PRINTER'S NO. 3528
No. 2562 Session of 1990
INTRODUCED BY PIEVSKY, MAY 22, 1990
REFERRED TO COMMITTEE ON EDUCATION, MAY 22, 1990
AN ACT 1 Amending the act of March 10, 1949 (P.L.30, No.14), entitled "An 2 act relating to the public school system, including certain 3 provisions applicable as well to private and parochial 4 schools; amending, revising, consolidating and changing the 5 laws relating thereto," further providing for funding 6 programs for exceptional children. 7 The General Assembly of the Commonwealth of Pennsylvania 8 hereby enacts as follows: 9 Section 1. Section 2509 of the act of March 10, 1949 10 (P.L.30, No.14), known as the Public School Code of 1949, 11 amended December 29, 1972 (P.L.1732, No.373), is amended to 12 read: 13 Section 2509. Payments on Account of Courses for Exceptional 14 Children.--[Annually, before] Before the first day of July, of 15 every year up to and including 1990, every school district or 16 joint board of school directors planning to conduct classes or 17 schools for [the] exceptional children shall submit, for prior 18 review and approval to establish the amount on which 19 reimbursement will be paid by the Department of Education, an
1 estimate of the cost of classes or schools for exceptional 2 children to be operated by the district or joint board during 3 the ensuing school year, and for transportation of pupils to and 4 from classes and schools for exceptional children conducted by 5 the district or joint board of school directors. [Every school 6 district, regardless of classification, shall be paid by the 7 Commonwealth for the school term 1953-1954, the sum of twenty 8 dollars ($20) per pupil in average daily membership in a course 9 or courses for mentally handicapped children, and the sum of 10 thirty dollars ($30) per pupil in average daily membership in a 11 course or courses for physically handicapped children, approved 12 by the Secretary of Education.] Beginning with the school term 13 of 1954-1955 [and for every school term thereafter] up to and 14 including the 1990-1991 school term, every school district, 15 regardless of classification, shall be paid by the Commonwealth 16 an amount to be determined by multiplying the average daily 17 membership in a course or courses for exceptional children, (1) 18 at the elementary level, by an amount determined by subtracting 19 the "instruction cost per elementary pupil," as defined in 20 section 2561 of this act, from the "instruction cost per special 21 class pupil," as hereinafter defined, for the preceding school 22 term, or from the instruction cost per special class elementary 23 pupil as approved for reimbursement by the Department of 24 Education in the budget for classes or schools for exceptional 25 children for the school year in which the class is operated, 26 whichever is the lesser, (2) at the secondary level, by an 27 amount determined by subtracting the "instruction cost per high 28 school pupil," as defined in section 2561 of this act, from the 29 "instruction cost per special class pupil," as hereinafter 30 defined, for the preceding school term, or from the instruction 19900H2562B3528 - 2 -
1 cost per special classes secondary pupil as approved for 2 reimbursement by the Department of Education in the budget for 3 classes or school for exceptional children for the school year 4 in which the class is operated, whichever is the lesser. 5 To find the "instruction cost per special class pupil," add 6 (1) salaries of directors and supervisors of special education, 7 public school psychologists, principals of special schools and 8 assistants, teachers of approved special classes for exceptional 9 children, clerks and assistants employed in the district's 10 program for special education, (2) the district's contribution 11 to the retirement fund on behalf of directors and supervisors of 12 special education, public school psychologists, principals of 13 special schools and assistants, teachers of approved special 14 classes for exceptional children, clerks and assistants employed 15 in the district's program for special education, (3) the cost of 16 textbooks and supplies of the second class used in the 17 district's special education classes or schools, (4) the cost of 18 telephonic system equipment which enables handicapped children 19 to remain in their homes and still participate in classroom 20 activities. Divide the sum of (1), (2), (3), and (4) on that 21 part thereof which is approved by the Department of Education 22 for reimbursement by the total number of pupils, including those 23 pupils who have available for use telephonic system equipment 24 whereby they may remain at home and still participate in 25 classroom activities, in average daily membership in the 26 district's approved special classes for exceptional children. 27 The quotient so obtained shall be the "instruction cost per 28 special class pupil." 29 The average daily membership of speech correction classes 30 shall be calculated by multiplying (1) the average number of 19900H2562B3528 - 3 -
1 pupils in speech correction classes per week by (2) the number 2 of periods per week that speech correction is provided for the 3 individual pupil by (3) the number of minutes per period in 4 speech correction class. Divide the product of (1), (2) and (3) 5 by the total number of minutes spent in all classes weekly by 6 the average pupil. The quotient thus obtained will be the 7 "average daily membership for pupils in speech correction 8 classes." 9 For the school term of 1972-1973 [and for the school term of 10 each school year thereafter] up to and including the 1988-1989 11 school term, such payments shall consist of an amount payable in 12 two equal installments during the year of operation, with 13 adjustments to be made during the next succeeding school year. 14 The amount to be paid in equal installments on or about the 15 first day of August and on or about the first day of January of 16 the operating year shall be the sum of the products determined 17 by multiplying the anticipated equivalent full-time average 18 daily membership in courses for exceptional children as reported 19 on the approved budget for the operating year (1) at the 20 elementary level times an amount determined by subtracting the 21 estimated instruction cost per elementary pupil, as defined in 22 section 2561 of this act, for the preceding school term from the 23 budgeted instruction cost per special class elementary pupil as 24 approved by the Department of Education for the operating year 25 and (2) at the secondary level times an amount determined by 26 subtracting the estimated instruction cost per high school 27 pupil, as defined in section 2561 of this act, for the preceding 28 school term from the budgeted instruction cost per special class 29 secondary pupil as approved by the Department of Education for 30 the operating year. 19900H2562B3528 - 4 -
1 The adjustment to be made during the school year immediately 2 succeeding the operating year shall be determined by subtracting 3 the payments made during the preceding year from the actual 4 amount of reimbursement which would have been payable for said 5 year if calculated as during the year 1954-1955 through 1971- 6 1972. When determined, the adjusted amount, if positive, shall 7 be paid promptly to the district and, if negative, shall be 8 withheld from any moneys due to such district out of any State 9 appropriation. 10 Section 2. Section 2509.1 of the act, amended July 8, 1989 11 (P.L.253, No.43), is amended to read: 12 Section 2509.1. Payment on Account of Transportation, 13 Classes and Schools for Exceptional and Institutionalized 14 Children.--[Annually, before] Before the first day of July, of 15 every year up to and including 1990, every intermediate unit 16 shall submit, for prior review and approval by the Department of 17 Education, an estimate of the cost of operating and 18 administering classes or schools for exceptional and 19 institutionalized children, including the cost of such fiscal 20 controls as auditing and necessary treasurer's and secretary's 21 bonds to be operated by the intermediate unit during the ensuing 22 school year, and for transportation of pupils to and from 23 classes and schools for exceptional children, whether or not 24 conducted by the intermediate unit. On or before the first day 25 of August of every year up to and including 1989, the 26 Commonwealth shall pay to the intermediate unit a sum equal to 27 one-half of the approved estimated annual cost of operation and 28 administration of classes and schools for exceptional and 29 institutionalized children and transportation for exceptional 30 children and, on or before the first day of January of every 19900H2562B3528 - 5 -
1 year up to and including 1990, shall pay an equal sum, or a 2 lesser sum as may be shown to be necessary by an adjusted budget 3 based upon expenditures during the first half of the school 4 term. 5 For the 1990-1991 school term, such payments shall consist of 6 an amount payable in five installments during the next 7 succeeding school year as follows: in August, thirty percent 8 (30%) of the approved estimated cost, in November, twenty 9 percent (20%) of the approved estimated cost, in January, twenty 10 percent (20%) of the approved estimated cost, in March, twenty 11 percent (20%) of the approved estimated cost and in June, the 12 balance determined by subtracting the payments made during July, 13 November, January and March from the actual cost. At the end of 14 each school year all unexpended funds shall be credited to the 15 Commonwealth. Payments due for the succeeding school year on 16 account of the operation of such classes or upon direction of 17 the Secretary of Education shall be returned to the 18 Commonwealth. All such funds returned are hereby specifically 19 appropriated to the Department of Education for support of 20 schools and classes, and transportation for exceptional 21 children. For each school year up to and including 1989-1990, 22 for each child enrolled in any special class or school for 23 exceptional children operated by an intermediate unit, the 24 school district in which the child is resident shall pay to the 25 Commonwealth a sum equal to the "tuition charge per elementary 26 pupil" or the "tuition charge per high school pupil," as 27 determined for the schools operated by the district or by a 28 joint board of which the district is a member, for the same year 29 in which the special class or school is operated, as provided 30 for in section two thousand five hundred sixty-one of the act to 19900H2562B3528 - 6 -
1 which this is an amendment. In the event that any school 2 district has not established such "tuition charge per elementary 3 pupil" or "tuition charge per high school pupil," the Secretary 4 of Education shall fix a reasonable charge for such district for 5 the year in question. In addition, the district shall pay on 6 account of transportation by the intermediate unit of pupils to 7 and from classes and schools for exceptional children, whether 8 or not conducted by the intermediate unit, an amount to be 9 determined by subtracting from the cost of transportation per 10 pupil the reimbursement due the district on account of such 11 transportation in order to facilitate such payments by the 12 several school districts. [The] During each school year up to 13 and including 1990-1991, the Secretary of Education shall 14 withhold from any moneys due to such district out of any state 15 appropriation, except from reimbursements due on account of 16 rentals as provided in section two thousand five hundred eleven 17 point one of the act to which this is an amendment, the amounts 18 due by such school districts to the Commonwealth. All amounts so 19 withheld are hereby specifically appropriated to the Department 20 of Education for the support of public schools. [The cost of 21 operating and administering classes and schools for 22 institutionalized children, including the cost of necessary 23 fiscal controls, shall be paid by the Commonwealth.] Annually, 24 before the first day of July 1991 and each year thereafter 25 intermediate units shall submit for prior review and approval by 26 the Department of Education, an estimate of the cost of 27 operating and administering classes or schools for 28 institutionalized children during the ensuing school year and 29 for transportation of pupils to and from classes and schools for 30 exceptional children, whether or not conducted by the 19900H2562B3528 - 7 -
1 intermediate unit. The approved estimated cost of operating and 2 administering classes and schools for institutionalized 3 children, including the cost of necessary fiscal controls, and 4 for transportation shall be paid by the Commonwealth. For each 5 child enrolled in an intermediate unit operated class or school 6 for institutionalized children, the school district in which the 7 child is resident shall pay to the Commonwealth a sum equal to 8 the "tuition charge per elementary pupil," or the "tuition 9 charge per high school pupil," as determined for the schools 10 operated by the district or by a joint board of which the 11 district is a member, based upon the costs of the preceding 12 school term as provided for in section two thousand five hundred 13 sixty-one of the act to which this is an amendment. In the event 14 that any school district has not established such "tuition 15 charge per elementary pupil" or "tuition charge per high school 16 pupil," the Secretary of Education shall fix a reasonable charge 17 for such district for the year in question. In addition, the 18 district shall pay on account of transportation by the 19 intermediate unit of pupils to and from classes and schools for 20 exceptional children, whether or not conducted by the 21 intermediate unit, an amount to be determined by subtracting 22 from the cost of transportation per pupil the reimbursement due 23 the district on account of such transportation in order to 24 facilitate such payments by the several school districts. The 25 Secretary of Education shall withhold from any moneys due to 26 such district out of any State appropriation, except from 27 reimbursements due on account of rentals as provided in section 28 two thousand five hundred eleven point one of the act to which 29 this is an amendment, the amounts due by such school districts 30 to the Commonwealth. All amounts so withheld are hereby 19900H2562B3528 - 8 -
1 specifically appropriated to the Department of Education for the 2 support of public schools. 3 Section 3. Section 2509.4 of the act, added July 8, 1989 4 (P.L.253, No.43), is amended to read: 5 Section 2509.4. Payments on Account of Special Education 6 Services.--(a) For the school year 1989-1990, the following 7 provisions shall apply to the Commonwealth's payments of funds 8 to school districts and intermediate units for the provisions of 9 special education services. 10 (1) On or before the first day of August, the Commonwealth 11 shall pay to school districts and intermediate units an amount 12 which represents fifty percent (50%) of the total State funds 13 available for such programs operated in the school year 1989- 14 1990. 15 (2) On January 1, 1990, a second payment shall be made to 16 school districts and intermediate units consisting of one-fourth 17 (1/4) of the total State funds available for such programs 18 operated in the school year 1989-1990. 19 (3) If, by March 1, 1990, the State Board of Education has 20 adopted revisions to Chapter 13 Special Education regulations 21 and/or the 22 Pa. Code Ch. 341 standards, the final payment 22 shall consist of the remaining State funds available for such 23 programs operated in the school year 1989-1990. If, on March 1, 24 1990, the State Board of Education has not adopted revisions to 25 Chapter 13 Special Education regulations and/or 22 Pa. Code Ch. 26 341 standards, but the Secretary of the Budget determines that 27 sufficient progress has been made, a one-time waiver in order to 28 make an additional payment of no more than one-eighth (1/8) of 29 the total State funds available for such programs operated in 30 the school year 1989-1990 may be made. 19900H2562B3528 - 9 -
1 (b) From the funds appropriated in the 1989-1990 fiscal year 2 and notwithstanding the provisions of subsection (a)(1), (2) and 3 (3), fifty million dollars ($50,000,000) shall be paid on August 4 1, 1989, to school districts for programs operated in school 5 year 1988-1989 with the additional payment of forty-nine million 6 dollars ($49,000,000) of the funds due the school districts for 7 the programs operated in school year 1988-1989 to be paid on or 8 before December 1, 1989. Any adjustments to these payments may 9 be made in June 1990 on the basis of actual data. 10 (c) During the school term of 1990-1991, the Commonwealth 11 shall pay to each school district the balance due on account of 12 approved special education programs operated by each school 13 district during the 1989-1990 school term. Such payments shall 14 consist of an amount payable in five installments as follows: in 15 August of 1990, thirty percent (30%) of the estimated balance 16 due, in November of 1990, twenty percent (20%) of the estimated 17 balance due, in January of 1991, twenty percent (20%) of the 18 estimated balance due, in March of 1991, twenty percent (20%) of 19 the estimated balance due and in June 1991, the remainder, 20 determined by adding the payments made under subsection (a) to 21 the payments made during August, November, January and March and 22 subtracting the result from the actual reimbursable amount 23 earned for the 1989-1990 school term. 24 Section 4. The act is amended by adding sections to read: 25 Section 2509.5. Special Education Excess Costs.--(a) During 26 the school term of 1991-1992 and each school term thereafter, 27 the Commonwealth shall pay to each school district the excess 28 costs earned by the district pursuant to this section for 29 approved special education programs and services provided during 30 the immediately preceding school term by the district, or by 19900H2562B3528 - 10 -
1 intermediate units or by other school districts, or by consortia 2 of school districts or by other approved public educational 3 agencies to exceptional students who are school district 4 residents. Such payments shall consist of an amount payable in 5 five installments as follows: in August, thirty percent (30%) of 6 the estimated amount, in November, twenty percent (20%) of the 7 estimated amount, in January, twenty percent (20%) of the 8 estimated amount, in March, twenty percent (20%) of the 9 estimated amount and in June, the balance due, determined by 10 subtracting the payments made during August, November, January 11 and March from the actual excess costs earned by the school 12 district. 13 (b) The excess costs earned by each school district for 14 approved special education programs and services shall be 15 determined according to the following formula: For the 1990-1991 16 school year and each school year thereafter school districts 17 shall be paid by the Commonwealth on account of the excess costs 18 for special education of the district's pupils an amount to be 19 determined by multiplying the district's market value/income aid 20 ratio or .3750, whichever is greater, by the excess cost factor 21 and by the average daily membership of resident pupils enrolled 22 in approved special education programs and services. For the 23 school year 1990-1991 and each school year thereafter, the 24 excess cost factor used to compute school district entitlements 25 to payments pursuant to this section shall be nine thousand 26 twenty-five dollars ($9,025). 27 (c) The provisions of subsection (a) notwithstanding, the 28 Commonwealth's payment to each school district shall not exceed 29 the prior year base amount by greater than nine percent (9%). 30 (d) The prior year base amount for the payments made during 19900H2562B3528 - 11 -
1 the 1991-1992 school year shall be the sum of the school 2 district's excess cost for 1990-1991 of classes or schools for 3 exceptional children pursuant to section 2509 of this act, plus 4 the Commonwealth's payment to the intermediate unit, as 5 determined by the Department, on account of special education 6 provided to school district resident exceptional children during 7 1990-1991 pursuant to section 2509.1 of this act, less the 8 school district's total tuition charges for elementary students 9 and secondary students in special classes or schools for 10 exceptional children operated by the intermediate unit pursuant 11 to section 2509.1 of this act. 12 (e) For any school district whose revenue available for the 13 1991-1992 school year is less than the revenue available to the 14 school district in the 1990-1991 school year, that school 15 district shall be paid by the Commonwealth during the 1991-1992 16 school year, the school district's earned reimbursement under 17 subsection (a) for the 1991-1992 school year plus the difference 18 between the revenue available for 1990-1991 less the revenue 19 available for 1991-1992. The payment under this subsection shall 20 be made pursuant to the same installment payment schedule as set 21 out in subsection (a). 22 (f) For purposes of subsection (e), the revenue available to 23 a school district during the 1990-1991 school year shall be the 24 Commonwealth's payment to each school district during the 1990- 25 1991 school year pursuant to section 2509 of this act, plus the 26 Commonwealth's payment to the intermediate unit during the 1990- 27 1991 school year, as determined by the Department of Education, 28 on account of school district resident exceptional students 29 provided special education by the intermediate unit, pursuant to 30 section 2509.1 of this act plus the 1990-1991 school year 19900H2562B3528 - 12 -
1 equivalent full-time average daily membership in school district 2 elementary special education classes multiplied by the 3 "elementary tuition charge" under section 2561 of this act and 4 the 1990-1991 school year equivalent full-time average daily 5 membership in school district secondary special education 6 classes multiplied by the "high school tuition charge" under 7 section 2561 of this act. 8 (g) For purposes of subsection (e), the revenue available to 9 a school district during the 1991-1992 school year shall be the 10 school district's earned excess costs under subsection (a), plus 11 the amount of the tuition that would have been withheld from the 12 school district for the 1991-1992 school year pursuant to 13 section 2509.1 of this act, plus the 1991-1992 school year 14 equivalent full-time average daily membership in school district 15 elementary school classes multiplied by the "elementary tuition 16 charge" under section 2561 of this act and the 1991-1992 school 17 year equivalent full-time average daily membership in school 18 district special education classes multiplied by the "high 19 school tuition charge" under section 2561 of this act. 20 Section 2509.6. Extraordinary Special Education Program 21 Expenses.--The Department of Education shall for the 1991-1992 22 school year and each school year thereafter set aside one 23 percent (1%) of the State appropriation for extraordinary 24 expenses approved by the Secretary of Education to be incurred 25 in providing a special education program or service to an 26 exceptional student. The Secretary of Education shall establish 27 guidelines for the application, approval and expenditure of 28 these funds and shall report annually to the General Assembly on 29 such expenditures. 30 Section 2509.7. Director Support of Intermediate Unit 19900H2562B3528 - 13 -
1 Services for Exceptional Children.--The Department of Education 2 shall, for the 1991-1992 school year and each school year 3 thereafter, pay two percent (2%) of the State appropriation for 4 special education to intermediate units in August of the school 5 year to facilitate the cooperative provision of special 6 education services and programs for students with low-incidence 7 handicaps, and to provide regional planning, training, technical 8 assistance, data collection and program evaluation in special 9 education. No intermediate unit shall receive less than one 10 hundred thousand dollars ($100,000) annually on account of this 11 section. 12 Section 5. This act shall take effect immediately. D5L24RZ/19900H2562B3528 - 14 -