S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  6514--A
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               March 8, 2017
                                ___________
 
 Introduced by M. of A. NOLAN, BRINDISI, SEAWRIGHT, THIELE -- (at request
   of  the  State  Education Department) -- read once and referred 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 establishing a fiscal
   stabilization reserve fund as part of the tuition reimbursement  meth-
   odology  for school age programs and providing an annual growth amount
   for the tuition reimbursement for  school  age  programs  operated  by
   in-state  approved  private schools for the education of students with
   disabilities and special act school districts
 
   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 4405 of the educa-
 tion law, as amended by chapter 82 of the laws of 1995,  is  amended  to
 read as follows:
   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 modifi-
 cation  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.] TUITION RATES APPROVED FOR THE TWO THOUSAND SEVENTEEN--TWO
 THOUSAND EIGHTEEN SCHOOL YEAR AND THEREAFTER  FOR  SPECIAL  SERVICES  OR
 PROGRAMS PROVIDED TO SCHOOL-AGE STUDENTS BY APPROVED PRIVATE RESIDENTIAL
 OR  NON-RESIDENTIAL SCHOOLS FOR THE EDUCATION OF STUDENTS WITH DISABILI-
 TIES THAT ARE LOCATED WITHIN  THE  STATE,  AND  BY  SPECIAL  ACT  SCHOOL
 DISTRICTS  SHALL  GROW  BY A PERCENTAGE EQUAL TO THE GREATER OF: (I) THE
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD10036-02-7

 A. 6514--A                          2
 
 AVERAGE, ROUNDED TO THREE DECIMAL PLACES, OF THE QUOTIENTS OF THE  TOTAL
 PERSONAL  INCOME OF TAXPAYERS IN THE STATE FOR EACH STATE FISCAL YEAR IN
 THE THREE-YEAR PERIOD FINISHING WITH THE  STATE  FISCAL  YEAR  ONE  YEAR
 PRIOR  TO THE STATE FISCAL YEAR IN WHICH THE BASE YEAR COMMENCED DIVIDED
 BY THE TOTAL PERSONAL INCOME OF TAXPAYERS OF THE STATE  FOR  EACH  IMME-
 DIATELY  PRECEDING  STATE  FISCAL  YEAR, ROUNDED TO THREE DECIMAL PLACES
 MINUS ONE,  (II)  A  PERCENTAGE  RECOMMENDED  BY  THE  COMMISSIONER  AND
 APPROVED BY THE DIRECTOR OF THE BUDGET, OR (III) ZERO.
   §  2.  Section  4004  of  the education law is amended by adding a new
 subdivision 5 to read as follows:
   5. THE BOARD OF EDUCATION OF A SPECIAL ACT SCHOOL  DISTRICT  SHALL  BE
 AUTHORIZED  TO  ESTABLISH A FISCAL STABILIZATION RESERVE FUND. THERE MAY
 BE PAID INTO SUCH FUND AN AMOUNT AS MAY  BE  PROVIDED  PURSUANT  TO  THE
 REQUIREMENTS  OF  PARAGRAPH  K OF SUBDIVISION FOUR OF SECTION FORTY-FOUR
 HUNDRED FIVE OF THIS TITLE.
   § 3. Subdivision 4 of section 4405 of the education law is amended  by
 adding a new paragraph k to read as follows:
   K.  THE  TUITION  METHODOLOGY ESTABLISHED PURSUANT TO THIS SUBDIVISION
 FOR THE TWO THOUSAND SEVENTEEN--TWO THOUSAND EIGHTEEN  SCHOOL  YEAR  AND
 THEREAFTER  SHALL AUTHORIZE APPROVED PRIVATE RESIDENTIAL OR NON-RESIDEN-
 TIAL 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. 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. THE DIRECTOR OF THE BUDGET, IN CONSULTATION WITH  THE  COMMIS-
 SIONER, SHALL ESTABLISH THE AUTHORIZED USES FOR THE EXPENDITURES OF SUCH
 FUNDS  AS PART OF THE APPROVED TUITION METHODOLOGY. 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, AN AMOUNT,
 IF ANY, DISPERSED IN THE PRIOR SCHOOL YEAR, AND ANY ADDITIONAL  INFORMA-
 TION  REQUESTED  BY THE DEPARTMENT AS PART OF THE FINANCIAL REPORTS THAT
 ARE REQUIRED TO BE ANNUALLY SUBMITTED TO THE DEPARTMENT.
   § 4. This act shall take effect immediately.