N.Y. Educ. Law § 4405

§ 4405. Computing financial responsibility for special educational\nservices for certain children with handicapping conditions. 1.\nMaintenance for children with handicapping conditions in residential\nschools under the provisions of this article or state schools under the\nprovisions of articles eighty-seven and eighty-eight of this chapter.\n a. Maintenance for a student with a disability placed in a residential\nschool under the provisions of this article shall be a charge upon the\nsocial services district wherein such child resides at the time of the\ncommencement of the school year for which aid is to be paid. Financial\nresponsibility for the maintenance of a student with a disability placed\nin a state school under the provisions of articles eighty-seven and\neighty-eight of this chapter shall be in accordance with the provisions\nof such articles.\n b. Expenditures made by a social services district for the maintenance\nof a child with a disability placed in a residential school under the\nprovisions of this article, including a child with a disability placed\nin a special act school district by a school district committee on\nspecial education pursuant to this article, or a child with a disability\nplaced in a state school under the provisions of articles eighty-seven\nand eighty-eight of this chapter shall be subject to reimbursement by\nthe state pursuant to the provisions of subdivision ten of section one\nhundred fifty-three of the social services law. Expenditures shall\ninclude both direct payments and deductions from state aid made by the\ncomptroller, if any, in lieu of such direct payments.\n c. Expenditures made by a social services district for the maintenance\nof a child with a disability placed in a residential school under the\nprovisions of this article, including a child with a disability placed\nby a school district committee on special education pursuant to this\narticle in a special act school district, or a state school subject to\nthe provisions of articles eighty-seven and eighty-eight of this\nchapter, shall be subject to thirty-eight and four hundred twenty-four\nthousandths percent reimbursement by the child's school district of\nresidence pursuant to the provisions of subdivision ten of section one\nhundred fifty-three of the social services law. The amount of such\nreimbursement shall be a charge upon such school district of residence.\n 2. Transportation expense. The transportation expense of each child\nwith a handicapping condition shall be aidable in accordance with\nsubdivision seven of section thirty-six hundred two of this chapter;\nprovided, however, that for the school year commencing July first,\nnineteen hundred seventy-six, school districts shall be apportioned\nninety per centum of the estimated amount of its approved costs of such\nyear for the transportation of children with handicapping conditions\nwhose transportation was formerly provided under a family court order\nand is now a charge upon the school district, subject to the adjustment\nof any errors after the actual costs are ascertained.\n 3. Computing state financial responsibility for operating expenses for\ncertain children with handicapping conditions.\n a. In addition to any other apportionments under the provisions of\nthis chapter, there shall be apportioned to each applicable school\ndistrict for each child with a handicapping condition in attendance in a\nstate school under the provisions of paragraph d of subdivision two of\nsection forty-four hundred one of this article or an approved program\nunder the provisions of paragraphs e, f, g, h, i and l of such\nsubdivision two, the product of such attendance, computed in accordance\nwith regulations of the commissioner, and the excess cost aid: an amount\ncomputed by multiplying the excess cost, as defined in subdivision six\nof section forty-four hundred one of this article by the excess cost aid\nratio defined in subdivision seven of this section.\n b. In addition to the apportionment provided to a school district\npursuant to paragraph a of this subdivision for the attendance of a\nchild with a handicapping condition in a state school under the\nprovisions of paragraph d of subdivision two of section forty-four\nhundred one of this article, for each such child in attendance in such\nschool prior to July first, nineteen hundred ninety, there shall be\napportioned an additional amount. Such amount shall equal the product of\nthe taper aidable cost multiplied by the taper aid ratio. The taper\naidable cost shall equal the positive remainder resulting when (i) the\napportionment attributable to such child pursuant to paragraph a of this\nsubdivision is subtracted from (ii) the product of such child's\nattendance and the tuition for the state school such child attends. The\ntaper aid ratio shall equal the quotient, computed to three decimals\nwithout rounding, resulting when the positive remainder of one minus the\ncombined wealth ratio, as defined in subdivision one of section\nthirty-six hundred two of this chapter is divided by seventy-five\none-hundredths. Such aid ratio shall not be less than zero nor more than\none.\n c. The apportionments to each school district pursuant to this\nsubdivision shall be based on excess cost paid and attendance during the\nbase year.\n d. Notwithstanding sections thirty-six hundred seven and thirty-six\nhundred nine-a of this chapter, apportionments pursuant to this\nsubdivision shall be paid to school districts upon submission of reports\nof attendance and approved tuition expenditures filed in a format\nprescribed by the commissioner and shall be paid from the annual\napportionment of public moneys for the support of public schools in\naccordance with section thirty-six hundred nine-b of this chapter.\n 4. a. The commissioner of education and the commissioner of social\nservices shall develop reimbursement methodologies for the tuition and\nmaintenance components of approved private schools and special act\nschool districts. The commissioner of education, in consultation with\nthe appropriate state agencies and departments, shall have\nresponsibility for developing a reimbursement methodology for tuition\nwhich shall be based upon appropriate educational standards promulgated\npursuant to regulations of the commissioner of education. The\ncommissioner of social services, in consultation with appropriate state\nagencies and departments, shall have responsibility for developing a\nreimbursement methodology for maintenance, pursuant to section three\nhundred ninety-eight-a of the social services law and the regulations\npromulgated thereunder.\n b. The commissioner of education shall develop reimbursement\nmethodologies for the tuition components and, in consultation with the\ncommissioner of social services, the maintenance components of the New\nYork state school for the blind and the New York state school for the\ndeaf based upon appropriate standards promulgated pursuant to\nregulations of the commissioner of education.\n c. The director of the budget, in consultation with the commissioner\nof education, the commissioner of social services, and any other state\nagency or other source the director may deem appropriate, shall approve\nreimbursement methodologies for tuition and for maintenance. Any\nmodification in the approved reimbursement methodologies shall be\nsubject to the approval of the director of the budget. Notwithstanding\nany other provision of law, rule or regulation to the contrary, tuition\nrates established for the nineteen hundred ninety-five--ninety-six\nschool year shall exclude the two percent cost of living adjustment\nauthorized in rates established for the nineteen hundred\nninety-four--ninety-five school year.\n d. Effective upon final approval by the director of the budget of the\nreimbursement methodologies for both tuition and maintenance, the\ncommissioner of education shall annually determine a tuition rate in\nconformance with this paragraph for each private school and special act\nschool district.\n e. Effective upon final approval by the director of the budget of the\nreimbursement methodologies for both tuition and maintenance, the\ncommissioner of social services shall annually determine a maintenance\nrate and a medical services rate, in accordance with this paragraph, for\neach private school and special act school district where applicable.\n f. Effective upon final approval by the director of the budget of the\nreimbursement methodologies for both tuition and maintenance, the\ncommissioner of education shall annually determine a tuition rate and,\nin consultation with the commissioner of social services, a maintenance\nrate and a medical services rate, if applicable, in conformance with\nthis subdivision for the New York state school for the blind and the New\nYork state school for the deaf.\n g. All reimbursement rates determined pursuant to this subdivision\nshall be effective for the period July first through June thirtieth.\nRates for the following year shall be submitted no later than April\nfifteenth to the director of the budget. The director shall act upon\nsuch rates within forty-five days of submission. Such rates shall not\nbecome effective until approved by the director of the budget. In the\nevent that the rates are approved after July first, then such rates\nshall be deemed to apply retroactively to such date.\n h. All reimbursements shall be subject to adjustment and final\ndetermination upon field audit conducted by the education department,\nthe department of social services, the state comptroller or any agent\nthereof.\n i. The commissioner of education, the commissioner of social services\nand the director of the budget, in consultation with other appropriate\nstate agencies and departments, shall enter into an interagency\nagreement to assure effective implementation of the provisions of this\nparagraph. The agreement shall provide for, but not be limited to, the\ndevelopment of common accounting practices and audit procedures, common\ninformation and budget forms, coordinated financial and other reporting\nrequirements for private schools and special act school districts,\nmechanisms for resolving appeals of rates established pursuant to this\nsection, and mechanisms to evaluate and recommend modification to\nreimbursement methodologies.\n j. (i) If the board of education of a special act school district\nlisted in chapter five hundred sixty-six of the laws of nineteen hundred\nsixty-seven, as amended, seeks to close a special act school district,\nthe board of education of the special act school district shall provide\nwritten notice to the commissioner with a plan for closure of the school\nat least ninety days prior to the closing date. Such plan shall include\nprovision for the safe and orderly transfer of each student with a\ndisability who was publicly placed in the program and a detailed and\nitemized list of estimated expenses necessary to close down the school\nand a detailed and itemized list of any estimated revenues to be\nreceived.\n (ii) During the close-down period and until all necessary financial\nobligations of the school district have been met pursuant to this\nparagraph, the commissioner shall require the board of education of the\nschool district to periodically submit, as required by the commissioner,\nfinancial reports and financial statements, detailing any tuition,\nand/or close-down costs and any revenues generated. In applying the\nreimbursement methodology to any remaining tuition costs and any other\nreasonable and appropriate expenses needed to close-down the special act\nschool district, the commissioner shall reject any close-down costs that\nare unnecessary or unreasonable to close-down the school, whether or not\nthe board of education submits a close-down plan.\n 5. The commissioner shall annually determine the tuition rate and the\ncommissioner of social services shall annually determine the maintenance\nrate for special services or programs provided during the months of July\nand August for children with handicapping conditions entitled to attend\npublic schools without the payment of tuition pursuant to section\nthirty-two hundred two of this chapter. The commissioner of education\nshall annually determine the tuition rate, maintenance rate and the\nmedical services rate, if applicable, for such children attending the\nNew York state school for the blind or the New York state school for the\ndeaf during the months of July and August. Such rates shall be\ndetermined in conformance with the reimbursement methodologies\nestablished pursuant to subdivision four of this section and shall be\nsubject to the approval of the division of the budget. Rates shall be\ndetermined for all special services or programs as defined in section\nforty-four hundred one of this chapter and offered during July and\nAugust.\n 6. Tuition and maintenance rates established pursuant to this section,\nonce certified by the director of the budget, shall be used in all\ncontracts for the provision of programs and services for which such\nrates were established, provided, however, that the commissioner shall\nprorate the amount to be paid for an individual pupil enrolled for a\nperiod of time which is less than the full period of time approved for\nsuch program or services.\n