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New Fiscal Test Required in the American Rescue Plan ESSER III: MAINTENANCE OF EQUITY (MOEquity) By Kathy Dunn, CCOSA Director of Professional Learning for State and Federal Programs
Just when we begin to understand Maintenance of EFFORT, there’s a new MoEQ in town! Maintenance of Equity is a new fiscal test required of school districts based on guidance in the American Rescue Plan. Based on the stated exemptions for districts (below), only about 70 Oklahoma districts are required to complete the MOEquity report. Of those required to complete MOEquity, some may qualify for an additional one-time exemption given only for the FY22 school year.
Overview of MOEquity at the District Level
Districts who are Exempt from Calculating Maintenance of Equity
In FYs 2022 (SY 2021-2022) and 2023 (SY 2022-2023), LEAs may not reduce:
LEAs that are exempt from MOEquity are:
■■ Per-pupil
state and local funding to highpoverty schools more than the total reduction in per-pupil funding to all schools (ED calls this “funding equity”), AND
■■ Per-pupil
FTEs to high-poverty schools more than the total reduction in per-pupil FTEs in all schools (ED calls this “staffing equity”).
■■ LEAs
must satisfy both tests.
■■ LEAs
with a total enrollment of less than 1,000 students,
■■ LEAs
that operate only one school, and
■■ LEAs
that have only one school per grade span
■■ LEAs
that demonstrate an exceptional or uncontrollable circumstance, such as unpredictable changes in student enrollment or a precipitous decline in the financial resources of the LEA as determined by the Secretary
