The third and final fiscal year 2022-23 state aid notice for school districts is posted on the Arkansas Division of Elementary and Secondary Education website at https://dese.ade.arkansas.gov/Offices/fiscal-and-administrative-services/publication-and-reports/state-aid-notices-for-school-districts. Under State Aid Notices for School Districts, select State Aid Notice 2022-23 Final (PDF) - July 10, 2023.  

For each listed funding category, the following information is provided: indication of the existence of an Arkansas Division of Elementary and Secondary Education Rule; the amount of state aid; the applicable statutory code or act; indication of the existence of expenditure restrictions; the revenue code; and the fund/source of fund code. The data section of the state aid notice provides much of the data supporting the funding calculations. The funding section of the state aid notice provides funding amounts based on available data. Changes to data due to updates or corrections are reflected in all associated funding categories. Please note the following when viewing the state aid notice: 

• All data supporting the funding calculations are subject to review.

• Net revenues and 98% of URT X assessment less net revenues are provided. 

• Miscellaneous funds are defined and are calculated as per Arkansas Code Annotated §§ 6-20-2303 (13), 6-20-2308, and 6-20-2503 (a) (3). Calendar year 2021 calculated miscellaneous funds and district total millage rate effective January 1, 2021, are used in the initial calculation of 2022-23 state foundation funding aid and in the calculation of 2022-23 bonded debt assistance. Calendar year 2022 calculated miscellaneous funds and district total millage rate effective January 1, 2022, are used to update the calculation of state foundation funding aid for fiscal year 2022-23.     

• The average daily membership data reflects data submitted during the most recent submission cycle of the corresponding school year.

• Alternative learning environment funding is based on prior year full-time equivalent data. Contact Jared Hogue at 501-324-9660, Jared.Hogue@ade.arkansas.gov, or C.W. Gardenhire at 501-580-5660, C.W. Gardnenhire@ade.arkansas.gov, for further information.  

• English language learners funding is based on students identified in the current school year as not proficient in the English language. Contact Tricia Kerr at 479-267-7450, Tricia.Kerr@ade.arkansas.gov, for further information.

• District square miles as calculated by ArcGIS 10 software are provided and may affect eligibility for special needs isolated funding pursuant to Arkansas Code Annotated § 6-20-604 (c) and (d), and small district funding pursuant to Arkansas Code Annotated § 6-20-604 (f). School district density ratio is one of several determining factors for qualification for some funding categories pursuant to Arkansas Code Annotated § 6-20-604.

• The calculated portion of foundation funding that is educational excellence trust funds is provided. Changes to the total educational excellence trust fund available for distribution have resulted in revised educational excellence trust fund amounts. Refer to Arkansas Code Annotated § 6-5-307 and the Arkansas Division of Elementary and Secondary Education Rules Governing the School District Educational Excellence Trust Fund Effective January 1, 2020, for information regarding the determination of an increase in educational excellence trust funds allocated for teacher salaries.  

• Enhanced student achievement funding is based on October 2021 national school lunch data. If applicable, enhanced student achievement transition funding is included in enhanced student achievement funding. The amount of enhanced student achievement funding withholding pursuant to Arkansas Code Annotated § 6-20-2305 (b) and (e) is provided, if applicable. Refer to Commissioner’s Memos FIN-23-019 and FIN-23-014 for information on enhanced student achievement matching grant funds set aside for eligible school districts. Information regarding enhanced student achievement matching grant funds is not provided on the state aid notice. Pursuant to Act 217 of 2022, Section 33, for fiscal year 2023, a public school district shall not receive less enhanced student achievement funding than the amount it received in fiscal year 2022.

• Declining enrollment funding, student growth funding, and isolated funding are provided on the state aid notice. Pursuant to state law, a district cannot receive both declining enrollment funding and student growth funding. A district that is eligible to receive declining enrollment and student growth funding will receive the category that yields the most funding.

• Pursuant to Arkansas Code Annotated § 6-20-2305 (b) (6), school districts identified as having an average annual teacher salary below the statewide target average annual salary ($51,822 for 2022-23), may be eligible for teacher salary equalization funding equal to $185 per prior year average daily membership. Refer to Commissioner’s Memos FIN-22-035, FIN-22-017, and FIN-21-048 for additional information.

Arkansas Division of Elementary and Secondary Rules (categorized as current and pending) pertaining to state aid are found at Division of Elementary and Secondary Education - Offices - Legal Services - Rules (arkansas.gov). The following Rules are found under Current Rules:

Microsoft Word - ade_296_Declining Enrollment Funding Rules.docx (arkansas.gov)

School District Education Excellence Trust Funds (arkansas.gov)

Misc Funds ADE 337 Final Oct 2014 (arkansas.gov)

Microsoft Word - ADE 207 - Professional Development February 2016.docx (arkansas.gov)

Microsoft Word - ade_268_2022_StudentSpecialNeedsFundingRules.docx (arkansas.gov)

Please review the state aid notice carefully. A comparison of the most recent state aid notice to prior state aid notices may prove helpful in detecting errors and variances.