Dear Workability I Region Managers, Program Coordinators, and Grantees:

Workability I Regional Bank Account Guidance

The purpose of this letter is to provide 2020–21 program guidance specific to Workability I (WAI) regional bank accounts. The purpose of WAI grant funds is for the provision of the WAI program in accordance with California Education Code (EC) Section 56471(e). The conditions agreed upon by the grantees upon receipt and signature of the Grant Award Notification (GAN) and the associated grant Legal Assurances, does not change with the deposit of the money in a private bank account or the redirection of the funds by the grantee to another party.

Therefore, funds collected from WAI grantees for the purpose of providing WAI regional business meetings or other regional expense remain WAI grant funds and are subject to the conditions of the GAN Legal Assurances and EC 56471(e). WAI grantees cannot redirect WAI grant funds without approval by the CDE as it presents a heightened risk that the funds may be misappropriated and utilized for unallowable activities. WAI funds collected for regional business meetings must be tracked by the grant designee within the WAI region (e.g. regional treasurer), and are subject to an audit by the California Department of Education (CDE) per WAI GAN Legal Assurance number 12:

The grantee must maintain expenditure reports with supporting evidence and be prepared to submit them to the CDE upon request. The CDE has the authority to conduct program and fiscal reviews or audits.

Effective immediately, WAI regions shall cease and desist the collection of WAI funds from WAI grantees within their regional accounts for fiscal year 2020–21. The CDE is developing guidance for the parameters for tracking, monitoring, and reporting the collection of WAI grant funds within the WAI regional bank accounts back to the CDE.

WAI grantees receiving state grant funds are required per EC Section 41010 to follow the definitions, instructions, and procedures in the California School Accounting Manual (CSAM). Operating agencies and districts are mandated to follow CSAM guidelines for conformity with generally accepted accounting principles, which are essential for consistency and comparability in financial reporting. The CSAM is to be used for classifying, developing, and recording all revenues and expenditures for the WAI program.

The CSAM may be viewed and downloaded on the CSAM web page at http://www.cde.ca.gov/fg/ac/sa. Please refer to the CSAM web page to view the object classification codes. It is the responsibility of WAI grantees to review the complete listing of object classification codes in the CSAM and to check for updates to this document.

If you have additional questions on the information in this letter, please contact the WAI Team by email at workability1@cde.ca.gov.

Sincerely,

Heather Calomese, Director
Special Education Division

HC: nh