PURPOSE: This rule is to establish procedures for section 160.950, RSMo, pertaining to grants to schools for the establishment of drop-out prevention programs. (1) The State Board of Education (board) will authorize two (2) types of grants: competitive, first-year grants and noncompetitive continuation grants for second, third, fourth, and fifth year of funding (maximum funding of five (5) consecutive years).

1. (2) Eligible applicants shall include school districts that have student populations of which sixty (60) percent or greater is eligible for free and reduced lunch on the last Wednesday in January for the preceding school year.

2. (3) Annually, a request for proposal shall be developed by the Department of Elementary and Secondary Education (department) for dissemination to the public schools. The request for proposal shall contain the following:

   1. (A) The maximum grant amounts;
   2. (B) The date upon which applications shall be due;
   3. (C) The grant application forms; and
   4. (D) Program criteria upon which the grants will be evaluated.

3. (4) Proposals for Persistence to Graduation Grants that demonstrate the following will be given preference for approval:

   1. (A) A comprehensive, holistic approach to drop-out prevention directed at a broad array of students, pre-kindergarten through early adulthood;
   2. (B) A collaborative approach between the school district and various community organizations, including nonprofit organizations, law enforcement agencies, and other approved public and private institutions, to deliver proven, research-based intervention strategies;
   3. (C) Activities and early intervention strategies, including family engagement, early childhood education, early literacy development, family literacy, and mental health detection and treatment;
   4. (D) Implementation or augmentation of core drop-out prevention strategies that include mentoring, tutoring, alternative schools, and beforeand after-school programs;
   5. (E) Implementation of early intervention strategies for students who display strong indicators that they will not persist to graduation; and
   6. (F) A student-centered approach whereby activities are designed to meet the particular needs of individual students.
4. (5) Recipients of grants may obligate grant funds only during the period which begins on the date the department approves an application and ends on the following June 30. Obligations are considered to have been incurred as follows: for equipment and supplies; when the recipient makes a binding commitment to acquire the equipment and supplies, such as the issuance of a purchase order or its equivalent; or for personal services, when the services are performed. All obligations for the purchase of equipment must be incurred by March 31 of the grant period and liquidated by June 30. Any funds not properly obligated for approvable project costs are refundable to the department.
5. (6) Allowable costs for grants will be determined on the basis of the reasonable and necessary costs of implementing approved project activities.
6. (7) The grant recipients will keep records according to generally accepted accounting principles and will provide any information necessary for fiscal and program auditing. All such records and supporting documents will be retained in accordance with current state and federal laws and regulations.

7. (8) Grant recipients for each year of grant funding shall file the following information, using the department’s required forms and/or formats for reporting the results of financial and program activities conducted during the preceding grant period:

   1. (A) A mid-year progress report due January 31;
   2. (B) A final expenditure report due May 15;
   3. (C) An end-of-year program evaluation narrative due June 30; and
   4. (D) A final program evaluation report due September 30 of the year following the fifth and/or final year of grant funding.
8. (9) The department may cease to award payments to any district if the department determines the district’s drop-out prevention program is deemed ineffectual. Any decision to discontinue payments of such funds shall be presented to the applicable district in writing at least thirty (30) days prior to the cessation of funds.
9. (10) If the department, based on its own findings or those of an independent auditor, determines that an applicant has misspent, misapplied, or otherwise used funds under this program in violation of any applicable regulation or statutory provision, the applicant will be required to refund to the department the amount determined to have been improperly expended. If the applicant does not refund the money within a reasonable time after requested to do so, the department 5 CSR 50-350

may adjust payments due the applicant under other programs administered by the department.

AUTHORITY: sections 160.950 and 161.092, RSMo Supp. 2009.* Original rule filed Feb. 1, 2010, effective Aug. 30, 2010. *Original authority: 160.950, RSMo 2009 and 161.092, RSMo 1963, amended 1973, 2002, 2003.