S T A T E O F N E W Y O R K
________________________________________________________________________
5568--A
2013-2014 Regular Sessions
I N S E N A T E
May 21, 2013
___________
Introduced by Sen. FLANAGAN -- (at request of the State Comptroller) --
read twice and ordered printed, and when printed to be committed to
the Committee on Education -- committee discharged, bill amended,
ordered reprinted as amended and recommitted to said committee
AN ACT to amend the education law, in relation to special education
services and programs for preschool children with disabilities; to
amend the education law, in relation to audits by the state comp-
troller of the expenses reported by program providers of special
education services for preschool children with disabilities; and
directing the department of education to study alternative systems of
reimbursement methodologies and monitoring protocols for the tuition
and maintenance components of special education services programs for
preschool children with disabilities
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Paragraph c of subdivision 4 of section 4410 of the educa-
tion law, as amended by chapter 474 of the laws of 1996, is amended to
read as follows:
c. The documentation of the evaluation shall include all assessment
reports and a summary report of the findings of the evaluation on a form
prescribed by the commissioner including a detailed statement of the
preschool child's individual needs. The summary report shall not make
reference to any specific provider of special services or programs. In
addition, with the consent of the parents, approved evaluators and
committees shall be provided with the most recent evaluation report for
a child in transition from programs and services provided pursuant to
title two-a of article twenty-five of the public health law. Nothing
shall prohibit an approved evaluator or the committee from reviewing
other assessments or evaluations to determine if such assessments or
evaluations fulfill the requirements of the regulations of the commis-
sioner. Notwithstanding any inconsistent provisions of this section, the
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD10634-09-3
S. 5568--A 2
committee, in its discretion, may obtain an evaluation of the child from
another approved evaluator prior to making any recommendation that would
place a child in the approved program that conducted the [initial] eval-
uation of the child. IF THE COMMITTEE RECOMMENDS PLACING A CHILD IN AN
APPROVED PROGRAM THAT ALSO CONDUCTED AN EVALUATION OF SUCH CHILD IT
SHALL INDICATE IN WRITING THAT SUCH PLACEMENT IS AN APPROPRIATE ONE FOR
THE CHILD. IN ADDITION, THE COMMITTEE SHALL PROVIDE NOTICE TO THE
COMMISSIONER OF SUCH RECOMMENDATION.
S 2. Subdivision 9 of section 4410 of the education law is amended by
adding a new paragraph g to read as follows:
G. AS PART OF AN APPLICATION SUBMITTED PURSUANT TO PARAGRAPH A OF THIS
SUBDIVISION, A PROVIDER OF SPECIAL SERVICES OR PROGRAMS SHALL CERTIFY
PURSUANT TO REGULATIONS PROMULGATED BY THE COMMISSIONER THAT IT WILL
TAKE MEASURES TO ENSURE ITS EXECUTIVE DIRECTOR OR PERSON PERFORMING THE
DUTIES OF A CHIEF EXECUTIVE OFFICER: (I) MEETS THE CRITERIA ESTABLISHED
BY THE COMMISSIONER TO BE AN EXECUTIVE DIRECTOR; AND (II) IF PAID AS A
FULL TIME EXECUTIVE DIRECTOR, HE OR SHE IS EMPLOYED IN A FULL TIME, FULL
YEAR POSITION AND SHALL NOT ENGAGE IN ACTIVITY THAT WOULD INTERFERE WITH
OR IMPAIR SUCH EXECUTIVE DIRECTOR'S ABILITY TO CARRY OUT AND PERFORM HIS
OR HER DUTIES, RESPONSIBILITIES AND OBLIGATIONS.
S 3. The education law is amended by adding a new section 4410-c to
read as follows:
S 4410-C. AUDITS OF SPECIAL EDUCATION SERVICES PROGRAM PROVIDERS FOR
PRESCHOOL CHILDREN WITH DISABILITIES. 1. NOTWITHSTANDING ANY OTHER
PROVISION OF LAW TO THE CONTRARY AND WITHIN SUCH FUNDS AS ARE MADE
AVAILABLE FOR SUCH PURPOSE, THE COMPTROLLER SHALL AUDIT THE EXPENSES
REPORTED TO THE DEPARTMENT BY EVERY PROGRAM PROVIDER OF SPECIAL EDUCA-
TION SERVICES FOR PRESCHOOL CHILDREN WITH DISABILITIES IN THE STATE.
PURSUANT TO A PLAN DEVELOPED BY THE COMPTROLLER, SUCH AUDITS SHALL BE
CONDUCTED IN A MANNER SO AS TO CAUSE EVERY SUCH PROVIDER TO BE AUDITED
BY THE COMPTROLLER AT LEAST ONCE BY MARCH THIRTY-FIRST, TWO THOUSAND
EIGHTEEN.
2. A. THE PRIORITY AND FREQUENCY OF SUCH AUDITS, AND ANY AUDITS
CONDUCTED THEREAFTER, SHALL BE BASED UPON A RISK ASSESSMENT PROCESS
CONDUCTED BY THE COMPTROLLER WHICH MAY INCLUDE INVESTIGATIONS OF ALLEGED
IMPROPRIETIES, PREVIOUS AUDIT FINDINGS AND RECOMMENDATIONS, OR OTHER
FINANCIAL PERFORMANCE INDICATORS.
B. IN UNDERTAKING SUCH AUDITS THE COMPTROLLER'S REVIEW SHALL INCLUDE,
BUT NOT BE LIMITED TO, EXAMINING, AUDITING AND EVALUATING RELEVANT
FINANCIAL DOCUMENTS AND RECORDS OF PROVIDERS FOR THE PARTICULAR YEARS
INCLUDED WITHIN THE SCOPE OF THE AUDIT.
C. ALL AUDITS SHALL INCLUDE ANY APPROPRIATE FINDINGS AND RECOMMENDA-
TIONS OF THE COMPTROLLER REGARDING THE PROPRIETY OF THE AMOUNTS REPORTED
AS EXPENSES TO THE DEPARTMENT AS WELL AS ANY OTHER FINDINGS DEEMED
APPROPRIATE WITH RESPECT TO THE PUBLIC FUNDING OF THE SPECIAL EDUCATION
SERVICES.
D. THE COMPTROLLER SHALL REFER ANY FINDINGS OF FRAUD, ABUSE OR OTHER
CONDUCT CONSTITUTING A CRIME THAT ARE UNCOVERED DURING THE COURSE OF AN
AUDIT, AS WARRANTED TO AN APPROPRIATE AGENCY OR AGENCIES POSSESSING
JURISDICTION.
E. THE FINAL AUDIT REPORT RESULTING FROM AUDITS PERFORMED PURSUANT TO
THIS SECTION SHALL BE POSTED TO THE DEPARTMENT'S INTERNET WEBSITE AND
OTHERWISE MADE AVAILABLE TO THE PUBLIC UPON REQUEST FOR A PERIOD OF AT
LEAST FIVE YEARS. FURTHERMORE, THE AUDITED PROVIDER SHALL BE REQUIRED TO
POST THE FINAL AUDIT REPORT ON ITS INTERNET WEBSITE, IF ANY, FOR A PERI-
OD OF FIVE YEARS.
S. 5568--A 3
F. THE COMPTROLLER SHALL INFORM AND ADVISE THE GOVERNOR AND THE LEGIS-
LATURE IN DECEMBER OF EACH YEAR REGARDING ITS AUDITS OF EXPENSES
REPORTED TO THE DEPARTMENT BY PROGRAM PROVIDERS OF SPECIAL EDUCATION
SERVICES FOR PRESCHOOL CHILDREN WITH DISABILITIES CONDUCTED DURING THE
PRECEDING TWELVE MONTHS AND REGARDING ANY OTHER PERTINENT INFORMATION
THE COMPTROLLER DEEMS APPROPRIATE.
S 4. The legislature finds that special education services programs
for preschool children with disabilities have been susceptible to fraud
and abuse. Therefore, the New York state department of education is
hereby directed to conduct a comprehensive study of alternative systems
of reimbursement methodologies and monitoring protocols for the tuition
and maintenance components of special education services programs for
preschool children with disabilities.
The results of the study shall be published no later than one year
following the effective date of this act. A copy of the results of such
study shall be submitted to the governor, the state comptroller, the
temporary president of the senate and the speaker of the assembly.
S 5. This act shall take effect immediately; provided, however, that
sections one and two of this act shall take effect on the one hundred
twentieth day after it shall have become a law; provided, further, that
effective immediately the addition, amendment and/or repeal of any rule
or regulation necessary for implementation of this act on its effective
date is authorized to be made on or before such effective date.