DOE: $60 million set aside for fast-growth stipends; eligibility rules explained

Mary Ann Dursky told senators the state budget includes $60,000,000 for fast-growth stipends this year, with up to $5,000,000 available for infrastructure stipends if funds remain after fast-growth payouts. "This year, in the state budget, we have $60,000,000 for fast growth stipends, and that includes up to $5,000,000 for infrastructure stipends," she said.

Dursky explained eligibility: the department reruns the TISA formula using current student data and compares the recalculated allocation to the district's current allocation; if the difference is greater than 1.25% the district is eligible for a fast-growth stipend on the amount above 1.25%. Calculations are run five times per year beginning in October and a final true-up occurs at the end of June. The department noted virtual students are excluded from growth calculations and that, if total growth payments exceed the appropriation, payments are prorated to fit the $60,000,000 cap.

Using a numeric example, Dursky showed a district with a current allocation of $14,000,000 that rises to $14,600,000 under current-year ADM (≈4% increase) would receive the state portion of the growth above 1.25% (she cited an approximate state payout of about $334,000 for that example). Senators asked about past prorations: the department said FY24 had $35,000,000 appropriated and required proration in the first year; last year fewer districts qualified and the department was able to lower the threshold percentage and distribute additional growth funds.