services. Related services block grant funds plus corresponding local matching funds may be expended for instructional services and/or related services subject to matching requirements for schools that are participating members of a cooperative.

(f) Expenditure of special education allowable costs must be reported using specific accounting codes.

(2) Special education allowable cost expenditures must be reported annually in the trustees' financial summary on forms prescribed and furnished by the Superintendent of Public Instruction.

(3) The Superintendent of Public Instruction shall use the trustees' financial summary to determine the special education allowable cost payments to districts and cooperatives.

History: 20-7-431, 20-9-321, MCA; IMP, 20-7-431, 20-9-321, MCA; NEW, 1995 MAR p. 356, Eff. 3/17/95; TRANS, 2000 MAR p. 1048, Eff. 7/1/00; AMD, 2002 MAR p. 1740, Eff. 6/28/02; AMD, 2006 MAR p. 3070, Eff. 12/22/06.

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