IDEA's Excess Cost Calculation
One of the ways IDEA establishes that an LEA is meeting the supplement not supplant provision is through the Excess Cost Calculation. It is defined in 34 CFR §300.16 as costs that are in excess of the average annual per student expenditure level for an elementary school or secondary school student. This demonstrates that the LEA is not using federal funds in place of local and state funds for the core educational program in regard to students with disabilities.
As with allowable costs and MOE compliance, the SEA is required to ensure that LEAs are completing the excess cost calculation annually to determine the supplement not supplant provision is being met. The federal single audit also requires independent auditors to test the LEA’s compliance with the excess cost calculation as part of the special education cluster review.
To assist LEAs in compiling the calculation, DPI will annually create an Excel workbook which instructs the LEA on which financial and student count data must be used. The workbook then performs the correct calculations.
This workbook must be completed annually and maintained as a grant record by the LEA. In addition to being part of the single audit review, DPI may also select LEAs to submit the completed workbook with supporting documentation to ensure LEA compliance.
This guide provides an overview of the supplement not supplant provision met through the Excess Cost Calculation. The guide includes step-by-step instructions for completing the Excess Cost Calculation workbook. The final pages of the guide consist of questions from the field with answers.
Excess Cost Calculation Recorded Webinar with PowerPoint or Handout
Recorded on March 20, 2015. The PowerPoint and Handout PDFs are companion pieces to the recorded webinar.
Excess Cost Workbooks
- FY 2018-19 Excess Cost Base Calculation - Complete this workbook for FY 2019-20. The data from the base calculation tab of this workbook can be entered into the calculation results in the FY 2018-19 Excess Cost Base Calculation workbook to determine FY 2018-19 compliance.
- FY 2017-18 Excess Cost Base Calculation - Complete this workbook for FY 2018-19.
- FY 2016-17 Excess Cost Base Calculation - Complete this workbook for FY 2017-18.
- FY 2015-16 Excess Cost Base Calculation - Complete this workbook for FY 2016-17.
- FY 2014-15 Excess Cost Base Calculation - Complete this workbook for FY 2015-16.
- FY 2013-14 Excess Cost Base Calculation - Complete this workbook for FY 2014-15.
Excess Cost Guidance from the Office of Special Education Programs (OSEP)
- OSEP's Excess Cost PowerPoint (2012)
- Kennedy Letter on Excess Cost (2009)
- Plagata-Neubauer Letter on Excess Cost (2008)