Official Site of The State of New Jersey

If substantive changes to the program plan or grant expenditures are anticipated that meet the criteria listed below after the application has been approved by the New Jersey Department of Education (NJDOE), the grantee is required to submit an amendment to the current-year application.

Criteria Requiring an Amendment

Criteria that require submission of an amendment application are:

• Changes among expenditure categories (measured cumulatively throughout the fiscal year) in excess of ten percent (10%) of the total grant award;
• Moving funds into a budget category for which no funds were previously budgeted or approved (i.e. an unopened budget line);
• Changes in the scope of activities being implemented;
• Changes in the type of equipment, the intended use of approved equipment, or a change in the program in which the equipment will be used;
• Requests to purchase equipment other than those items approved in the grant application (unapproved equipment);
• Approval of or changes in Title I Schoolwide Program designation; or
• Changes in Title I served schools or per pupil expenditures.

Change in Expenditures in Excess of 10%

Grantees are responsible for monitoring the cumulative ten percent level of budget changes.

Change in Scope of Activities

All newly funded activities must be supported in the needs assessment and/or program plan even if funds are being used in existing budget categories.

Change in Type of Equipment

A budget amendment is not required if an eligible recipient wishes to purchase additional pieces of approved equipment.

Board Approval for Submission of the Grant Amendment

The grantee must certify in the assurances of the grant application amendment that board approval for submission of the amendment has been, or will promptly be obtained, and that the certified board resolutions and board minutes will remain on file and be available upon request.

Central Contacts

The entitlement application submission process, which is online through the Electronic Web-Enabled Grant (EWEG) system, requires that the grantee complete the Local Education Agency (LEA) Central Contact sections (either by copying prior year contact information or entering new contact information) prior to creating an application. This contact information may be updated at any time during the grant period and will automatically populate the current grant applications. It is important that grantees keep Central Contacts information current as this information is used to communicate with grantees throughout the grant process. Grantees must agree to the General Assurances before they can create a new application. General Assurances for all entitlement programs are now standardized and located under LEA Central Contacts. Grant specific assurances will still appear in each grant application.

SAM UEI Number

The Federal Government requires that all applicants for Federal grants:

• have a System for Award Management Unique Entity ID (SAM UEI) Number; and
• renew the registration annually.

A currently registered SAM UEI number is required in order to submit:

• a grant application; and
• a reimbursement request for payment of any grant funds.

The grantee must enter a current SAM expiration date. In most cases, this will be done by the grantee’s business office or business administrator. To obtain a SAM UEI number, go to SAM.gov.

Board Approval

The grantee must certify in the assurances of the grant application that:

• board approval for submission of the application has been, or will promptly be, obtained; and
• certified board resolutions and board minutes will remain on file and be available upon request.

Late Submissions

Grantees that cannot submit an application by its due date may submit a request for an extension to the New Jersey Department of Education's Office of Grants Management. However, these requests must be submitted prior to the stated due date. Note that such approvals are rarely granted, and in fact may be granted only for extreme circumstances that are clearly beyond the grantee’s control.

The notification of allocation amounts for the subsequent program year are distributed to eligible grantees as soon as they are received from the federal government and loaded into the Electronic Web-enable Grant (EWEG) system. For certain grant programs, the grantee notifications include amounts or percentages for eligible nonprofit nonpublic schools, as applicable.

The New Jersey Department of Education (NJDOE) allocates entitlement grant funds to each eligible grantee that submits an approvable application. Allocations are calculated separately based on the federal requirements in the formula for each of the entitlement grant programs.

Allocation Refusal

The grantee (or nonpublic school, as applicable) may choose to refuse its allocation for one or more of the grant programs by completing the Refusal of Funds form in the EWEG application. Refer to the guidance for the specific grant program for additional detailed information.

(For ESEA and IDEA Only)

For ESEA and IDEA, the total amount of budgeted and expended current year funds in the approved final expenditure report (FER) includes prior-year overpayment and/or carryover funds. Upon final NJDOE approval of the current year FER, these funds will transfer into a separate line in the allocation section of the subsequent year’s application. At this point, if the grantee’s subsequent year’s grant application does not have final NJDOE approval, the grantee must budget the carryover funds as part of the original application submission. These carryover funds will be reviewed as part of the original application approval process. If, however, the subsequent year’s grant application has final NJDOE approval, the grantee must budget the carryover funds—and/or overpayment funds, if applicable—by submitting an amendment to that application.

In general, those carryover funds may be reallocated to budget categories other than those categories specified in the original application, providing the funds are expended on approved activities in accordance with program guidelines in effect during the carryover period. However, there are federally mandated restrictions on the amount that can be carried over for certain grant programs, as well as federal restrictions on the carry-over timespan. Refer to the guidance for the specific grant program for additional information.

Perkins (Carryover not Allowed)

Carryover of funds is not allowed in either Perkins Secondary or Postsecondary grants. Therefore, any Perkins grant funds not expended by the end of the project period are no longer available to the grantee.

FIFO Accounting Principles

As carryover funds are expended first consistent with FIFO accounting principles (First In, First Out), the grantee must expend in the current year at least the total amount of funds that were carried over from the prior year.

Unused Carryover Funds

If the carryover funds are not expended by the grantee by the end of the carryover project period, the unused carryover funds must be released (these amounts are indicated on the release/refund lines of the budget expenditure summary), or returned to the NJDOE with a copy of the EWEG ‘Expenditure Summary’ page, by a check made payable to Treasurer, State of New Jersey, and mailed as follows:

New Jersey Department of Education
Office of Budget
Revenue and Grant Accounting
P.O. Box 500
Trenton, NJ 08625-0500

State agencies should not send refund checks, but instead must process the refund as a transfer of funds through the state accounting system. Contact the Office of Budget for assistance.

Grantees may choose to offer services as a consortium for any of the entitlement grant programs except the ESEA Title I program. This provision is especially useful for grantees that receive an ESEA Title III allocation of less than the federally required minimum of $10,000, and requires partner grantees in order to meet the $10,000 minimum allocation requirement. If a grantee cannot meet the minimum required allocation, they must participate in a consortium to meet the allocation requirement.

Lead Agency Responsibilities

Each consortium group designates a Lead Agency (the Applicant Agency), and the others in the group are the participant agencies in the consortium. Upon final verification and approval of the consortium information, the individual grant allocations for all participating agencies will be aggregated into one total allocation for the consortium’s application.

The Lead Agency is responsible for the following:

• confirming each participant agency in the consortium in EWEG;
• submitting a single grant application on behalf of the consortium participants;
• submitting all required records and reports on behalf of the consortium’s participant agencies;
• coordinating services for its nonpublic schools and  for those of the participating agencies; and
• the use of the total amount of grant funds allocated (e.g. for payment of teachers, vendors, etc.).

Actions Not Permitted

The Lead Agency cannot, under any circumstances, reimburse funds back to the participant agencies. Refer to the guidance for the specific grant program for additional detailed information.

(2 CFR 200.313)

Equipment

Equipment items are any instrument, machine, apparatus, or set of articles that exceeds the capitalization threshold (currently $2,000 per unit as noted in the Uniform Minimum Chart of Accounts, Handbook 2R2) and meets all of the following criteria:

1. It retains its original shape, appearance, and character with use;
2. It does not lose its identity through fabrication or incorporation into a different or more complex unit or substance;
3. It is nonexpendable; that is, if the item is damaged or some of its parts are lost or worn out, it is more feasible to repair the item than to replace it with an entirely new unit;
4. Under normal conditions of use, including reasonable care and maintenance, it can be expected to serve its principal purpose for at least one year.

Supplies

Items for which the unit cost is not more than $2,000, and/or that do not otherwise meet the above equipment criteria (1–4) should generally be classified as supplies.

Perkins Equipment Requirements

For Perkins grant programs only, equipment must be received, installed and available for student instruction no later than April 30 of each project period. Refer to the guidelines for the Perkins grant program for additional detailed guidance related to equipment purchases.

Equipment Inventory Requirements

The grantee must maintain a specific inventory of any equipment, items/property purchased with federal grant funds until transfer, replacement, or disposition takes place. The grantee that cannot produce any such equipment, item/property upon request during an audit review risks an audit finding, even if the purchase was allowable under the relevant federal grant program.

As set forth in 2 CFR 200.313(d), the inventory must, at a minimum, include the following information:

1. Description of the item/property;
2. Serial number, model number, or other identification number (bar code or local identifying number);
3. Funding source of the item/property;
4. Titleholder (name of funding title/grant);
5. Acquisition date;
6. Acquisition cost of the item/property;
7. Records showing maintenance procedures to keep item/property in good condition;
8. Percentage of federal participation in the cost of the item/property;
9. Location, use, and condition of the item/property, and date information was reported; and
10. All pertinent information on the ultimate transfer, replacement or disposition (including date of disposal and the sale of the item/property, if applicable) when the item/property is retired from service.

Physical Inventory Requirements

A physical inventory of such equipment, item/property must be taken and the results reconciled with the inventory property records at least once every two years to:

1. confirm the equipment item/property was found at the location indicated;
2. assess condition of the equipment item/property; and
3. verify equipment, item/property is located in a secure environment that can be locked when not in use.

Inventory Control System and Records

An inventory control system and records showing maintenance procedures must be developed and implemented to ensure adequate safeguards to prevent loss, damage or theft of the item/property. Any loss, damage, or theft must be investigated and fully documented by local law enforcement officials. This specific inventory information must be updated as equipment item/property is purged or new purchases are made.

Disposition of Equipment

Disposition of any equipment, item/property acquired with federal grant funds, but that is no longer needed for the original project or program or for other activities currently or previously supported by federal funds, must be in accordance with the grant requirements. In the absence of specific instructions of the federal grant, such items valued at $5,000 or less may be retained, sold or otherwise disposed of with no further federal obligation. Refer to 2 CFR 200.313(e), and the guidance for the specific grant program for additional, detailed information.

Pursuant to 2 CFR 200.343, the New Jersey Department of Education (NJDOE) is responsible to ensure that all entitlement grants are closed out with a timely annual final reporting of grant program expenditures for the approved program objectives and activities. The final expenditure reports (FER) are available to grantees in EWEG on or about August 15.

FER Requirements

The final expenditure report for each program, including each of the individual ESEA Titles, must provide the budget expenditures and equipment purchases, as appropriate. As certain grant programs require additional program reporting, please refer to the guidance for the specific grant program for additional detailed information as it applies to the grant.

The FER for a given grant year contains financial information including, but not limited to:

• total expenditures;
• funds paid to date; unexpended funds;
• overpayments; and
• refunds and release of funds to the NJDOE.

Accounting of Current-Year Funds

This integrated information allows the electronic grants management system to close-out the current grant period by providing grantees with an exact accounting of the current year funds (which, for ESEA and IDEA, includes any prior-year overpayment and/or carryover amounts, as applicable) as these relate to the amount of:

1. funds that remain to be paid to the grantee;
2. funds that were over paid to the grantee and will need to be subtracted (offset) from unexpended balances; and
3. unexpended funds that can be carried forward, as applicable, into the subsequent grant year (for ESEA and IDEA only).

Calculations of Total Grant Expenditures

The Final Expenditure Reports are electronically linked to New Jersey’s electronic payment system. Thus, the approval of an FER triggers calculations of the total grant expenditures and any previous payments that were made to the grantee for the grant year.

Based on these final calculations, the system does one or more of the following:

• automatically generates a final payment to the grantee for any expenditures that were not previously paid through the submission of a reimbursement request;
• indicates a carryover of grant funds to the subsequent grant year;
• indicates that a refund of an overpayment is due from the grantee; and/or
• indicates a release of grant funds.

Amendment to FER (Not Permitted)

Because of the direct connection between the electronic FERs and the electronic payment system, any changes to an approved final report may result in payment system problems that affect the disbursement of any payments due to the grantee. As a result, amendments to FERs are not permitted. In extremely rare circumstances, the department may consider making an exception, but only after careful consideration of all of the possible effects on the grantee and the system. Therefore, it is critical that staff with responsibility for the completion and submission of the FERs do so with the utmost care and consideration of the grant expenditure information to ensure that the reports are accurate upon submission.

Error in FER

In the event that an error is discovered by the grantee after submission of the report, but prior to FER approval, NJDOE’s Office of Grants Management should be contacted immediately with the request that the FER be returned for revisions. However, once the report is approved, there is no option to return it for changes or to amend it. Instead, any necessary adjustments to correct the error should be reflected in the grantee’s internal accounting records, and supporting documentation should be maintained in the grantee’s internal audit files for the grant.

Required Certification

Pursuant to 2 CFR 200.415 of the Uniform Grant Guidance, upon submitting the Final Expenditure Report, the grantee is required to certify the following:

“By signing this report, I certify to the best of my knowledge and belief that the report is true, complete, and accurate, and the expenditures, disbursements and cash receipts are for the purposes and objectives set forth in the terms and conditions of the Federal award. I am aware that any false, fictitious, or fraudulent information or the omission of any material fact, may subject me to criminal, civil or administrative penalties for fraud, false statements, false claims or otherwise. (U.S. Code Title 18, Section 1001 and Title 31, Sections 3729-3730 and 3801-3812).”

The New Jersey Department of Education (NJDOE) is responsible for fiscal and program oversight of the federal grant programs. As such, the IDEA and ESEA grant periods are July 1 through September 30, and all grants must be obligated within that grant period, pursuant to federal requirement.

Liquidation Deadline (October 15)

Grantees must liquidate all entitlement grant funds by October 15 to allow NJDOE to meet its federal obligations and deadlines for closeout.

Pursuant to federal requirement, grantees that receive federal funds must budget at least the same amount of funds (from local, or state and local funds) for educational programs and services as was expended in the previous fiscal year for which expenditures are available. Maintenance of Effort (MOE) is calculated annually to determine whether or not the requirement has been met. In general, failure by the grantee to meet this requirement may result in a proportional reduction in the subsequent year’s grant. As the specific calculation process and requirements differ for the Elementary and Secondary Education Act (ESEA) and Individuals with Disabilities Education Act (IDEA) grant programs, please refer to the guidance for the specific grant program for additional detailed information as it applies to the grant. Note that this requirement is not applicable to the Perkins grant programs.

Pursuant to regulatory requirements, a grantee that receives an entitlement grant may begin to obligate funds as of the project start date on July 1, only if an application has been successfully submitted through EWEG (i.e., the application is deemed substantially approvable) by the stated application due date or the project start date, whichever is later.

If the application is successfully submitted after July 1 and the stated due date, the earliest that funds may be obligated is the date the application is successfully submitted through EWEG (unless prior approval has been obtained by the grantee, see Late Submission of the Grant Application below).

After a grantee’s grant application has been approved, an electronic notification is automatically sent through EWEG to the person(s) listed in the LEA Central Contacts. At that point, the grantee may begin to request, through EWEG, reimbursement for funds already expended, or for funds that are anticipated to be expended by the end of the current month for the grant program.

Monthly Reimbursement Requests

Grantees are required to submit reimbursement requests on a monthly basis for expenditures incurred that month for each approved entitlement grant. Failure to submit regular reimbursement requests may flag a grantee for monitoring, for example, due to the possibility that the grantee is not operating an approved grant program, or not expending grant funds appropriately for the program. Grantees may submit one reimbursement request for each program title per month. The New Jersey Department of Education schedules such payments to grantees once per month. In general, it is expected that for reimbursement requests that are submitted through EWEG prior to the 15^th of the month, the grantee should receive payment within the first week of the following month.

Required Certification

Pursuant to 2 CFR 200.415 of the Uniform Grant Guidance, upon submitting each reimbursement request, the grantee is required to certify the following:

“By signing this report, I certify to the best of my knowledge and belief that the report is true, complete, and accurate, and the expenditures, disbursements and cash receipts are for the purposes and objectives set forth in the terms and conditions of the Federal award. I am aware that any false, fictitious, or fraudulent information or the omission of any material fact may subject me to criminal, civil or administrative penalties for fraud, false statements, false claims or otherwise. (U.S. Code Title 18, Section 1001 and Title 31, Sections 3729-3730 and 3801-3812).”

(2 CFR 200.333)

The grantee is responsible for the use of the grant funds, as well as the retention of all grant-related financial records, supporting documents, statistical records, etc., most of which must be retained per federal guidance for a period of three years from the date of submission of the final expenditure report. In addition, records for real property and equipment acquired with Federal funds must be retained for three years after final disposition of the real property or equipment. For more detailed guidance, which includes records that may require a longer retention period, please refer to the School District and Charter School Record Retention and Disposition Schedule (#M700101).

Pursuant to federal statutes, in general, a grantee may use federal grant funds only to supplement and, to the extent practical, increase the level of funds that would, in the absence of federal funds, be made available from nonfederal sources. In no case may the grantee use federal grant funds in place of (i.e., to supplant) funds from nonfederal sources.

Generally, the grantee is presumed to fund state-mandated programs with local and/or state funds. The use of federal funds for these programs, in place of the local and/or state funds, would generally be considered supplanting. In certain instances, however, the grantee may overcome this supplanting presumption. The grantee would be required to demonstrate through written documentation (e.g., state or local legislative action, budget information, or other materials) that it does not have the funds necessary to implement the program or activity and that the program or activity would not be carried out in the absence of federal funds.

Actions Not Permitted

The grantee may not decrease state or local funds for particular activities because federal funds are available. Refer to guidance for the specific grant program for additional detailed information.