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Rural Education Achievement Program’s Alternative Fund Use Authority (REAP-AFUA Flexibility)

The Rural Education Achievement Program (REAP) authorized under Title V of ESEA is made up of two formula grant programs authorized under REAP: the Small, Rural School Achievement (SRSA) program (administered by USDE) and the Rural and Low-Income School (RLIS) program (administered by DPI).

Both programs that are part of REAP are designed to help rural districts that may lack the personnel and resources to compete effectively for Federal competitive grants and that often receive grant allocations in amounts that are too small to be effective in meeting their intended purposes.

An LEA eligible for the SRSA program not only benefits from SRSA grant program funds, but also may exercise a key flexibility provision in Section 5211(a) of the ESEA, known as the Alternative Fund Use Authority (AFUA).

REAP-AFUA is specifically designed to give small, rural LEAs greater latitude to spend their Federal funds in ways that best address an LEA’s particular needs. LEAs are strongly encouraged to consider how funds used under AFUA can support implementation and strengthening of their local education plans. REAP-AFUA gives an LEA more options for spending its Title II, Part A and Title IV, Part A formula funds.

Under REAP-AFUA, an eligible LEA does not have to receive funds under a particular program (e.g., Title III) in order to spend its Title II, Part A or IV, Part A funds on an allowable local activity under that program. For example, an LEA exercising REAP-AFUA that does not receive funds under Part A of Title I may nonetheless use its formula Title II, Part A or IV, Part A funds for Title I, Part A activities.

Funds eligible for AFUA and the allowable uses of those funds
Section 5211(c) permits an eligible LEA to use all or a part of its formula Title II, Part A and Title IV, Part A funds to carry out activities authorized under one or more of the five programs listed in section 5211(a):

  • Title I, Part A (Improving Basic Programs Operated by LEAs);
  • Title II, Part A (Supporting Effective Instruction);
  • Title III (Language Instruction for English Learners and Immigrant Students);
  • Title IV, Part A (Student Support and Academic Enrichment); and
  • Title IV, Part B (21st Century Community Learning Centers).

An LEA that meets the SRSA program eligibility requirements may exercise AFUA without DPI’s approval. However, an eligible LEA must notify DPI each year of its intent to exercise REAP-AFUA in WISEgrants.

Coming Soon: Instructions for exercising REAP-AFUA in WISEgrants.

REAP-AFUA does not authorize the transfer of funds from one program to another. Transferring funds is different.Information about transferring funds is available on this webpage: https://dpi.wi.gov/esea/transferability.

Click here for more information about funding flexibilitites under the ESEA.

Key Distinctions between AUFA and Transferability
  REAP-AFUA       Transferability
Which LEAs can exercise this authority? LEAs eligible for SRSA.  All LEAs that receive Title II, Part A or Title IV, Part A funds.
Which funds are eligible for this flexibility?

Some or all of the LEA’s Title II, Part A and Title IV, Part A funds may be spent on activities allowed under:
Title I-A
Title II-A;
Title III
Title IV-A or IV-B; and/or
Title V-B (SRSA and RLIS)

Some or all of the LEA’s Title II, Part A and Title IV, Part A may be transferred into:
Title I-A, C, and D
Title II-A;
Title III
Title IV-A; and/or
Title V-B (SRSA and RLIS)

What requirements apply to how an LEA spends the eligible funds?

An LEA must spend the funds on local activities authorized under eligible ESEA programs.                

For example, if an LEA is using Title II-A funds under REAP-AFUA, then the Title II-A supplement, not supplant requirements apply

An LEA must treat transferred funds as all other funds allocated under the eligible ESEA program or programs into which the LEA has transferred funds.

For example, if an LEA transfers Title II-A funds to Title I, then the Title I supplement, not supplant requirements apply.

Does an LEA need to receive funds under a given program in order to spend eligible funds under that program? No. For example, an LEA exercising REAP-AFUA that does not receive a TIII-A allocation may use its formula Title II-A or IV- A funds for Title III-A activities to support English learners. Yes. An LEA must receive an allocation in order to transfer its Title II- A or IV- A funds into that program. For example, an LEA must receive Title I-A funds in order for an LEA to transfer Title IV-A to Title I-A to support Title I-activities.
How does this impact the equitable services for private school students, staff, and families?

An LEA must determine the private school share for equitable services from Title II-A and IV- A allocations before exercising REAP-AFUA.

The LEA then has the option to exercise REAP-AFUA for the public school share only, the private school share only, or both the public and private school share.

LEAs exercising REAP-AFUA do not have to use their REAP-AFUA funds in the same manner for public and private schools.

For example, after timely and meaningful consultation with private school officials, an LEA may use its Titles II-A and IV-A REAP-AFUA public funds for school improvement activities for public schools under Title I-A, but use the Title II-A and IV-A REAP-AFUA private funds for professional development for private school teachers under Title II, Part A.

An LEA must engage in timely and meaningful consultation with private school officials before transferring funds.

The share for equitable services for both the Title where the funds are coming from as well as the Title(s) where the funds are going to is determined once the transfer is complete.

The transferred funds must follow the requirements of the Title where the funds were transferred to.

For example, if an LEA transfers Title II-A funds to Title I, the LEA must follow the Title I requirements for equitable services.

ESEA section 5103(e)(2)

What steps does an eligible LEA need to take to exercise this flexibility?

An eligible LEA may exercise REAP-AFUA without the approval from DPI or USDE.

However, the LEA must follow the steps in WISEgrants to exercise REAP-AFUA.

ESEA section 5211(a)(2)

Before transferring funds, an LEA must conduct timely and meaningful consultation with appropriate private school officials, modify each affected notify DPI of the transfer at least 30 days before the transfer's effective date, update the Title application to reflect the transfer and submit the application to DPI within 30 days of the transfer. 

The Transfer Process webpage lists the steps for transferring funds.

ESEA section 5103(d)(2)