PIC Allotments from a Program Perspective

PIC Allotments from a Program Perspective

November 24, 2024 | Financial Management

Program Intent Codes (PIC codes) are a critical part of budgeting, and it is good to be “PIC-y” and “PIC” the right one! Reporting expenses by PIC shows the State that you are spending funds intended for certain programs on the correct student groups. This in turn should improve services and student achievement of those intended student groups. Although House Bill 3 (2019) created several new PIC allotments with increased funding, PIC allotments are not new.  However, the changes in PICs required changes in the budget planning process that could be confusing. CSS has developed a webinar for a high-level overview of PIC allotments and how to use them to meet state expectations and benefit your instructional programs. Throughout the school year, your Charter District is expected to monitor PIC allocations and uses to guarantee that it has met minimum expenditure requirements and program guidelines in each PIC category. 

The CSS federal and finance team work together with CSS partner schools throughout the school year to monitor the expenditure of special program allotments according to TEA guidelines. 

How much funding do we receive for each PIC? 

Your charter’s special program allotments are found on the Summary of Finances. Beginning with line 23, in the section titled Program Intent Codes (PIC) – Allotments, you can see additional allocations that support special programs in your LEA. These PIC allotments are generated by the student program codes reported in PEIMS last year. In some of the programs, there is usually a settle-up period during the spring and summer, when allocations are adjusted according to the current school year PEIMS data. Therefore, PEIMS accuracy is critical. 

For in-depth information, click here to register for the online course –
“Program Intent Codes from a Program Perspective”

What are the minimum spending requirements for each PIC?

According to the basic guidance provided in the Financial Accountability System Resource Guide (FASRG), each allotment has a specific intent and purpose related to the student group it serves.  Additionally, each PIC has a minimum “direct services” expectation which means a specific amount of the money must be used in direct services to the targeted student group.  As you might expect, each PIC allocation has slightly different guidelines and direct service minimums.  This means that care must be exercised when making decisions about which expenditures can be assigned to a PIC allotment. 

PIC Code Chart and Minimum Spending Percentages 

PIC Code Student/Program Beneficiaries Minimum % Required to Spend Other
21 Gifted and Talented 100% For services, programs and materials targeting students identified as gifted and talented and served by the GT program
23 (33 for PK) Special Education 55% For services, programs and materials targeting students identified as having disabilities and served by the SpEd program.
37* Dyslexia 100% For cost of screening and assessment for dyslexia
24 (30 for a Title I SW campus) State Comp Ed (15 At-Risk criteria) 55% Supplemental programs for disparity in performance between low income & At Risk and all other students
25 Bilingual Education 55% Supplemental for services to English learners.
22 Career and Technology 55% Expanded to include Tech Apps in grades 7-12
36* Early Education 100% Improve performance in PK-3 reading and math including state-required reading academies.

*=NEW HB3 Allotment 

What resources are available for questions about the PIC allotments? 

TEA has developed 30-minute videos and PowerPoint presentations called “HB3 in 30” to explain the changes to each funding source. In addition, directly below each video is a slide presentation that is an excellent review of the entire program including allowable costs (see slide numbers in parenthesis). Please click  here  to view the “HB3 in 30” video series. 

Other Considerations 

  • Be cautious of moving funds out of existing PIC codes such as SPED or Comp Ed to a newer funds such as Early Education or Dyslexia as it could affect Maintenance of Effort for SPED or cause you to fall below the required percentage in Comp Ed. 
  • Salaries should be paid based on the percentage of time an employee works for a program (also called cost objective). It might be appropriate in some cases to “split fund” an employee. For example, if a teacher spends 50% of the day teaching SPED students and 50% of the day teaching At Risk intervention, a 50/50 split of the salary between PIC 23 and 24 would be appropriate. However, keep in mind that split funding between a general fund and a federal fund or a comp ed fund will require written time and effort paperwork. 
  • Supplies and materials should be coded to the program that they primarily serve. For example, phonics materials might be bought and shared by the entire PK program within a campus even though dual language students will be also be using them (PIC 36); however, phonics materials that will only be used by the dual language PK students and are designed for second language acquisition should be coded to PIC 35. 

A deep understanding of the intent and purpose of special program allotments will contribute to a use of funds that truly benefits students in the special programs supported by the additional funding. As you review the budget for the current school year and begin planning for the upcoming year, this information should be utilized to assist in the budgeting and coding decisions related to special program PICs. 

Have questions or need assistance? 

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Would you like to discuss this topic? 

Visit the Charter School Community Roundtable, where you can ask questions, get answers and more!