MS 2021-10-J-Hill-September-30-2021-Official-Attorney-Generals-Opinion-Regarding-the-Sale-o September 30, 2021

Can a Mississippi school district sell laptop computers (purchased with COVID Equity in Distance Learning Act funds) to graduating seniors?

Short answer: Yes. The 2021 opinion concluded that a Mississippi school district may sell laptop computers, purchased with grants under the Equity in Distance Learning Act (EDLA), to graduating twelfth graders. The EDLA itself (Section 37-68-11(f)(iii)) explicitly contemplates such sales. The sale must comply with Section 37-7-459 (which governs computer sales to students), the district's responsible use policy, and any assurances the district made to the Mississippi Department of Education in its grant application.
Disclaimer: This is an official Mississippi Attorney General opinion. AG opinions are persuasive authority but not binding precedent. This summary is for informational purposes only and is not legal advice. Consult a licensed Mississippi attorney for advice on your specific situation.

Plain-English summary

During the COVID-19 pandemic, the Mississippi Legislature passed the Equity in Distance Learning Act (EDLA) to fund devices and other technology for school distance learning. The Mississippi Department of Education (MDE) administered the EDLA grant program. The Starkville Oktibbeha Consolidated School District (SOCSD) used EDLA funds to buy laptops for students.

A year later, the District wanted to let graduating Grade 12 students purchase the laptops they had been using. The District had adopted a "responsible use policy" authorizing such purchases, as required by the EDLA. The grant application also contained an assurance that "all students and teachers will have access to the above devices through June of 2023."

The District's attorney asked: can we sell the EDLA laptops to graduating seniors?

The AG said yes. The EDLA itself provides explicit authority. Section 37-68-11(f)(iii) requires districts to adopt responsible use policies that include a provision acknowledging that the school controls ownership and liability for devices purchased under the program until the device:

  1. No longer serves school purposes (and is sold by public auction under Section 17-25-25), OR
  2. Is sold to students in Grade 12 under Section 37-7-459, OR
  3. Is traded in to a vendor as part of a subsequent purchase

So the EDLA expressly contemplated student sales as one of three permitted exit routes for devices. The student sale must follow Section 37-7-459, which is Mississippi's general statute on selling computers to students.

The conditions:
- District must have a responsible use policy complying with Section 37-68-11(f)(iii).
- Sale must be consistent with that policy and Section 37-7-459.
- District must adhere to assurances in its grant application to MDE.

If those are met, the District can sell. The AG declined to interpret the District's specific policy or the MDE grant program regulations, citing the limit in Section 7-5-25 (AG opinions cover state law, not local policies or agency regulations).

What this means for you

For Mississippi school districts that received EDLA funds

Once the laptops have been used through their distance-learning purpose (or once Grade 12 students are graduating), you have three permitted dispositions:

  1. Public auction under Section 17-25-25 (when no longer needed for school purposes)
  2. Sale to graduating Grade 12 students under Section 37-7-459
  3. Trade-in to a vendor on subsequent purchases

For sales to students:
- Confirm your responsible use policy complies with Section 37-68-11(f)(iii)
- Set sale prices and procedures consistent with Section 37-7-459
- Honor any specific assurances in your MDE grant application
- Document each sale on the District's records

For graduating Mississippi high school seniors and their families

If your school district has EDLA-funded laptops and is offering graduating seniors a chance to buy theirs:
- The legal authority for the sale is established
- Pricing should be consistent with Section 37-7-459 (typically reflecting depreciation and fair value)
- The sale is voluntary; you do not have to buy
- After purchase, the laptop is your property; the school's ownership and liability ends
- Confirm with the school's responsible use policy what conditions (if any) apply

For Mississippi school district attorneys

When advising on EDLA-funded device sales:
- Read the District's responsible use policy carefully
- Read the District's MDE grant application for assurances
- Apply Section 37-7-459's procedures
- Document the policy compliance and the sale on the District's records

If the District never adopted a complete responsible use policy compliant with Section 37-68-11(f)(iii), correct that gap before any sales.

For the Mississippi Department of Education

EDLA grant administration includes ensuring grantees comply with the Act's responsible-use-policy and disposition requirements. When school districts ask about device disposition, the legal framework is settled (the 2021 opinion confirms it). MDE guidance can elaborate on operational details.

For Mississippi school district business officers

Disposition of EDLA devices needs proper accounting:
- Devices purchased with EDLA funds are District property until disposed
- Sales to students generate revenue (typically deposited to the District's general fund or to a designated account per District policy)
- Trade-ins reduce the cost of subsequent purchases
- Public auction proceeds go to the District per Section 17-25-25's procedures

Each disposition method has its own accounting treatment.

For prospective grant programs

The EDLA model (grant funds for devices, with disposition options including student sales) is a reasonable template for similar future programs. The key design elements:
- Grant program statute specifies allowable dispositions
- Districts adopt responsible use policies as a condition of receiving funds
- Students benefit from the devices during use, then can purchase upon graduation
- Schools are not stuck holding obsolete or post-grant devices

Common questions

Q: What is the EDLA?
A: The Equity in Distance Learning Act, enacted in 2020 in response to COVID-19, provided state funding for devices and technology to enable distance learning. School districts could submit eligible expenses to MDE for reimbursement under the grant program.

Q: Were these laptops actually purchased by the District or by the students?
A: Purchased by the District with state grant funds. Students received them for distance learning use. Until disposition (including possible sale to students), the District owns them.

Q: What is Section 37-7-459?
A: Mississippi's general statute on selling computers to students. It allows school districts to sell computers to students under specified conditions, including pricing that reflects fair value or depreciation.

Q: How is the sale price determined?
A: That is set by Section 37-7-459 and the District's policy. Typically, used computers sold to students are priced at fair market value taking into account age and condition. The 2021 opinion does not specify the calculation; it leaves that to Section 37-7-459 and the District's policy.

Q: What if a student bought the laptop and it later breaks?
A: After the sale, the laptop is the student's property. Manufacturer warranty (if any) and student responsibility apply. The school's ownership and liability ended at the sale.

Q: Can the District sell to non-graduating students?
A: The EDLA's Section 37-68-11(f)(iii) specifies sales to "students in Grade 12." Sales to younger students would not fit that statutory pathway. Younger students continue to use the devices through the school year. The District could potentially sell devices that have been declared no longer needed for school purposes through public auction (Section 17-25-25), which is open to all bidders.

Q: Does this apply to other school technology, not just laptops?
A: The EDLA covers "devices and other technology, including technology related to connectivity and online access." Tablets, hotspots, headsets, and similar devices purchased under EDLA likely fall within the same disposition rules. Apply the same analysis: consistent with policy, consistent with Section 37-7-459 (or 17-25-25), consistent with grant assurances.

Q: What if the grant application restricts later sales?
A: The opinion notes that the District's grant application contained an assurance that "all students and teachers will have access to the above devices through June of 2023." So the District committed to keep the devices in use through that date. Selling to graduating seniors removes specific devices from access by future students. The District must honor its assurances. If the assurance prevents Grade 12 sales, the sales cannot proceed despite Section 37-68-11(f)(iii)'s general authority.

Q: Can a private company buy these laptops in bulk?
A: Section 37-68-11(f)(iii) lists three disposition routes: public auction, Grade 12 student sales, and vendor trade-in. A private bulk sale to a non-vendor buyer is not on the list. Public auction would be the closest path; bulk buyers can bid at auction.

Q: Can the District donate the laptops to nonprofits?
A: Not under the EDLA's three disposition routes. And as the Rimes (June 28, 2021) opinion in this batch reminded, donating school district property to a nonprofit raises Section 66 unlawful-donation concerns. The clean paths are sale, auction, or trade-in.

Background and statutory framework

The EDLA was Mississippi's response to the educational disruption from COVID-19. Section 37-68-3(2)(a) describes the purpose: "to provide funding for devices and other technology, including technology related to connectivity and online access, sufficient for students, teachers, and administrators and other staff to engage in grade-appropriate distance learning."

The EDLA's grant administration:
- MDE administers the grant program (Section 37-68-7(1))
- School districts submit eligible expenses for reimbursement (Section 37-68-9(1)(b)(i))
- Districts must comply with eligibility conditions, including a responsible use policy

The responsible use policy, under Section 37-68-11(f)(iii), must:
- Address use of devices and technology
- Require students, parents, teachers, administrators, and staff to agree in writing
- Optionally include fines for intentional loss or damage
- Acknowledge the school's ownership and liability for devices, until disposition through one of three approved paths

The disposition list is the key for this opinion. The legislature explicitly contemplated three exit routes:
1. Auction under Section 17-25-25 (the standard surplus-property auction statute)
2. Grade 12 sales under Section 37-7-459 (the computer-sale-to-students statute)
3. Vendor trade-in

Section 37-7-459 is the operating statute for computer sales to students. It predates the EDLA and was already part of the school finance landscape. The EDLA's reference to it incorporates the existing framework.

The AG's reluctance to interpret District policy or MDE regulations is consistent with Section 7-5-25's limit. The Carnathan (2015) and Brett (1988) opinions cited establish the rule that AG opinions cover state law but not local ordinances, regulations, or rules. MDE's grant program guidance is the kind of regulatory material the AG won't interpret.

Citations and references

Statutes:
- Miss. Code Ann. § 7-5-25, AG opinions limited to state law
- Miss. Code Ann. § 17-25-25, public auction of surplus property
- Miss. Code Ann. § 37-7-459, sale of computers to students
- Miss. Code Ann. § 37-68-3(2)(a), EDLA purpose
- Miss. Code Ann. § 37-68-7(1), MDE administration of EDLA grant
- Miss. Code Ann. § 37-68-9(1)(b)(i), reimbursement process
- Miss. Code Ann. § 37-68-11(f)(iii), responsible use policy disposition options

Prior AG opinions:
- MS AG Op., Carnathan (May 1, 2015), AG does not interpret board or agency policies/regulations
- MS AG Op., Myers (May 14, 2021), same
- MS AG Op., Brett (May 31, 1988), AG does not interpret local ordinances or rules

Source

Original opinion text

September 30, 2021

John S. Hill, Esq.
Attorney for the Starkville Oktibbeha Consolidated School District
Post Office Box 7120
Tupelo, Mississippi 38802-7120

Re: Official Attorney General's Opinion Regarding the Sale of Laptop Computers to Twelfth Grade Graduating Students

Dear Mr. Hill:

The Office of the Attorney General has received your request for an official opinion.

Background Facts

In your request, you state that the Starkville Oktibbeha Consolidated School District (the "District") purchased an unidentified number of laptop computers with funds obtained by a grant administered by the Mississippi Department of Education (the "MDE") under the Equity in Distance Learning Act (the "EDLA"). The computers are less than one year old. Pursuant to the EDLA, the District has adopted a "responsible use policy" that authorizes the "student purchase of district issued technology" by twelfth grade students, to the extent such sale is consistent with state and federal law, and you enclosed with your request a copy of such policy.

Your request also notes that in the grant application submitted by the District to the MDE, the District made the assurance that "[a]ll students and teachers will have access to the above devices through June of 2023 (unless they otherwise leave the district)."

Question Presented

May the District allow graduating seniors to purchase laptop computers assigned to them if they meet the criteria stated in the District's responsible use policy even though those computers are one year old and purchased with EDLA funds?

Brief Response

The EDLA authorizes the sale of "devices and other technology" purchased under the EDLA grant program to students in Grade 12, provided that such sale comports with Mississippi Code Annotated Section 37-7-459.

Applicable Law and Discussion

Pursuant to Section 7-5-25, the Office of the Attorney General is authorized to issue official opinions in response to questions of state law only. Thus, we cannot by official opinion interpret the terms or provisions of the District's "reasonable use policy," the grant application referenced in your request, or any guidance or regulations promulgated by the MDE to administer the EDLA grant program. MS AG Op., Carnathan at 1 (May 1, 2015) (noting that the Office of the Attorney General does not interpret board or agency policies or regulations by official opinion); MS AG Op., Myers at 1 (May 14, 2021) (quoting MS AG Op., Brett at *1 (May 31, 1988) ("Under the provisions of Section 7-5-25, Miss. Code of 1972, this office may not interpret local ordinances, resolutions, regulations or rules.")).

During the 2020 Regular Legislative Session, in the wake of the COVID-19 pandemic, the Mississippi Legislature enacted the EDLA to "provide funding for devices and other technology, including technology related to connectivity and online access, sufficient for students, teachers, and administrators and other staff to engage in grade-appropriate distance learning aligned with the state's College and Career Readiness Standards, and provide funding for safe classroom or remote instruction." Miss. Code Ann. § 37-68-3(2)(a). The Legislature empowered the MDE to administer the grant program "for the purpose of reimbursing schools for eligible expenses incurred in funding their distance learning plans, and in facilitating safe classroom and remote instruction." Miss. Code Ann. § 37-68-7(1). Under the EDLA, school districts are to "submit expenditures [to the MDE] and receive reimbursement for eligible expenses." Miss. Code Ann. § 37-68-9(1)(b)(i).

The EDLA sets forth various requirements with which a school district must comply to be eligible to receive funds under the grant program. One such requirement mandates districts to develop and submit to the MDE, by September 1, 2020, the following:

A responsible use policy, addressing the use of devices and other technology purchased under this grant program. The policy shall include a provision requiring students, parents or guardians, teachers, administrators and other staff to agree in writing to the provisions in the policy, and may include fines for intentional loss or damage to devices. The policy shall also include a provision acknowledging that the school shall assume the control of ownership and liability for personal devices and other equipment purchased under this grant program until the personal device or other equipment:

  1. No longer serves the school or related school purposes for which it was acquired and is sold by public auction under Section 17-25-25;

  2. Is sold to students in Grade 12 under the provisions of Section 37-7-459; or

  3. Is traded in to a vendor as part of a subsequent purchase; . . . .

Miss. Code Ann. § 37-68-11(f)(iii) (emphasis added). The EDLA explicitly envisions school districts selling, to Grade 12 students, devices purchased by such districts with EDLA grant funds. Such sales should be conducted pursuant to Section 37-7-459, which governs the process for selling computers to students.

Accordingly, provided the District has enacted a policy that complies with Section 37-68-11(f)(iii), the sale is consistent with such policy and Section 37-7-459, and the District adheres to assurances made within the grant application to MDE, the District may allow Grade 12 students to purchase the laptop computers, purchased by the District with EDLA grant funds, assigned to them.

If this office may be of any further assistance to you, please do not hesitate to contact us.

Sincerely,

LYNN FITCH, ATTORNEY GENERAL

By: /s/ Kyle Williams
Kyle Williams
Special Assistant Attorney General