Voices From the Field - Optimizing Title I, Part D Fund Management - Insights from State Educational Agencies

Oct 15, 2026

Voices From the Field examines how State educational agencies can manage Title I, Part D funds to spend effectively, efficiently, and on time. It outlines the Title I, Part D fiscal cycle, including award, obligation, and liquidation timelines. The report identifies common challenges that slow spend-down, such as leadership changes, hiring delays or vacancies, procurement difficulties for major instructional purchases, and limited attention to budget timelines and progress tracking.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages11

Reading Time28 min

AccessFree to download

Introduction

Fiscal Cycle

Common Challenges

Obligation

Liquidation

August 2025 Washington, D.C. Voices From the Field Optimizing Title I, Part D Fund Management: Insights from State Educational Agencies Prepared by the National Evaluation and Technical Assistance Center for the Education of Children and Youth Who are Neglected, Delinquent, or At-Risk (NDTAC) [www.Neglected-Delinquent.ed.gov](www.Neglected-Delinquent.ed.gov) About the National Evaluation and Technical Assistance Center for the Education of Children and Youth Who Are Neglected, Delinquent, or At Risk The mission of the National Evaluation and Technical Assistance Center for the Education of Children and Youth Who Are Neglected, Delinquent, or At Risk (NDTAC) is to improve educational programming for youth who are neglected or delinquent. NDTAC’s legislative mandates are to develop a uniform evaluation model for State Educational Agency (SEA) Title I, Part D, Subpart 1 programs; to provide technical assistance to states in order to increase their capacity for data collection and their ability to use those data to improve educational programming for youth who are neglected or delinquent; and to serve as a facilitator among different organizations, agencies, and interest groups that work with youth in neglect or delinquent facilities. For additional information on NDTAC, visit the center’s website at [https://neglected-delinquent.ed.gov](https://neglected-delinquent.ed.gov). Introduction Spending Title I, Part D funds effectively, efficiently, and in a timely manner can be a challenge for State educational agencies (SEAs) . Delays in spending funds can occur for myriad reasons. Sometimes, there is a change in leadership in the SEA, State agency (SA), local educational agency (LEA), or facility that can cause confusion or delays in spending funds. At other times, major purchases under the program may fall through, leaving the subgrantee with excess funds in their balance and inadequate time or resources to spend the remaining funds (e.g., a facility closes down with unspent funds, staffing issues result in a high percentage of unspent funds) . For example, a program may decide to hire a transition specialist with the Title I, Part D funding that will account for 70% of its annual grant, but when they try to hire for the position, they are unable to find qualified candidates for the role. This problem can leave the program scrambling to reprioritize and distribute their funding to effectively serve students. In this Voices From the Field, we explore the Title I, Part D fiscal cycle and hear from seasoned State coordinators on ways they proactively engage their subgrantees and programs to ensure the effective and efficient spending of Title I, Part D funding. Fiscal Cycle Title I, Part D funds are awarded on an annual basis on July 1st. For example: 􀀹 Fiscal year 2024 funds were awarded on July 1, 2024. 􀀹 Funds must be obligated 27 months from the award date, or through September 30, two years after the award is made. Funds awarded on July 1, 2024, must be obligated by September 30, 2026. 􀀹 SEAs have until January 30 of the following year (4 months later) to liquidate the funds. [2 CFR 200.344(c)] Common Challenges Challenges obligating and liquidating funds in Title I, Part D can occur for a variety of reasons at any level of the distribution of the funds to grantees and subgrantees. Agencies typically must coordinate to identify funding Definitions Obligation: An obligation of funds is a legal liability to disburse funds immediately or ata later date as a result of a series of actions. [50 CFR 80.91] Liquidation: means the final computation or ascertainment of duties on entries for consumption or drawback entries. [eCFR : 19 CFR 159.1--Definition of liquidation] priorities and ensure allocations are fully utilized within the period of performance. Typically, the movement and coordination of funds goes through the SEA to the SA or the LEA, which then must coordinate with the program or facility

FAQs

What is the Title I, Part D fiscal cycle described in the report?

The report explains that Title I, Part D funds are awarded annually on July 1, must be obligated within 27 months (or through September 30 two years after award), and then liquidated by January 30 of the following year.

What kinds of leadership changes can delay timely spending?

Turnover in key personnel at the SEA, SA, LEA, or program level can disrupt implementation because new staff may need time to understand program operations and what expenditures are allowable.

How do hiring and procurement challenges affect fund utilization?

Unexpected vacancies or failure to hire salaried roles can leave funds unused, while procurement delays for major purchases such as computers, projectors, software, and CTE equipment can prevent full utilization within required timeframes.

Oct 15, 2026

Uploaded by Taylor Morgan