2019 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.
  b. 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
in a special act school district  by  a  school  district  committee  on
special education pursuant to this article, or a child with a disability
placed  in  a state school under the provisions of articles eighty-seven
and eighty-eight of this chapter shall be subject  to  reimbursement  by
the  state  pursuant to the provisions of subdivision ten of section one
hundred fifty-three of  the  social  services  law.  Expenditures  shall
include  both  direct payments and deductions from state aid made by the
comptroller, if any, in lieu of such direct payments.
  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.
  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.