S T A T E   O F   N E W   Y O R K
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                                  7096--A
 
                        2021-2022 Regular Sessions
 
                             I N  S E N A T E
 
                               May 28, 2021
                                ___________
 
 Introduced  by  Sen.  COONEY -- read twice and ordered printed, and when
   printed to be committed to the Committee on Disabilities --  committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to said committee
 
 AN  ACT  to  amend  the  education  law,  in relation to authorizing the
   retention  of  federal  funds  for  special  education  programs   for
   preschool children that are subject to tuition rate reconciliation
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Paragraph k of subdivision 4 of section 4405 of the  educa-
 tion  law,  as added by section 37-f of part A of chapter 56 of the laws
 of 2021, is amended to read as follows:
   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
 AND PROGRAMS APPROVED PURSUANT TO SECTION FORTY-FOUR HUNDRED TEN OF THIS
 ARTICLE THAT ARE SUBJECT TO TUITION RATE RECONCILIATION, to retain funds
 in excess  of  their  allowable  and  reimbursable  costs  incurred  for
 services and programs provided to school-age AND PRESCHOOL students. The
 amount  of  funds  that  may  be  annually retained shall not exceed one
 percent of the school's [or], school district's, OR PROGRAMS SUBJECT  TO
 TUITION  RATE  RECONCILIATION  THAT  ARE  APPROVED  PURSUANT  TO SECTION
 FORTY-FOUR HUNDRED TEN OF THIS ARTICLE'S total allowable and  reimbursa-
 ble costs for services and programs provided to school-age AND PRESCHOOL
 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  reconcil-
 iation  of tuition rates, SHALL BE CARRIED FORWARD AS TOTAL REIMBURSABLE
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD11513-03-1

 S. 7096--A                          2
 
 COSTS FOR PURPOSES OF CALCULATING SUBSEQUENT YEAR PROSPECTIVE AND RECON-
 CILIATION 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, OR PROGRAM APPROVED PURSUANT TO
 SECTION FORTY-FOUR HUNDRED TEN OF THIS ARTICLE, 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,
 OR PROGRAM APPROVED PURSUANT TO SECTION FORTY-FOUR HUNDRED TEN  OF  THIS
 ARTICLE  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.
   § 2. This act shall take effect immediately and  shall  be  deemed  to
 have been in full force and effect on and after April 1, 2021.