Fed funds subsidized PSS payroll

Federal assistance enabled the Public School System to stay afloat in its Fiscal Year 2000 personnel expenditure with a total of $6.4 million expended to subsidize the PSS payroll out of the $17.2 million appropriated federal budget.

The remaining $8.6 million was obligated to the school system’s operating expenses during the previous fiscal year.

According to the Fiscal and Budget Office, while many of the federal grants received by PSS are primarily for supplemental operating needs, relying heavily on federal resources to finance the local personnel was not expected.

“Federal grants are not supposed to be shelled out for basic needs since they are supplemental funds but it has helped PSS get by,” according to acting Fiscal Officer Bill Matson.

In FY 2000, PSS took possession of over $21 million in fresh funds from the federal government through State Education Agency and Local Education Agency grants.

Mr. Matson explained that the grants have various restrictions or conditions including the standard federal laws on supplementing and not supplanting funds and maintenance of effort being applicable.

But the restrictions do not prohibit PSS or the CNMI to replace local funds with federal dollars and require continued CNMI financial support of PSS at least at the prior year funding level, according to PSS.

The requirements ensure that the federal funds are used for additional programs or to meet the needs of students above that provided by the CNMI and do not reduce the basic financial burden of educating students.

Last year, PSS received grants for Special Education, Consolidation, Robert Byrd Student Assistance, Early Childhood Special Education, Christa McAuliffe Fellowship, Head Start, Child Care, Aids/HIV, Food Service, Transit Funds, Goals 2000, Technology Literacy, Micro Impact, and non instructional grants under the U.S. Dept. of Education’s National Center for Education Statistics.

For the current fiscal year, PSS anticipates to obtain an increase in the federally-funded resources especially in the area of special education which is expected to rise by seven percent from the previous funding year.

“This is the only dramatic increase we anticipate and that would only translate to a couple hundred dollars,” said Mr. Matson.

The SPED program includes a cluster of activities designed to assist children from birth to 21 who possess one of the official USDE disability conditions.

According to PSS, most of the funds go directly to salaries of the teachers, therapists, or specialists while small amounts are made available for supplies, materials or assistive technology equipment needed by students with disabilities.

Some funds are also expended specifically to develop and train PSS special education staff. (MM)