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Charter Schools: State Charter School Facilities Incentive Grants Program General Information - (U.S. Department of Education)

State Charter School Facilities Incentive Grant Type: Created under section 5205(b) of the Elementary and Secondary Education Act as amended by the No Child Left Behind Act of 2001, the State Charter School Facilities Incentive Grants Program assists charter schools with school facility costs by providing federal funds to states to establish or enhance and administer per-pupil facilities aid programs. The program was developed to encourage states to develop and expand per-pupil facilities aid programs and to share in the costs associated with charter schools facilities funding.

States can use these funds to establish or enhance and administer per-pupil facilities aid programs for charter schools. The term "per-pupil facilities aid program" refers to a program in which a state makes payments, on a formula basis that takes into account the number of pupils, to charter schools to provide the schools with financing that must include, or be dedicated solely for, the funding of facilities. For a state to be eligible to receive a grant, the state's program must be specified in state law and provide annual funding on a per-pupil basis for charter school facilities.

Under the State Charter School Facilities Incentive Grants Program, the Department can award competitive grants of up to 5 years to states. The maximum federal share of funds decreases each year (from 90 percent in the first year to 20 percent in year 5) and phases out entirely after 5 years. The state may reserve up to 5 percent of its grant to carry out evaluations, to provide technical assistance, and to disseminate information.

Priority is given to states that meet the criteria in section 5202(e), which include states that provide for a periodic review and evaluation by the authorized public chartering agency at least once every 5 years and which do all of the following:

• Demonstrate progress in increasing the number of high-quality charter schools.
• Provide for an authorized public chartering agency that is not a local educational agency or, if local educational agencies are the only authorized public chartering agencies, allow for an appeals process.
• Ensure that charter schools have a high degree of autonomy over the charter school's budget and expenditures.

Funding for this program is made available when the total appropriation for the Public Charter Schools Program exceeds $200,000,000. When the program receives more than $200,000,000 but less than $300,000,000, all funds over $200,000,000 support the per-pupil facilities financing program. Of funds appropriated in excess of $300,000,000, 50 percent must be used for the State Charter School Facilities Incentive Grants Program and 50 percent for other authorized activities.

SCSFI Grant Eligibility: To be eligible to receive a grant under this program, the state shall establish or enhance, and administer, a per-pupil facilities aid program for charter schools in a state, that:

1. is specified in state law.
2. provides annual financing, on a per-pupil basis, for charter school facilities.

SCSFI Grant Application Process: At this time, there is no planned competition for this grant program in FY 2008. Funds are likely to be for continuations only. Please continue to check this website for updates: http://www.ed.gov/programs/statecharter/applicant.html

SCSFI Grant Additional Help and Contact Information:
You can contact Jim Houser, Director at (202) 401-0307 or Ann Margaret Galiatsos, Charter School Liaison at (202) 205-9765.

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