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Federal Register / Vol. 86, No. 131 / Tuesday, July 13, 2021 / Rules and Regulations
ensure that SEAs implement with fidelity the requirement to provide services or assistance only to eligible non-public schools that enroll a significant percentage of students from low-income families and are most impacted by the COVID19 emergency.
Analysis of Costs and Benefits The Department believes this regulatory action does not impose significant new cost-bearing requirements on SEAs or other entities.
This action primarily serves to clarify or give specific meaning to statutory requirements for SEAs in determining eligible non-public schools for services or assistance under the ARP EANS
program; it generally does not establish new substantive requirements.
Accordingly, costs associated with this action are attributable generally to the program statute. Moreover, in promulgating these final requirements, we have sought where possible to minimize the burden on SEAs in applying for ARP EANS funds and in complying with the statute. Any costs associated with the final requirements that are not directly attributable to the statute are outweighed by their benefits which, in addition to reduced burden, include clarity, appropriate flexibility, and transparency in SEA administration of the program.
Under the ARP EANS program, SEAs provide services or assistance to eligible non-public schools that enroll a significant percentage of students from low-income families and are most impacted by the COVID19 emergency.
The final requirements establish that a non-public school enrolls a significant percentage of students from low-income families if the percentage of those students enrolled in the school meets or exceeds 40 percent or an alternate significant percentage approved by the
Secretary that is based on circumstances in the State. As discussed elsewhere in this document, 40 percent has long been recognized as a measure of significant poverty under title I of the ESEA. In addition to providing clarity, by using this percentage to determine whether a non-public school enrolls a significant percentage of students from low-income families, the final requirements employ a standard that is familiar to SEAs, thereby minimizing burden. By allowing an SEA to use an alternate significant percentage approved by the Secretary, the final requirements also provide appropriate flexibility to SEAs if circumstances in the State warrant a percentage other than 40 percent.
The final requirements also establish that a student is included in the count of students from low-income families enrolled in a non-public school if the student is aged 5 through 17 and from a family whose income does not exceed 185 percent of the 2020 Federal poverty level. This commonly used poverty threshold similarly minimizes the burden on SEAs in complying with the program statute while also providing clarity in program administration.
The final requirements further establish that, in determining which non-public schools are most impacted by the COVID19 emergency, an SEA
must use at least one of four identified factors, which notably include the numbers of COVID19 infections and COVID19-related deaths in communities served by the school. As discussed elsewhere in this document, community COVID19 infection and death rates are readily available.
Accordingly, the final requirements would allow an SEA to meet statutory requirements with minimal burden.
Lastly, the final requirements establish a new substantive requirement
on SEAs, namely, to provide transparency in program administration by publishing on the SEA website the minimum percentage used to determine whether a non-public school enrolls a significant percentage of students from low-income families, sources of poverty data, and the factors to be used to determine whether a school is most impacted by the COVID19 emergency.
We estimate that each SEA will need two hours to comply with this website posting requirement. At $97.28 per hour using mean wages for Education and Childcare Administrators 7 and assuming the total cost of labor, including benefits and overheard, is equal to 200 percent of the mean wage rate, the total estimated cost for 52
SEAs including the District of Columbia and the Commonwealth of Puerto Rico is approximately $10,100.
Separately, the ARP EANS
application imposes costs on SEAs. We estimate that each SEA will need two hours to complete the ARP EANS
application. At $97.28 per hour, the total estimated cost for 52 SEAs to complete the ARP EANS application is approximately $10,100.
Net Budget Impacts We estimate that the discretionary elements of these final requirements will not have an impact on the Federal budget. This regulatory action establishes requirements for SEAs receiving ARP EANS funds but does not affect the amount of funding available for this program. We anticipate that the $2.75 billion in ARP EANS funds will be disbursed in Fiscal Year 2021, and therefore estimate $2.75 billion in transfers in Fiscal Year 2021 relative to the pre-statutory baseline.
Accounting Statement
ACCOUNTING STATEMENTCLASSIFICATION OF ESTIMATED IMPACTS
in millions Category
Benefits
Clarity, flexibility, and transparency in SEA administration of ARP EANS program

Not quantified.
Costs
Application completion and publication by SEAs of the minimum percentage used to determine whether a non-public school enrolls a significant percentage of students from low-income families, sources of poverty data, and the factors used to determine whether a school is most impacted by COVID19.

$0.02.

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Transfers Services and assistance to non-public schools that enroll a significant percentage of students from low-income families and are most impacted by the COVID19 emergency.

7 See https www.bls.gov/oes/current/oes_
nat.htm.

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$2,750.