NY Educ L § 4405 (2021)
2021 New York Laws EDN - Education Title 6 - Special Schools and Instruction Article 89 - Children With Handicapping Conditions 4405 - Computing Financial Responsibility for Special Educational Services for Certain Children With Handicapping Conditions.

§ 4405. Computing  financial  responsibility  for  special educational services  for  certain  children  with   handicapping   conditions.   1. Maintenance  for  children  with  handicapping conditions in residential schools under the provisions of this article or state schools under  the provisions of articles eighty-seven and eighty-eight of this chapter.   a. Maintenance for a student with a disability placed in a residential school  under  the provisions of this article shall be a charge upon the social services district wherein such child resides at the time  of  the commencement  of  the school year for which aid is to be paid. Financial responsibility for the maintenance of a student with a disability placed in a state school under the  provisions  of  articles  eighty-seven  and eighty-eight  of this chapter shall be in accordance with the provisions of such articles.   c. Expenditures made by a social services district for the maintenance of a child with a disability placed in a residential  school  under  the provisions  of  this article, including a child with a disability placed by a school district committee on special  education  pursuant  to  this article  in  a special act school district, or a state school subject to the  provisions  of  articles  eighty-seven  and  eighty-eight  of  this chapter,  shall  be  subject  to  reimbursement  by  the  child's school district of residence pursuant to the provisions of subdivision  ten  of section  one  hundred fifty-three of the social services law. The amount of such reimbursement shall be a charge upon  such  school  district  of residence.   2.  Transportation  expense.  The transportation expense of each child with a handicapping  condition  shall  be  aidable  in  accordance  with subdivision  seven  of  section  thirty-six hundred two of this chapter; provided, however, that for  the  school  year  commencing  July  first, nineteen  hundred  seventy-six,  school  districts  shall be apportioned ninety per centum of the estimated amount of its approved costs of  such year  for  the  transportation  of children with handicapping conditions whose transportation was formerly provided under a  family  court  order and  is now a charge upon the school district, subject to the adjustment of any errors after the actual costs are ascertained.   3. Computing state financial responsibility for operating expenses for certain children with handicapping conditions.   a. In addition to any other apportionments  under  the  provisions  of this  chapter,  there  shall  be  apportioned  to each applicable school district for each child with a handicapping condition in attendance in a state school under the provisions of paragraph d of subdivision  two  of section  forty-four  hundred  one of this article or an approved program under the provisions of  paragraphs  e,  f,  g,  h,  i  and  l  of  such subdivision  two, the product of such attendance, computed in accordance with regulations of the commissioner, and the excess cost aid: an amount computed by multiplying the excess cost, as defined in  subdivision  six of section forty-four hundred one of this article by the excess cost aid ratio defined in subdivision seven of this section.   b.  In  addition  to  the  apportionment provided to a school district pursuant to paragraph a of this subdivision  for  the  attendance  of  a child  with  a  handicapping  condition  in  a  state  school  under the provisions of paragraph d  of  subdivision  two  of  section  forty-four hundred  one  of this article, for each such child in attendance in such school prior to July first, nineteen  hundred  ninety,  there  shall  be apportioned an additional amount. Such amount shall equal the product of the  taper  aidable  cost  multiplied  by the taper aid ratio. The taper aidable cost shall equal the positive remainder resulting when  (i)  the apportionment attributable to such child pursuant to paragraph a of this subdivision  is  subtracted  from  (ii)  the  product  of  such  child's  attendance and the tuition for the state school such child attends.  The taper  aid  ratio  shall  equal the quotient, computed to three decimals without rounding, resulting when the positive remainder of one minus the combined  wealth  ratio,  as  defined  in  subdivision  one  of  section thirty-six hundred two  of  this  chapter  is  divided  by  seventy-five one-hundredths. Such aid ratio shall not be less than zero nor more than one.   c.  The  apportionments  to  each  school  district  pursuant  to this subdivision shall be based on excess cost paid and attendance during the base year.   d. Notwithstanding sections thirty-six hundred  seven  and  thirty-six hundred   nine-a  of  this  chapter,  apportionments  pursuant  to  this subdivision shall be paid to school districts upon submission of reports of attendance and  approved  tuition  expenditures  filed  in  a  format prescribed  by  the  commissioner  and  shall  be  paid  from the annual apportionment of public moneys for the  support  of  public  schools  in accordance with section thirty-six hundred nine-b of this chapter.   4.  a.  The  commissioner  of education and the commissioner of social services shall develop reimbursement methodologies for the  tuition  and maintenance  components  of  approved  private  schools  and special act school districts. The commissioner of education,  in  consultation  with the   appropriate   state   agencies   and   departments,   shall   have responsibility for developing a reimbursement  methodology  for  tuition which  shall be based upon appropriate educational standards promulgated pursuant  to  regulations  of  the  commissioner   of   education.   The commissioner  of social services, in consultation with appropriate state agencies and departments, shall have  responsibility  for  developing  a reimbursement  methodology  for  maintenance,  pursuant to section three hundred ninety-eight-a of the social services law  and  the  regulations promulgated thereunder.   b.   The   commissioner   of  education  shall  develop  reimbursement methodologies for the tuition components and, in consultation  with  the commissioner  of  social services, the maintenance components of the New York state school for the blind and the New York state  school  for  the deaf   based   upon   appropriate   standards  promulgated  pursuant  to regulations of the commissioner of education.   c. The director of the budget, in consultation with  the  commissioner of  education,  the commissioner of social services, and any other state agency or other source the director may deem appropriate, shall  approve reimbursement   methodologies  for  tuition  and  for  maintenance.  Any modification  in  the  approved  reimbursement  methodologies  shall  be subject  to  the approval of the director of the budget. Notwithstanding any other provision of law, rule or regulation to the contrary,  tuition rates  established  for  the  nineteen  hundred  ninety-five--ninety-six school year shall exclude the two  percent  cost  of  living  adjustment authorized    in    rates   established   for   the   nineteen   hundred ninety-four--ninety-five school year.   d. Effective upon final approval by the director of the budget of  the reimbursement  methodologies  for  both  tuition  and  maintenance,  the commissioner of education shall annually determine  a  tuition  rate  in conformance  with this paragraph for each private school and special act school district.   e. Effective upon final approval by the director of the budget of  the reimbursement  methodologies  for  both  tuition  and  maintenance,  the commissioner of social services shall annually determine  a  maintenance rate and a medical services rate, in accordance with this paragraph, for each private school and special act school district where applicable.    f.  Effective upon final approval by the director of the budget of the reimbursement  methodologies  for  both  tuition  and  maintenance,  the commissioner  of  education shall annually determine a tuition rate and, in consultation with the commissioner of social services, a  maintenance rate  and  a  medical  services rate, if applicable, in conformance with this subdivision for the New York state school for the blind and the New York state school for the deaf.   g. All reimbursement rates determined  pursuant  to  this  subdivision shall  be  effective  for  the period July first through June thirtieth. Rates for the following year shall be  submitted  no  later  than  April fifteenth  to  the  director  of the budget. The director shall act upon such rates within forty-five days of submission. Such  rates  shall  not become  effective  until  approved by the director of the budget. In the event that the rates are approved after  July  first,  then  such  rates shall be deemed to apply retroactively to such date.   h.  All  reimbursements  shall  be  subject  to  adjustment  and final determination upon field audit conducted by  the  education  department, the  department  of  social services, the state comptroller or any agent thereof.   i. The commissioner of education, the commissioner of social  services and  the  director of the budget, in consultation with other appropriate state  agencies  and  departments,  shall  enter  into  an   interagency agreement  to  assure effective implementation of the provisions of this paragraph. The agreement shall provide for, but not be limited  to,  the development  of common accounting practices and audit procedures, common information and budget forms, coordinated financial and other  reporting requirements  for  private  schools  and  special  act school districts, mechanisms for resolving appeals of rates established pursuant  to  this section,  and  mechanisms  to  evaluate  and  recommend  modification to reimbursement methodologies.   j. (i) If the board of education of  a  special  act  school  district listed in chapter five hundred sixty-six of the laws of nineteen hundred sixty-seven,  as  amended, seeks to close a special act school district, the board of education of the special act school district shall  provide written notice to the commissioner with a plan for closure of the school at  least ninety days prior to the closing date. Such plan shall include provision for the safe and orderly  transfer  of  each  student  with  a disability  who  was  publicly  placed in the program and a detailed and itemized list of estimated expenses necessary to close down  the  school and  a  detailed  and  itemized  list  of  any  estimated revenues to be received.  (ii) During the close-down period and until  all  necessary  financial obligations  of  the  school  district  have  been  met pursuant to this paragraph, the commissioner shall require the board of education of  the school district to periodically submit, as required by the commissioner, financial  reports  and  financial  statements,  detailing  any tuition, and/or close-down costs and any  revenues  generated.  In  applying  the reimbursement  methodology  to any remaining tuition costs and any other reasonable and appropriate expenses needed to close-down the special act school district, the commissioner shall reject any close-down costs that are unnecessary or unreasonable to close-down the school, whether or not the board of education submits a close-down plan.   k. The tuition methodology established pursuant  to  this  subdivision for the two thousand twenty-one--two thousand twenty-two school year and annually  thereafter  shall  authorize  approved  private residential or non-residential schools for the education of students with  disabilities that  are  located within the state, and special act school districts to retain funds  in  excess  of  their  allowable  and  reimbursable  costs  incurred  for services and programs provided to school-age students. The amount of funds that may be  annually  retained  shall  not  exceed  one percent  of  the  school's  or  school  district's  total  allowable and reimbursable  costs  for  services  and  programs provided to school-age students for the school year from which the funds are  to  be  retained; provided  that  the total accumulated balance that may be retained shall not exceed four percent of such total costs for such  school  year;  and provided   further   that   such  funds  shall  not  be  recoverable  on reconciliation of tuition rates, and  shall  be  separate  from  and  in addition   to  any  other  authorization  to  retain  surplus  funds  on reconciliation. Funds may be expended only pursuant to an  authorization of  the  governing board of the school or school district, for a purpose expressly authorized as part of the approved tuition methodology for the year in which the funds are to be expended, provided that funds  may  be expended  to  pay  prior  year  outstanding  debts. Any school or school district that retains funds pursuant to this paragraph shall be required to annually report a statement of the total balance of any such retained funds, the amount, if any,  retained  in  the  prior  school  year,  the amount,  if  any, dispersed in the prior school year, and any additional information requested by the department as part of the financial reports that are required to be annually submitted to the department.   5. The commissioner shall annually determine the tuition rate and  the commissioner of social services shall annually determine the maintenance rate for special services or programs provided during the months of July and  August for children with handicapping conditions entitled to attend public schools without  the  payment  of  tuition  pursuant  to  section thirty-two  hundred  two of this chapter.  The commissioner of education shall annually determine the tuition  rate,  maintenance  rate  and  the medical  services  rate,  if applicable, for such children attending the New York state school for the blind or the New York state school for the deaf during  the  months  of  July  and  August.  Such  rates  shall  be determined   in   conformance   with   the  reimbursement  methodologies established pursuant to subdivision four of this section  and  shall  be subject  to  the  approval of the division of the budget. Rates shall be determined for all special services or programs as  defined  in  section forty-four  hundred  one  of  this  chapter  and offered during July and August.   6. Tuition and maintenance rates established pursuant to this section, once certified by the director of the  budget,  shall  be  used  in  all contracts  for  the  provision  of  programs and services for which such rates were established, provided, however, that the  commissioner  shall prorate  the  amount  to  be paid for an individual pupil enrolled for a period of time which is less than the full period of time  approved  for such program or services.