Economic Impact Aid
Cheryl Di Grazia
Lisa Diamond
Economic Impact Aide
What is it?
EIA is a state categorical program for kindergarten through grade twelve to
support programs and activities designed to assist English learners achieve
proficiency in the English language and to support programs and activities
designed to improve the academic achievement of educationally and
economically disadvantaged pupils.
Of 60 categorical programs in California, EIA is one of 20 left intact.
Another 40 state categorical programs were made discretionary through
2012–13.
Limited English Proficient (LEP) categorical funds were rolled into EIA.
Why is EIA important to California?
California’s K-12 System: A brief overview
The students
•California is by far the largest state and educates one in eight public school students in the United States.
•50% of California students are Latino; 33% are white.
•California’s students: 50% from low-income families; 25% are identified as English learners
The system
•The state contributes about $6 out of every $10 that goes to public education, and state leaders largely control
how much funding each school district in California receives.
•The state has nearly 1,000 school districts that range in size from a few students to about 700,000.
•Each district has an elected school board that determines how to spend the money allocated by the state, but
the board does so within the constraints of state and federal law and (with very few exceptions) collective
bargaining commitments.
•In 2008–09, California had 750 charter schools, serving 4.6% of the state’s K–12 student population.
The resources available
•California’s expenditures per pupil began losing ground compared with the national average in the late 1970s
and have remained below the national average since 1982.
•More than 80% of school expenditures are for salaries and benefits for certificated staff—including teachers,
administrators, and other professionals—and classified staff, such as bus drivers, clerks, and cafeteria workers.
•California public schools have only about three-quarters as many staff members as do schools on average in the
United States.
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Who is eligible?
-
K-12 students
-
Educationally disadvantaged students
- EL learners
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Are there other eligibility considerations?
-
Yes. The only local education agencies eligible for
this program are public school districts and counties
operating juvenile court schools. Other County Offices,
Direct Funded Charters, and Locally Funded Charters
are excluded.
-
ELAP funds are rolled into EIA 2010-2011
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Eligibility
(1) additional programs and services for English learners (limited-English,
proficient LEP)
(2) State Compensatory Education (SCE) services for educationally
disadvantaged students as determined by the LEA
(3) Must adhere to the Single Plan for Student Achievement (SPSA), which calls
for the content of the SPSA be aligned with school goals for improving pupil
achievement.
(EC 64100 (f))
The SPSA shall, at a minimum, address how funds provided to the school through
any of the sources identified in Section 64000 will be used to improve the
academic performance of all pupils to the level of the performance goals, as
established by the Academic Performance Index.
The SPSA shall be reviewed annually and updated, including proposed
expenditures of funds allocated to the school through the consolidated application,
by the school site council…
(EC 64100 (g))
Categorical Funding
State & Federal
: State & Federal Funding
• What is it?
• Some allocations, such as instructional materials, come
automatically to school districts.
• Others, such as for class size reduction, require the
district to apply for the money.
• Still others are based on the characteristics of the
children or families in a school district, such as lowincome, English learners, and migrant students.
• Other programs are for specific activities or expenses,
such as transportation or professional development.
• *Most of the federal funds flow through the
California Department of Education.
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EIA Funding
• How is it allocated?
• There is a formula!
• District per pupil rate times the sum of: 1) Prior year
English Learner count, 2) Current year Title I Formula
child count, and 3) Weighted Concentration Factor.
• County juvenile court schools: a) use their
(adjusted) Free Meal eligible count instead of Title I
Formula Children, and b) the statewide average per
pupil rate (currently $318.76) is used as their per pupil
rate.
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What can EIA be used for?
- Purchase of supplemental materials
-Expenses that support paraprofessionals, supplemental
resource teachers, and the operation of EL advisory
committees
Note: EIA Funds shall supplement and not supplant
existing resources at the school site
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EIA 10-11: About a Billion Dollars
• Economic Impact Aid*
.........................................$942,000,000
• Policymakers merged the $51 million English
Language Acquisition Program (ELAP) with
Economic Impact Aid (EIA), but also reduced
total funding for EIA due to lower counts of
eligible students.

PURPOSE
ELIGIBILITY
FUNDING PRINCIPLES
LEA
SCHOOL: EIA/LEP
SCHOOL: EIA/SCE
EIA is a state categorical program for
To provide supplemental support programs, A school shall use EIA/SCE funds to
kindergarten through grade twelve to support: services, and activities to assure that LEP support programs and activities designed
(1) additional programs and services for
students achieve proficiency in the English to assist educationally disadvantaged
Limited English Proficient (LEP) students and, language as rapidly as practicable and to youth (EDY) achieve state standard
(2) State Compensatory Education (SCE)
support programs and activities to improve proficiency levels.
services for educationally disadvantaged
the academic achievement of English
youth (EDY) as determined by the LEA.
learners.
EIA funding is open to all public school
EIA/LEP must be allocated to every site
districts that request participation using Part I enrolling identified LEP students. These
of the annual Consolidated Application for
funds may not be allocated to sites
funds.
reporting zero LEP students.
Charter schools receive “in lieu” EIA funds
through their Block grant, not the ConApp.
County offices of education operating juvenile
court schools are eligible for EIA as of 201011.
Maintenance of effort – Districts maintaining Nothing contained in Section 52168 of the
programs under this chapter shall assure that CA ED Code, shall be interpreted to
the sums of local and state apportionment
authorize school districts to reduce per
resources utilized in programs for participating pupil expenditures from local, state, or
students have not been reduced.
federal sources for the education of pupils
of limited English proficiency.

ALLOWABLE
EXPENDITURES

Funds received by school districts for
EIA shall supplement, not supplant,
existing resources at the school site.
85 percent of LEA entitlement must be
apportioned to school sites, via the
ConApp, and used to provide direct
services to eligible pupils.






Supplemental teaching materials
Paraprofessionals
Supplemental LEP professional
development for teachers and
paraprofessionals
Parent involvement
Resource teachers
Other “reasonable” district expenses
All EDY inclusive of LEP students
School is eligible for SCE if:
25% low income, or
25% LEP, or
50% EDY


Funding should be directed to schools
with highest concentrations of EDY.
Where the EDY includes children who
speak English as a second language,
programs should include early English
language instruction & the use of
teachers, aides, or volunteers who are
proficient in the child’s primary language.





Reduction ratios of pupils to
teachers
Special efforts in reading
instruction
Preschool programs
After-school tutoring programs
Remedial and corrective programs
See EC 54422/23 for full
description.
EIA Entitlements
District
Eligible Per Pupil Total
ELAP
Increase
%
Change
Pajaro
14,523
$292.28
$4,524,850
$280,068
10.01%
Soquel
519
$285.26
$159,880
$10,986
11.14%
Scotts
Valley
206
$259.65
$55,789
$2301
16.38%
Santa
Cruz
1110
$303.69
$347,349
$10,253
16.35%
Salinas
6528
$311.21
$2,160,785
$129,206
3.25%
Eastside
7631
$338.50
$2,583,094
$0
-2.55%
Something to consider……
Site leader financial training appears to be lacking in many
districts
*The survey asked a number of questions that explored the relationship between the
district office and school sites as it pertains to financial management and resource
allocation.
*There appears to be some disconnect between districts’ expectations of site leaders
and the training provided to them. The vast majority of CBO’s report that their district
clearly communicates to principals the scope of their financial authority, and threequarters say principals are held accountable for sound financial management.
However, only 58.6% say that principals receive training on financial management
and budgeting to either a good or
great extent, and just 38.5% say the same is true for site-level budget and policy
groups (such as school site councils) in regard to their responsibilities.
http://www.edsource.org/assets/files/DistrictMgmtSummary.pdf
Glossary of Terms
Economic Impact Aid (EIA)
State categorical funds for districts with concentrations of children who are transient, from low-income families, or
need to learn English.
English Language Acquisition Program (ELAP)
A state program, along with the English Language and Intensive Literacy Program (ELILP), that funds selected
schools to provide supplemental instruction, purchase special materials, and offer other services for English
learners to improve their English language proficiency and literacy.
English Learner (EL)
Students whose home language is not English and who qualify for extra help. EL students were formerly known
as "Limited English Proficient" (LEP). (EL replaces ELL, English Language Learner and LEP, Limited English
Proficiency)
Single Plan for Student Achievement (SPSA)
A required plan for schools that participate in any state or federal program included in the state's consolidated
application. The plan, which is developed by the school site council, must describe how the school will spend the
funds received through the consolidated application to improve student achievement. The school district
governing board must review and approve the plan. This replaced the disparate plans required for some state and
federal programs.
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