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Overview of ABE Funding

Overview of ABE Funding. Trends in Funding. Funding Sources. Currently, state funds are provided to approved programs (53 consortia) using a mandated aid formula integrating school district population, LEP counts, census no-diploma data, and prior year learner contact hours.

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Overview of ABE Funding

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  1. Overview of ABE Funding

  2. Trends in Funding

  3. Funding Sources • Currently, state funds are provided to approved programs (53 consortia) using a mandated aid formula integrating school district population, LEP counts, census no-diploma data, and prior year learner contact hours. • Competitive grant funds (one-time appropriations) and • Federal ABE funds are also allocated. • Two percent of the annual state appropriation is authorized to support a system of “supplemental services” including staff development, technology, distance learning, and special needs services.

  4. State of Minnesota • Base Population Aid—an amount based on the number of people living in a school district. • Over 20, No Diploma—based on U.S. census data, the number of people in a school district who indicate they do not have a diploma. • K-12 LEP—number of LEP students served through K-12 ESL services in a school district. • Contact Hours—number of hours learners attended in the previous program year. • Federal Government • Each state receives a percentage of the federal allocation based on census data. • Each program in Minnesota receives a percentage of the state’s federal allocation based on the number of contact hours of learners who arenot ASE.

  5. FY 2010 ABE State Aid • State ABE appropriation segmented into 4 components: • Base population aid • Contact hour rate = $5.26 per prior year contact hour • K-12 Limited English Proficient (LEP) rate = $37.45 per K-12 LEP Unit • Over age 20 no diploma rate = $4.88 per district resident without a high school diploma To view your consortium’s state aid spreadsheet on the MDE website, go to:  http://app.education.state.mn.us/MFRSystem/index.do

  6. Increase in State ABE Aid • 3% annual statutory base increase in State ABE Aid • Subject to a corresponding statewide ten year average growth in contact hours • ABE base aid will increase every year by 3% if ABE contact hours grow by 3% or more over the prior ten year period

  7. Federal ABE Aid • Federal ABE aid formula = “Level 1” enrollee contact hours. • Level 1 hours generated by enrollees in all NRS levels except Low and High Adult Secondary Education (ASE) • FY 2010 federal contact hour rate = $0.55

  8. Sample Contact Hour Calculation • Your class has an average of 15 students attending every day. The class meets 3 hours a day and 4 days a week. You teach the class 48 weeks during the 2008-2009 program year. • How much state revenue did the class generate for the 2009-2010 program year? • How much federal revenue did the class generate for the 2009-2010 program year?

  9. Contact Hour Growth Cap • The amount a consortium receives in contact hour revenue may not increase over the previous year by more than the greater of 11% or $10,000.

  10. Gross Revenue Per Contact Hour • A consortium may not receive more than $22 per prior year contact hour in total state aid revenue

  11. Other Sources of ABE Funding • State & federal grants (i.e. EL/civics) • Foundation grants • Private donations

  12. For more information… • Contact Barry Shaffer, State ABE Director barry.shaffer@state.mn.us or 651-582-8442

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