Introduction

MOE is a federal requirement that requires grant recipients and/or sub-recipients to...

maintain a certain level of state/local fiscal effort

...to be eligible for full participation in federal grant funding. This calculation is a federal accountability measure to ensure that states and LEAs continue to use state and local funds to operate schools, and not reduce these fund sources as a result of receiving federal funds. Grant recipients or sub-recipients not meeting MOE requirements face loss of a portion of their federal funds.