July 2, 2007

Honorable Valerie Woodruff

Delaware Department of Education

401 Federal Street, Suite 2

Dover, DE 19901-3639

Dear Secretary Woodruff:

This is to inform you that your State's application for Federal Fiscal
Year (FFY) 2007 funds, under Part B of the Individuals with Disabilities
Education Act (Part B), can be approved. Our approval is based on review
of your application submitted by the Delaware Department of Education to
the U.S. Department of Education, Office of Special Education Programs
(OSEP), on May 3, 2007**,** and revised on June 21, 2007, including
assurances provided in Section II which are incorporated by reference to
this letter as noted in Enclosure A.

Enclosed are grant awards for funds currently available under the
Department of Education FFY 2007 Appropriations Act for the Part B
Section 611 (Grants to States) and Section 619 (Preschool Grants)
programs. These funds are for use primarily in school year 2007-2008 and
are available for obligation by States from July 1, 2007 through
September 30, 2009.

Please note that as part of your application for FFY 2007, your State
has made an assurance, in 34 CFR §80.11(c), that it will comply with all
applicable Federal statutes and regulations in effect with respect to
the periods for which it receives grant funding. Any changes made by the
State, after OSEP approval, to information that is a part of a State's
application, must meet the public participation requirements in 34 CFR
§300.165.

The amount in your award for Section 619 represents the full amount of
funds to which you are entitled. However, the amount shown in your award
for the Section 611 program is only part of the total funds that will be
awarded to you for FFY 2007. Of the \$10,782,961,000 appropriated for
Section 611 in FFY 2007, \$5,358,761,000 is available for awards on July
1, 2007, and \$5,424,200,000 will be available on October 1, 2007.

Under the Section 611 formula, subject to certain maximum and minimum
funding requirements, State allocations are based on the amount that
each State received from FFY 1999 funds, the general population in the
age range for which each State ensures a free appropriate public
education (FAPE) to all children with disabilities, and the number of
children living in poverty in the age range for which each State ensures
FAPE to all children with disabilities. At the level of the decrease in
the appropriation for the Preschool Grant program compared to that for
prior years, each State is first allocated the amount it received for
FFY 1997. The remaining funds are allocated based on the relative amount
of the increase in funding that the State received between FFYs 1997 and
2006, as compared to the total of such increases for all States.

Enclosure B provides a short description of how Section 611 funds were
allocated and how those funds can be used. In addition, Table I in
Enclosure B shows funding levels for distribution of Section 611 funds
and the parameters for within-State allocations. Table II in Enclosure B

shows your State-specific information for within-State distribution of
611 funds based on your State's application. If you disagree with the
information in Enclosure B Table II, notify your State contact
immediately.

Enclosure C provides a short description of how Section 619 funds were
allocated and how those funds can be used. In addition, Table III in
Enclosure C shows State-by-State funding levels for distribution of
Section 619 funds.

Section 611(e)(1)(C) of the IDEA provides that \"\[p\]rior to
expenditure of funds under this paragraph \[section 611(e)(1) concerning
funds for State administration\], the State shall certify to the
Secretary that the arrangements to establish responsibility for services
pursuant to section 612(a)(12)(A) are current.\" We read this provision
to mean that if a State does not have interagency agreements or other
arrangements in place to establish responsibility for the provision of
services, the State may not expend funds available to the State under
section 611(e)(1) \[State administration funds\] until the State has
these agreements or arrangements in place.

Under section 608(a)(2) of the IDEA, each State that receives funds
under Part B is required to inform in writing local educational agencies
located in the State of any State-imposed rule, regulation, or policy
that is not required by IDEA or Federal regulations. A State may use the
same list of State-imposed rules, regulations and policies that it was
required to submit to the Department in Section IV of its Part B
application for this purpose.

The enclosed grant award for FFY 2007 is made with the continued
understanding that this Office may, from time to time, require
clarification of information within your application, if necessary.
These inquiries are needed to allow us to appropriately carry out our
administrative responsibilities related to Part B.

Section 606 provides that each recipient of assistance under IDEA make
positive efforts to employ and advance in employment qualified
individuals with disabilities in programs assisted under the IDEA.
Therefore, by accepting this grant a State is expressly agreeing as a
condition of IDEA funding to ensuring that positive efforts are made to
employ and advance employment of qualified individuals with disabilities
in programs assisted under the IDEA.

We appreciate your ongoing commitment to the provision of quality
educational services to children with disabilities.

> Sincerely,
>
> /s/ Patricia J. Guard

###### Patricia J. Guard

> Acting Director

Office of Special Education Programs

Enclosures

######### Enclosure A

Enclosure B

> Enclosure C

cc: Martha Toomey