(SPEECH) MANDILEE GONZALES: I hand it over to Mayra. (DESCRIPTION) Mayra Diaz. (SPEECH) MAYRA DIAZ: Thank you, Mandilee. And good morning-- or good afternoon. It's officially 12 o'clock. Good afternoon, everyone. Thank you for joining us today for our CAEP Preliminary Allocation and CFAD Overview that we will be walking through. As Neil pointed out, we have a jam-packed webinar of information to share with you all today. Next slide, please. (DESCRIPTION) Text: Agenda. (SPEECH) And what we'll be focused on is going over the state budget update, now that the governor has released his January governor's budget proposal. We'll share what that looks like for the California Adult Education Program, walk through the CAEP processes and deliverables that now become available since the state has released the allocations, preliminary allocation schedule by walking through the CFAD, allocation amendment process. We will be touching on carryover compliance. It's a relevant subject during this time of the year; and then wrap up with planning and important dates and open it up for questions and discussions. And we will also work with Mandilee to conduct a live NOVA demonstration for the CFAD and allocation amendment process. Next slide, please. And presenters for today-- myself, Mayra Diaz, Neil Kelly with the Department of Education, and Mandilee Gonzales with CAEP TAP. Next slide, please. So starting off with our state budget update, the CAEP state office has released the Fiscal Year '25-'26 CAEP Preliminary Allocations. The memo was released to the field February 26. And the state preliminary budget that was released by the governor in January for the California Adult Education Program, it included a proposed COLA increase of 2.43% that totaled around 15.87 million. That essentially bumped up our CAEP allocations to 669 million. And so that was really good news to see the state continue to support the investment towards adult education. Of course, what happens next in the coming months? And some of the key dates to look out for include state revenue updates in the month of April, followed by the May Revise. We carefully monitor that to determine whether the COLA will stick or if we will see a slight increase as we did last year and the year before that. And then that follows the June trailer bill that we monitor. And finally, in July, the CAEP office will release the final allocation schedule for the fiscal year '25-'26 once the final California budget is finalized in June. Next slide, please. (DESCRIPTION) Annual processes. (SPEECH) So going over some of the-- what does that mean for this program, California Adult Education Program annual processes? Want to walk you through some of these deliverables that are going to be opening up, or perhaps you're currently working on them already. So the preliminary allocations, as we mentioned, we begin to develop those in January once the governor releases his preliminary budget. And then we start, and we officially release the preliminary allocation schedule along with the memo in February. And these allocations are focused at a consortium level. And so the member-level allocations begin to be disaggregated during the May through June process once the final budget is signed. Next activity-- oh, I'm sorry. If we can go back. So the next activity that occurs is going to be the CFAD, the Consortium Fiscal Administration Declaration, CFAD acronym. And that is due May 2. So now that the state has inputted the preliminary allocations in NOVA, that opens up the CFAD, for the consortium to begin to have their local board member meetings and start discussing and proposing the allocation distribution, to have that submitted and certified no later than May 2. We also want to flag that during the CFAD process, which we'll cover more in depth throughout this presentation, you'll also be addressing the carryover threshold, if that is something that your consortium is going to continue to participate or will choose to opt in. This is a unique year in 2025, because we have the Three-Year Plan that is currently underway, scheduled to be due June 20. And so in addition to these coming months, that is probably something that most of you probably have been engaged in and are working to complete. Do know that once you submit and certify the CFAD, the Three-Year Plan will open up. We'll walk through that in the next couple of slides. And then once we reach the May through August time frame, what tends to occur during that period is the final allocations become published. They get incorporated in NOVA. And that prompts some additional actions on behalf of the consortium and members to conduct allocation amendments that are then due by September 1. And that is followed by the Annual Plan that is due August 15. And once that is completed and submitted, the Member Budget and Work Plan is the next deliverable that becomes available. So busy year, busy year ahead for all of you. Next slide, please. (DESCRIPTION) Preliminary allocations memo. (SPEECH) And then as a reminder, the CAEP Preliminary Allocations Memo was released. If you missed it, we can drop a-- it's available on the CAEP website. We can probably drop a link in the chat. The schedule and the memo with instructions are all carefully detailed and accessible on the memo. Next slide, please. (DESCRIPTION) C FAD Overview. (SPEECH) If we can go back one more slide. Thank you. So jumping into the CFAD. We mentioned now that the allocations are available, published, and included in NOVA, the next steps that will start to occur are completing the CFAD, the Consortium Fiscal Administrative Declaration, which is a process that is available annually once the state releases the consortium's preliminary allocations in NOVA. This is due May 2 on an annual basis. That date doesn't generally change. It's due May 2. And all members must certify the consortium CFAD. I will highlight some of these processes in the next couple of slides as well, how critical it is to start communicating, start having your planning meetings to ensure that you could reach a decision, submit your CFAD on time, have your members certify and approve because we recognize that takes a lot of coordination, especially if you're in a large consortium, to try and get these submitted in a timely manner and go through all the levels of approval. Please note that members receive no less than prior years allocation based on Ed Code. And also, want to flag that members need to input-- or that the consortium should ensure that preliminary allocations for whether you're individually funded members, if you're a direct-funded or a fiscal agent funding channel, we want to remind you that you want to ensure that you are breaking out the allocation budget for your members. Last year, we found about six or so consortia that were maybe fiscal agent funded and did not fully break out members. And so even if you're fiscal agent, we want to ensure that you are breaking out the allocation that is being directed towards your members within your consortium. This is especially critical, as we are conducting carryover monitoring to ensure that the state knows which consortia are receiving funds, but also which members within the consortium are also receiving and reporting on their funding and expenditures. So please make a note of that and ensure that during this process, as you are entering and submitting your CFAD in NOVA, that you are breaking out your members and incorporating a budget allocation amount for them. Also, ensure that governance questions section is thoroughly filled out. We have been analyzing those reports. And I think, most recently, we published a report that was analyzed, and so just ensuring that you're carefully going back and revisiting the questions. Has anything changed within your consortium bylaws or processes? The CFAD is a great way to capture that, and it's something that the state reviews as well. And then lastly, once the CFAD is certified by the consortium, please note that the Three-Year Plan will then become available. And that is already available in NOVA, but it won't open up until the CFAD has been submitted and certified. Next slide, please. (DESCRIPTION) AB 14 91. (SPEECH) And we'll talk more about AB 1491 carryover compliance. Neil will cover that a little bit more in depth. But from a CFAD perspective, just note that during the CFAD process, from the technical side, you will be prompted whether or not the consortium is going to continue to be opted in, to track carryover threshold or carryover compliance monitoring at the member level. So you get to decide if you are going to continue to opt in, if you did in prior year. Or if you did not and want to opt in, you would have to have these discussions at a local level to decide the carryover threshold that you'll input in NOVA. And Mandilee can walk us through that once we get to that section. But just know that as you're completing the CFAD, this question, this section does come up. And so you want to have those discussions. If within your consortium, you're going to want to continue to monitor member-level carryover threshold. At the same level, you want to change that, opt in or opt out. And also, some of the benefits to that is by incorporating a carryover threshold, it actually prompts a corrective action threshold that populates for your members. So this ties to the fiscal reports that your members will be completing so that it's also flagging and alerting them where they are at in their spending levels. It's a great tool that can help members be accountable for their carryover spending. If you don't opt in, members are not going to see that. But it's totally your choice. Next slide, please. And then also, just a reminder about question number 16 and 17. That's a part of the governance section in the CFAD, ties to carryover compliance, so another perfect opportunity to revisit and address how your consortium and members are focused around monitoring and tracking carryover compliance. Next slide. (DESCRIPTION) Deadline. (SPEECH) And I think this is my last reminder. So I did just want to flag that the CFAD is due May 2. And we are going to be a bit firm this year with that deadline. And I really want to flag it for you all here. And hopefully, you can share that with your members and your consortium. Developing the final allocations is a very lengthy process. And so we want to make sure that we have the data that we need in order to capture the correct allocations, go through the various levels of approval, and be able to release by the July legislative deadline. And so it is very critical that we get the CFAD submitted and certified no later than Friday, May 2. And what that means for you is just making sure that you can start having those conversations, start arriving at a decision, being able to submit, and approve and get all the approvals from your members in a timely manner so that you can certify your CFAD by May 2. We are not going to consider extensions for this date. And what the action that the state will have to take is having to default to prior year's final allocation distribution. That mainly impacts direct-funded members and how we have to calculate for direct funded versus fiscal agent funded. So we want to make sure that we have the necessary information submitted no later than Friday, May 2. Next slide, please. (DESCRIPTION) Deliverable Submission. (SPEECH) Oh, still got some more. So as far as the NOVA sequence of CAEP deliverable submission, just want to flag this for you. We showed you the previous slide. And there's 5 or 10 items on that list of deliverables that are going to be due in the coming months. And so want to be able to flag how that actually works in NOVA. If you're wondering, where is the Three-Year Plan, where's the Annual Plan, critical to understand how that's going to become available. So number one, the CFAD, as we mentioned-- and that's actually going to be to your benefit. If you are able to certify and submit the CFAD sooner or at least by the May 2 deadline, that will then open up the Three-Year Plan in NOVA. It won't become accessible until you submit and certify the CFAD. The next activity that will open up or deliverable will be the Three-Year Plan. Once the consortium submits and certifies the Three-Year Plan, the Annual Plan will then open up. And just note that the ability to access the Annual Plan is not going to be impacted by any pending allocation amendments that may be outstanding in NOVA, given that we released the final allocations in July, and the Annual Plan is due August 2. And as you're completing the Annual Plan and though you have the allocation steps to conduct, that won't be impacted for you to be able to work on and submit. And if an allocation amendment is deemed necessary based on the final allocation state budget, then the consortia will need to certify the allocation amendment and post the new allocation amounts in NOVA by September. So we know you're working on some tight deadlines. The state is going to be working on some tight deadlines as well so that we can produce and release the final allocations depending on the May Revise, June trailer bills, the final budget that gets signed. If there is a COLA increase, decrease, whichever direction that goes, the state will have to conduct an allocation amendment, which is what would prompt the consortia member-level allocation amendments to take place. And then lastly, the Member Budget and Work Plan will then become accessible in NOVA once the Annual Plan is certified. And the members affected by a pending allocation amendment-- now this is the one deliverable that will actually impact completion of the Member Budget and Work Plan if the allocation amendment has not been completed. So just save this once we remediate our slide deck, or reach out to TAP when it comes to the NOVA deliverables and how you're going to be able to access some of these as they become available for you. Once the allocation amendment is certified, then those impacted by the movement of funds will need to adjust their budgets, as NOVA will automatically place the Member Budget and Work Plan into draft status if it's not already there. And the next slide actually provides you with the visual of these NOVA deliverable sequences. So allocations are now available. That prompts the CFAD to open up. Once the CFAD is submitted and certified, the Three-Year Plan is going to open up. Then we go in, and we enter the final allocations. That should not impact the completion of the Annual Plan. Once you submit and certify the Annual Plan, the Member Budget and Work Plan will open up. However, the allocation amendments need to be submitted in order to complete the Member Budget and Work Plan. And then lastly, we're also tracking carryover compliance. So keep that in mind of the snapshot process that occurs in NOVA on September 30. Next slide, please. I'm going to hand it over to Mandilee. (DESCRIPTION) Mandilee Gonzales. (SPEECH) MANDILEE GONZALES: OK, thank you for that. And just to point out, I know I've gotten a few private chats. The slides will be remediated as quickly as we can remediate them. And we'll share those even if the slides become available before the recording itself. So we're going to go ahead and do a walkthrough. So let me just go ahead and reshare screen. Everyone should now be seeing NOVA Sandbox. And I'm going to just take silence as acceptance. OK, so as you guys start to enter your CFAD, I've already pulled up Allan Hancock because, as we know, sometimes our beloved NOVA takes a little bit to load up. When you're in-- and I'm just going to take it a step back because I do want for some of our newer directors to know and understand. When you log into NOVA, you go to your Consortium Details. Scroll down to the Consortium Fiscal Administration Declaration, your CFAD. You'll notice it's in Draft status. For those that are newer and are not familiar, just a reminder that anything that has been done previously, you do have a historical record here, and you can always pull that up to take a look at it. This is a link, and it is clickable. So you'll just go ahead and click on the CFAD, which will open it up. You'll notice that it will open up a workflow here along the left. You can navigate by either selecting on these different buttons or clicking the Next button. Mayra did a really great job about walking through all of the needs. And NOVA is user friendly in the way that we are providing that narrative, what you need to input if there are no changes. There are some enhancements that we hope will help in the completion of the CFAD as you walk through these pieces. As you move through your workflow, here is a great opportunity if there are any changes, if there are unfunded members, if there are new members that are coming on board, and also ensuring as people turn over, are these the correct people that should be notified via NOVA? Are these the people that can enter in and/or approve the pieces as appropriate for the various CAEP deliverables? So we do ask that this is an opportunity to pause. Really take a look at the certifiers here. If it varies, you have the Add Certifier here. And if everything looks the same and is appropriate, then you just go ahead and click the Next button or click here. Here is the member allocation. Again, you have the schedule that I have shared previously. It's also on the website. And we can always drop the link again if necessary. But for those that are direct funded, the numbers should automatically populate. For those that are fiscal agents, please refer back to your schedule. I'm going to move on to the next piece. Oh, the other piece here is this toggle down here. It's been here for a couple of years, but just making sure that you ensure that you click this, that you certify that the CFAD is true and accurate. And then the carryover threshold-- this is a place where I do want to pause because we did see it last year. This is a new enhancement to NOVA. And what I saw, and I'm seeing it here, is it's 20% all the way down. So when you select that you would like NOVA to start tracking your expenses, this really should be a countdown versus in the fiscal reporting, it's kind of the inverse, because it's cumulative. So I would recommend-- and it is also reflected in the slide deck that we'll share out that this is-- you're going all the way down. So within that first quarter maybe, you'll spend the 20%, but you shouldn't be flagged. This is where maybe you'd want to put 80% or 90% and then start carrying it all the way down. So by the time you land at Q4, you're within that 20% or whatever you guys have identified as where that Q4 piece should land. I'm going to pause there. Neil has a question-- "Does NOVA autopopulate the allocations for the upcoming year based on the prior year allocation and by COLA, by member?" That, I don't believe so, but I will default to Mayra because I know there have been enhancements. So I don't want to speak out of turn in case something has improved, and I'm unaware. (DESCRIPTION) Diaz. (SPEECH) MAYRA DIAZ: I'm sorry, Neil. Can you clarify your question a bit? (DESCRIPTION) Neil. (SPEECH) NEIL KELLY: Yeah. So when Mandilee was in the sandbox and I was looking at Allan Hancock and Lompoc, they already had numbers listed. And I was thinking, oh, is that autopopulated based on prior year and the COLA? Or did someone just go in and put those numbers in as a placeholder? (DESCRIPTION) Diaz. (SPEECH) MAYRA DIAZ: I'd have to take a look. The only thing that we've done so far in the system is enter the preliminary allocations on the back end. So I'd have to take a look and see if there are any particular off situations that might be arising, like the one that you had forwarded. So I'd have to take that one back. I think Michelle and-- I think there's a couple who maybe aren't seeing anything. And-- MANDILEE GONZALES: OK, so you do have to enter it. NEIL KELLY: OK, thank you. MANDILEE GONZALES: Thank you. Thanks, Neil, for calling that out. And for everybody chiming in the chat, I appreciate that. Thank you guys. So I'm going to come back here to the carryover threshold piece. And again, just to reiterate, the carryover threshold at a member level is a decision that is made by a consortia. So you will decide if you are going to track that carryover threshold or not. Like Mayra said, if you do start to track this, anytime you are not within the percentage that you've identified, you will have a corrective action plan that will be required to submit to continue to move forward when we are looking at the fiscal reporting. So at those fiscal quarter due dates, if you are not in this percentage that you've identified, you will have that corrective action plan will pop up. So if you have questions about that, definitely throw it in the chat. If you just are feeling uncertain about it, you can always reach out to the TAPs, and we are happy to help. I'm going to go ahead and move on to the next piece. This is the governance. As has already been highlighted, those newer questions that are concerning the carryover threshold are 16 and 17. This is something that, at this point, you guys have already done and have experienced. It may have been tweaked, but this is an area that you do want to make sure you're thoughtful and mindful. And now we've had a year to experience that. So things may have changed. Go ahead and complete this. And to Myra's point, I will say that CAEP leadership is definitely reviewing these a little bit more thoroughly to ensure that we are providing appropriate TA, and that we're helping everyone stay on track. Once all is done-- and I know it sounds quite simple. But once everything has been completed, you will come to this page here, review everything that you have entered. And once completed, you'll hit Submit. That Submit button will then submit it. And all of those that are within your membership will then have the opportunity to go in and review and approve. So I think with that, that will complete this portion of the walkthrough. And I will go ahead and start sharing our slide deck again. Sorry. There we go. All right. MAYRA DIAZ: Thank you, Mandilee. Oh, I think we have one more to go back, the allocation amendment process. Did you go through that already? That slide, right? MANDILEE GONZALES: Oh, here. MAYRA DIAZ: So thank you, Mandilee, for that walkthrough. As far as next steps, I just want to highlight, in addition to the CFAD and allocation amendment process, this may need to occur after the final state budget is released. And that is once we finalize in July and publish, after the governor has signed the budget, if and when there is a change to the January CAEP preliminary allocations, then we will be required to revise the initial preliminary CAEP allocations that are currently reflected in NOVA for each consortium. And what we do is we conduct an allocation amendment at the state level for each of these consortium, followed by releasing another final allocations memo and schedule. That is typically released by early July, the first few days of July. And that captures what the final allocations for fiscal year '25-'26 will be. The updated CAEP allocation schedule will include detailed amounts by direct-funded members. So the schedule we release now is at a preliminary consortium level only. However, the schedule that gets finalized and published in July includes the direct-funded member breakout allocations, including the fiscal agents. And that is what we were mentioning is the more comprehensive process, which is why I'm trying to meet those critical, targeted deadlines is essential so that we can produce and release on time the final allocation schedule. And then as a note, that Education Code states that no less than the prior year or the same percent split. So when it comes to determining the allocation amounts, Ed Code does dictate that there is no less than the prior year or the same percentage split. And this is also very important as to why we are re-emphasizing the need to break out the preliminary allocations for the members in the CFAD. And that's wrapping that up. So I'm going to hand it back over to Mandilee and Neil. MANDILEE GONZALES: All right, so I'm going to go ahead and do another walkthrough. Let me toggle back to the other desktop here. So just bear with me. I have about 20 desktops open. OK, so we're going to walk through the allocation amendment process. And again, the TAPs are here to always help. When you log into NOVA, you're going to go to your Consortium Details page, and you will scroll down. This is the landing page for the consortia. So all of your strategic plans, your CFAD, everything will be housed here, including those allocations. If ever you want to see the history, there is a button here where you can select and view all previous allocation amendments. You will notice that sometimes there is just the one allocation amendment, or sometimes there's multiple depending on what's happening within your consortia and moving funding around. So we're going to go ahead and click Continue Amendment here. In most cases, it'll be Start Amendment. But it's going to open up, again, your workflow here on the left-hand side. As always, I do like everyone to please pause here. And I also want to mention, any time that the TAPs reach out to any members or consortia, we typically will use the NOVA. So anything that's updated in NOVA is what we think is the most up-to-date information. So please help us in ensuring that it is the most up-to-date information by adding appropriate people as well as email and phone number. So once you've gone through here and this is accurate, you'll go ahead and select the next piece. And this is new, and I do think that it has been helpful for many of our consortia by selecting and toggling the type of allocation. So there's the May Revise, which likely we'll be headed into, a Standard Member Transfer, and then if there is a new member that you are sending money to and are funding. Here is where you would just add in any of those detailed pieces. And then this is the area where you would actually walk through those movement of funds. So currently, you'll notice that the total remaining is zero. And when we make the adjustments, I believe it'll happen over here. So here, I'm just going to go ahead and just reduce it by $1. And then you'll notice that that red dollar amount shows. So that means I need to increase it over in the other area or whatever other member that looks like. And once that's done, you'll see that the adjusted amounts are reflected here on the right-hand side. The dollar remaining is zero. Once that remaining dollar amount reflects that $0, then you can move on to the next step, which is just to review and preview all of the information, movement of funds. And I do want to pause here. Once this does happen, that budget and workflow, if you're moving money, those members that are either receiving or giving money will need to adjust their budget and work plan and move money in their object codes as appropriate so that way, when it does come to fiscal reporting, you're not reporting any negative numbers in various object codes. Once this is completed, you would then submit. If there's an issue, you can always cancel and go back and make any changes as you see fit. So this is really quick. I know that this is not something that we do daily. It is something that's only done periodically. So if there are any questions, you can always reach out to the TAPs, and we can help walk you through this. And then I'm going to go ahead and move back unless there are any questions. (DESCRIPTION) Kelly. (SPEECH) NEIL KELLY: I think we had one question from Eileen. MANDILEE GONZALES: OK, and that's directed to Mayra. Hi, Mayra. You might want to share with the new members. A member representative is-- oh, OK. MAYRA DIAZ: Yeah, I think it's tied to the screenshot that you have right now. So because we are rolled up into a consortium, member representatives are essentially those members within the consortium. So there are certain deliverables, if not a majority of the deliverables, in NOVA that are approved by the member representative, whoever is designated as that contact, and then essentially certified by the consortia lead that is assigned also in NOVA as a contact. So the member representative, for example, a CFAD, the Three-Year Plan, your Annual Plan, the allocation amendment, some of these deliverables in NOVA require the member representatives to approve and then the official certification by the consortia designated lead. Hope that helps address the question. And, Mandilee, feel free to add anything else to that. (DESCRIPTION) Gonzales. (SPEECH) MANDILEE GONZALES: Yeah, no, I think you addressed that. But if not, let us know in the chat, and I will definitely respond there. And then I'm going to go ahead and shift back to sharing the PowerPoint. Here we go. (DESCRIPTION) Text: Reminder. AB 14 91 carryover compliance. (SPEECH) All right, there you go. And I think, Neil, you may be up. NEIL KELLY: OK, so we have a bunch of slides on carryover compliance. So I'm going to do my best Jay Wright imitation to plow through these in about 10 minutes. OK, so reminder-- these are just reminders. We're through year one of the carryover compliance. If you were a consortia and were noticed about being over 20%, then you're in this process. Carryover compliance is calculated in NOVA on September 30 at the end of the regular day right before midnight. And then we flagged those consortia over 20%. And they have to do a written expenditure plan, which we'll get into a little bit later. Next slide, please. OK, just a few reminders, the difference between member carryover compliance and consortia carryover compliance. They are not the same. And we have some real good slides on details on who opted in, who opted out, what percentages are. So I'll get to that in a little bit. But member carryover compliance is a member vote set to a carryover percentage threshold with the consortia during the annual CFAD update. So when Mayra and Mandilee went through the CFAD, there was that opportunity to set that percentage threshold for carryover. And so that is for the member carryover. So just remember that the consortia carryover is always set at 20%, and the state monitors that. The member carryover is set by you guys, and you monitor that. Member funding for one year may be impacted after two years are assessed. So that means it's two consecutive years. And so if you didn't opt in last year and you opted in this year, then this would be the first year. You opted in last year, and you continue to opt in this year. And that would be two consecutive years. And they would have to be over the carryover threshold that you decided as your consortia for the members. So you can see the big difference here between member versus consortia. Now, the consortia level is the 20%, and we monitor it at the state annually, Chancellor's Office and CDE. And then anything exceeding that 20%, you're required to submit a written expenditure plan and our assigned technical assistance by Chancellor's Office and CDE. And we'll get into that in a little bit. Next slide, please. OK, and here's another breakdown, just some reminders. On the consortia side, actions must be taken, exceeding 20%. Submit a written expenditure plan. Get technical assistance. Now, on the members side, you vote for what that threshold is within your consortia. And then it's tracked for two consecutive years based on the legislation. And then you determine how much may be reallocated based on majority vote. But the law does state that you can only reallocate that carryover amount. You can't allocate more than that. And you can't impact future allocations, like the reduction. So there's a big difference between those two. OK, next slide, please. OK, so here's some interesting-- if you were one of the carryover compliance consortia that went over the 20%, were flagged. There were 33. And here, you can see the breakdown. We had seven that were just a little bit over 20%. And then conversely, on the other end of the bell curve, we had nine that were 50% or over, significant amounts. And then we had 17 in between. So you can see how that is-- we'll see how that turns out for this next year. September 30, we'll be running it again and seeing who's over that 20%. So hopefully, everyone will be closer to the 20% rather than 50% and over. So next slide, please. OK, and here's an interesting slide based on who opted in. And so you can see at the bottom there, '23-'24 versus '24-'25. We had 26 consortia opt out the prior year, which means 45 opted in. And then this year, we had 15 opt out or 56 opting in. So more consortia opted in to have a consortia member threshold percentage. And you can see the differences in those percentage that the consortia came up. We have one that's 10% carryover. Ooh, that's rough. But that was based on the membership, so I wish you luck. And maybe you guys are doing great. So 10% is probably feasible, right? And then we have some that are-- one 60%, so you have a range there. Most of everybody is in the middle. And you see most everybody opted for 20%, 47 of the 56. And there's a few outliers there. But it's just interesting because it's based on what you decide as a consortium on what that threshold is going to be. And it has to be two consecutive years. So maybe you'll opt out next year, and then that restarts the two consecutive years. So it can get a little confusing if you're not paying attention. And you can opt in for a different threshold percentage. So the variation on the member carryover side could get a little confusing if you're not staying on top of it. So make sure you're tracking that because it could get interesting. Next slide, please. OK, so in summary, we had 33 consortium or consortia flagged for excessive carryover. They had to submit written expenditure plans to the state. We reviewed those. We did kick some back. We did conditionally approve some, asking for additional information. And then we did approve some outright that are beginning to work on their plan. So it just wasn't a rubber stamp. We really did review. There was CDE review, Chancellor's Office review. We met. We calibrated. There was a lot of thought and effort going into that process. And we're still following up, and the TAPs are following up as well with the various consortia. So we are taking this seriously. So hopefully, you're taking this serious, too, and you're working with our TAPs and state people at that level to make sure you're getting under that 20%. Also, a reminder for '24-'25, this year, coming up. Make sure you review current expenditure progress, and you can do that in NOVA. I know we put some tools in NOVA to help you with that, and that will help you address those carryover balances. Also, Mayra and Mandilee went over in the CFAD. There's questions that help you get at the carryover issue and maybe rethink what your approach is. Also, the impact of year 2, which is this year coming up, we'll assess that snapshot on September 30. And then we'll also, for the first time, be looking at the two consecutive year or the second consecutive year of member access. So that'll be interesting because it'll be whatever the threshold was that you guys determined. If it was two consecutive years, as we saw, at least 45 are going for their two consecutive years. We'll see how many members that is. I think we can track that right now based on NOVA, based on your Q, up to Q2. With your Q3 coming up later this spring, we can get a pretty good idea of what we're going to see in the fall. So hopefully, you're tracking that as well. And as usual, technical support and resources are available through our TAPs. And so please make use of those resources. They're there to help you and working together to make sure we get this carryover spent down. Next slide, please. OK, just a few dates to remember. March-- like we said, expenditure reports done-- just remember, at the end of March, your '22-'23 funding was expired at the end of December. And so this is the last opportunity to show that you've spent down all that funding. I did a quick check this morning. I really didn't see anybody that had '22-'23 funding. But for '23-'24 funding, which a lot of you still have, that funding would end at the end of this year. So that factors into your carryover plans as well. But you tell us that they're all expended on Q2. And so anything left over gets reverted back to the state. In June, we have the big Three-Year Plan due. We also have our Q3 due. and then August and September, we have the Q4 due in the September 30. So these are important dates along with your planning documents that are Three-Year Plan, Annual Plan, Work Plan and Budget. So next slide, please. And then just a summary of the CAEP planning. You have your Three-Year Plan due in June. And then you have your Annual Plan, which is an update of the Three-Year Plan. So they go hand in hand, like Mayra was showing in the previous slide, how everything's interconnected. One feeds off the other. You can't start the Annual Plan until you do your CFAD. You can't do your Work Plan and Budget. So everything's kind of connected. So make sure you follow that sequence. And the TAPs are always there to help you if you have questions. Next slide, please. And then here are some webinars coming up. Mayra told me today that '23-'24 data for DataVista, our CAEP data will be available this month. And so I think the various reports are going to be released on March 13. But we'll have a specific webinar on March 25 to talk about the adult ed data on DataVista. So that'll be an important webinar. And then later that week, on the Thursday, we're opening up the Three-Year Plan for input. And so we'll have a discussion on that online template and NOVA and walking through all the enhancements and changes. And so we look forward to that, so mark those two. End of March will be a busy week if you choose to register for those webinars, but really important stuff. OK, next slide, please. (DESCRIPTION) Reminder. (SPEECH) And then, of course, here's all that stuff I went over earlier, but here it is in a nice visual. As you can see all the due dates coming up and documents. So we'll move on to the next slide. You can look at this when we send out the slide deck. And of course, you can always find additional resources on the website and ask the TAPs for assistance. And so we look forward to everyone successfully completing all these deliverables and not winding up on our carryover list at the end of September. And now I turn it over for questions. (DESCRIPTION) Wrap up and questions. Gonzales. (SPEECH) MANDILEE GONZALES: OK, so this is your opportunity. You have all the players in the room. If you have a specific question you would like to have answered, feel free to raise your hand. We'll ask you to come off of mute. Or if you're more comfortable, you're welcome to use the chat. My colleague has been dropping in links for the upcoming sessions that we have as well as Mayra with the Chancellor's Office DataVista update, which is on the 13th. And then not to forget our evaluation link as well. So I see, Rick, you have a question. AUDIENCE: I do. Hi, everybody. Thanks so much for the download on this. My question is related to the relationship between the consortia-level carryover threshold and the member-level carryover thresholds. There was some confusion in terms of-- my camera may be going in and out. So apologies if that's happening. It's blinking at me. We set consortia level, and then members were able to set their own internal levels, which makes sense given when they anticipated spending down any prior year. And then you can't expect to spend 20% if you still have money from last year in Q1. That's something that we will look to update as part of the conversation, but it does throw member-level red flags. And there was some discussion in the business offices in terms of how that relates to the consortia level, in terms of what we're supposed to do in NOVA. So I don't know if that made sense as a question. Maybe just consider it general confusion on the relationship between the two levels of thresholds. NEIL KELLY: Yeah, I mean, I can take a stab at this, and then anybody else wants to chip in. So your 20% is a given. Each year, you can't go over that 20%. So if your members are only at a 40%, 50%, or whatever level they're at, they're contributing to that 20% overage. And so it'd be nice if all the members adhered to a 20%. That way, the consortia would be at 20%. But I guess, in reality, that's probably not practical. So then you have to look at your big spenders. They probably affect that 20% more so than the smaller schools. And so that's where that variation can come in. So you really have to do some projections and kind of play with it. But there is a definite connection between that member-level carryover. Now, it's up to you guys to decide what percentages you want to use, keeping in mind that it will impact that 20% at the consortia level. And so you guys were just a little bit over anyway this year, so yeah, tiny bit. So-- [LAUGHS] Yeah. MANDILEE GONZALES: Thanks, Neil. And did that answer your question, Rick? OK, great. And then, Karima, I see your hand is raised. AUDIENCE: Hi. Good afternoon, everyone. Thanks for all the information, very helpful. I have a question about the amounts in CFAD. So for the South Orange County Regional Consortium, the CFAD shows remaining balance red numbers under this current year and last year. However, under allocations, it's all zero. It's zero. So is this something that I just need to submit a ticket to CAEP TAP and see how we can fix it? HOLLY CLARK: Mandilee, do you want me to jump in this? MANDILEE GONZALES: Sure. Sorry, I was reading-- HOLLY CLARK: It's OK. So-- MANDILEE GONZALES: --a chat. HOLLY CLARK: So the red amount that you see in your CFAD is the difference from the preliminary allocation to the final allocation. The CFAD is not able to be edited. So once you go in and we enter those numbers now and then you certify it, then when the final budget comes out, there could be an increase or decrease. So that's going to show as a red number. But you have handled this via an allocation amendment, so that's where you zeroed it out. So don't let the red in the CFAD throw you off as long as you have an allocation amendment offsetting that number. If you do not have one, you are due to provide one. AUDIENCE: Perfect. Thank you, Holly. HOLLY CLARK: You're welcome. AUDIENCE: I will not need a ticket. Thank you. HOLLY CLARK: OK. MANDILEE GONZALES: OK, so I realized some of the questions had come to me specific. So I have responded to those. And then I think it would benefit all. So a question came through essentially asking-- and I believe I interpreted it correctly. When an allocation comes through or a revise comes through with the COLA, that should still follow the same funding formula in which the allocations have been set up. So the allocation amount percentages have already been established. When a revise comes through, whether it's an increase or decrease, those same percentages are followed. Is that correct? Right, Neil and Mayra? OK, that's correct. All right. NEIL KELLY: I did have a question. MANDILEE GONZALES: Yes. NEIL KELLY: Someone private messaged me. They hadn't received a feedback or approval of their written expenditure plans, and I was just checking if all of those have gone up. I thought they had, but maybe there's a few stragglers. MAYRA DIAZ: Yeah, good question. So we have been releasing notifications. I think we've gotten through about more than half. There are, I'm going to say, maybe about 10 or less that should be receiving those notifications by today or tomorrow at the latest. And that should finalize all 33 plans that were flagged. NEIL KELLY: All right, thank you. (DESCRIPTION) Diana Batista. (SPEECH) DIANA BATISTA: Eileen is asking, I think, on behalf of the new members, that when the numbers get posted, will it include the new COLA? MANDILEE GONZALES: The preliminary COLA is what it will include. DIANA BATISTA: Yeah, it will be the revised amount. And only if they don't submit, the CFAD will go to the old one. And then, oh, Mandilee already answered. The COLA does get passed on to the members. MANDILEE GONZALES: OK. MAYRA DIAZ: And then I did kind of piggyback off of the carryover compliance and the written expenditure plans. As Neil mentioned, the state has spent a good amount of time and effort reviewing those written expenditure plans, carefully assessing the proposal that was brought forth. We saw some really great, detailed plans that really tackled how a carryover was going to be addressed. And then to the point that the whole reason why a consortia, for the most part, is flagged for having exceeded that 20% carryover is a direct result of the members. And so some of the members did a really great job at providing a very detailed action proposal and how they're going to address the carryover. And so we also, like I said, want to reiterate the opportunity that we find ourselves right now in March, as we have a couple of months left in the fiscal year before we finalize another round of carryover tracking. It could be possible that some of the consortia that were flagged could get flagged again, and you'll be required to complete the written expenditure plan process. And ultimately, the carryover is being carried over by the members. So would like for you to take the opportunity to leverage the tools and resources. Go back and look at your budgets, your expenditure progress to see how much carryover you currently have. We have a NOVA dashboard as well to help you prep and plan for that, because your consortium could be flagged again, and we'll go through this process again. And then also, now the members will have that additional now two years of consecutive level carryover. AUDIENCE: Sorry. Can I ask a question? Sorry. MAYRA DIAZ: Go ahead. AUDIENCE: Yeah, thank you. Mayra, on that note, you're talking about the carryover for a second year. Do we have a sense, in case the board decides to do something at the end of this year and distribute funds, how long do we have to spend those funds? That was a question that came up during one of our meetings. Do we have a year or two to redistribute and make sure that those funds are spent? Maybe we don't know. [LAUGHS] MANDILEE GONZALES: So you're referring to the process that would occur after September 30 of 2025. Once the second year of tracking snapshot has occurred, the system has flagged, and determined which of your members have that two-year mark of excessive carryover, once that occurs, then hopefully, in the bylaws, the consortium has addressed how the carryover would be reallocated, what the process would entail. Once that process occurs, I want to say that the same expectations-- because now a new member, there's no way for us to differentiate and allow extensions. The reallocated funding that would go to another member will still be bound to these spending timelines and time frames. AUDIENCE: So it will be the same two-year process, one year-- OK, thank you so much. That's really helpful. Thanks. MANDILEE GONZALES: All right, so I want to say thank you to everyone for joining us this afternoon. And just to bring us back, as we close out, we have dropped in a lot of useful links that are taking you to your preliminary schedule as well as the memo. We will remediate the slides and share those out as well as the recording. And I just want to say thank you so much to our NOCE CAEP TAP, our SCOE CAEP TAP that is here, as well as Neil Kelly, Diana Batista of CDE, and then Mayra Diaz with the Chancellor's Office. We will go ahead and move to close out. And we will see-- NEIL KELLY: Mandilee? MANDILEE GONZALES: --you sooner than later. Yes? NEIL KELLY: Mandilee, I have a quick question. So-- MANDILEE GONZALES: Go ahead. NEIL KELLY: I think there was a couple of questions in the chat about some of those new tools in NOVA that show your carryover balance or what you're running or what a member is running. What's the best way for them to find out about these new tools? Should they just contact TAP directly or the NOVA help desk? How should they go about if they want to get up to speed on some of this stuff? MANDILEE GONZALES: Yeah, I would say reach out to the TAPs, and then we can definitely walk through what tools that are more specific to the needs that they have. And then if we find that there is a larger need, then we can maybe develop a opportunity where we create a webinar or an office hour specific to that support. NEIL KELLY: OK, thank you. MANDILEE GONZALES: All right, thank you. OK, so now with that, I'm going to go ahead and move to close us out. I really appreciate everyone's time today. Thank you so much for being with us, and we will see you all soon. (DESCRIPTION) She smiles and waves.