HOUSE AMENDED

 

PRIOR PRINTER'S NOS. 1366, 1982, 2203

PRINTER'S NO.  2337

  

THE GENERAL ASSEMBLY OF PENNSYLVANIA

  

SENATE BILL

 

No.

1115

Session of

2011

  

  

INTRODUCED BY BROWNE, DINNIMAN, WASHINGTON, STACK, ERICKSON, RAFFERTY, SOLOBAY, COSTA, FERLO, VANCE, BRUBAKER, WAUGH, YUDICHAK, KASUNIC, HUGHES, SCHWANK, FARNESE, WILLIAMS, PIPPY, LEACH, FONTANA, GREENLEAF, ARGALL, SMUCKER, MENSCH, BOSCOLA, TOMLINSON, TARTAGLIONE, BAKER AND BLAKE, JUNE 16, 2011

  

  

AS AMENDED ON SECOND CONSIDERATION, HOUSE OF REPRESENTATIVES, JUNE 27, 2012   

  

  

  

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," in preliminary provisions,

<--

6

establishing the Special Education Funding Commission; and

7

imposing duties on the Department of Education; in

8

reimbursements by the Commonwealth and between school

9

districts, further providing for definitions; and providing

10

for the distribution of special education funding for student

11

achievement and instruction of eligible students and for

12

special education accountability.

13

The General Assembly of the Commonwealth of Pennsylvania

14

hereby enacts as follows:

15

Section 1.  Section 2501(26) of the act of March 10, 1949

<--

16

(P.L.30, No.14), known as the Public School Code of 1949, added

17

July 9, 2008 (P.L.846, No.61), is amended and the section is

18

amended by adding clauses to read:

19

Section 1.  The act of March 10, 1949 (P.L.30, No.14), known

<--

20

as the Public School Code of 1949, is amended by adding a

 


1

section to read:

2

Section 120.  Special Education Funding Commission.--(a)

3

There is hereby established a Special Education Funding

4

Commission.

5

(b)  The Special Education Funding Commission shall review

6

and make recommendations related to special education funding as

7

provided in this section.

8

(c)  (1)  The commission shall consist of the following

9

members:

10

(i)  The chairman and minority chairman of the Education

11

Committee of the Senate and the chairman and minority chairman

12

of the Education Committee of the House of Representatives, or

13

their designees.

14

(ii)  Two (2) legislators from each of the four (4)

15

legislative caucuses, to be appointed by the President pro

16

tempore of the Senate and the Speaker of the House of

17

Representatives, with the consent of the Majority and Minority

18

Leaders of the Senate and the Majority and Minority Leaders of

19

the House of Representatives.

20

(iii)  The Secretary of Education, or a designee.

21

(iv)  The Secretary of the Budget, or a designee.

22

(v)  The Deputy Secretary for Elementary and Secondary

23

Education, or a designee.

24

(2)  The commission shall appoint a member to serve as

25

chairperson of the commission.

26

(d)  The commission shall hold its first meeting within

27

thirty (30) days of the effective date of this section.

28

Regardless of whether the Governor or all legislative caucuses

29

have actually approved members to the commission.

30

(e)  The commission shall hold meetings at the call of the

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1

chairman.

2

(f)  The members may not receive compensation for their

3

services, but must be reimbursed for all necessary travel and

4

other reasonable expenses incurred in connection with the

5

performance of their duties as members of the commission.

6

(g)  The General Assembly shall provide administrative

7

support, meeting space and any other assistance required by the

8

commission to carry out its duties under this section in

9

cooperation with the Governor's Budget Office and the

10

department. The department shall provide the commission with

11

data, research and other information upon request by the

12

commission.

13

(h)  The commission shall identify factors that may be used

14

to determine the distribution of a change in special education

15

funding among the school districts in this Commonwealth.

16

(i)  The commission shall have all of the following powers

17

and duties:

18

(1)  Review and make recommendations related to special

19

education funding in this Commonwealth.

20

(2)  Consult with and utilize experts to assist in carrying

21

out the duties under this subsection.

22

(3)  Receive input from interested parties, including, but

23

not limited to, charter school and cyber charter school

24

operators.

25

(4)  Hold public hearings in different regions of this

26

Commonwealth.

27

(5)  Issue a report of its findings to the Governor, the

28

President pro tempore of the Senate, the Majority Leader and

29

Minority Leader of the Senate, the Education Committee of the

30

Senate, the Speaker of the House of Representatives, the

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1

Majority Leader and Minority Leader of the House of

2

Representatives, the Education Committee of the House of

3

Representatives, the Secretary of Education and the State Board

4

of Education not later than November 30, 2012.

5

(6)  Determine the factors under this paragraph that may

6

include all of the following:

7

(i)  Three (3) categories of eligible students, established

8

so that students with disabilities typically requiring the

9

least-intensive range of services would compromise category 1,

10

students with disabilities typically requiring a middle range of

11

services would compromise category 2 and students with

12

disabilities typically requiring the most intensive range of

13

services would compromise category 3. The commission shall

14

determine a description of and parameters for each of the three

15

(3) categories.

16

(ii)  A student count for each school district for each of

17

the three (3) most recent years for each category of eligible

18

students. For category 3, the number of eligible students

19

residing or enrolled in the school district and classified in

20

category 3, except that the number of eligible students included

21

who are placed by the school district and served in public or

22

private separate schools, residential placements or homebound or

23

hospital placements must be identified separately.

24

(iii)  A weighting factor that differs from each of the three

25

(3) categories of students with disabilities based on the

26

typical range of services for each category. The weighting may

27

include adjustments for any of the following:

28

(A)  The market value/personal income aid ratio for each of

29

the three (3) most recent years for each school district.

30

(B)  The equalized millage rate averaged for each of the

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1

three (3) most recent years for each school district.

2

(C)  Geographic price differences identified for each school

3

district of the department.

4

(D)  A proportional system for distributing the changes in

5

special education funding among the school districts, based on

6

factors listed in this subparagraph.

7

(iv)  Development and implementation by the department of

8

improved systems for collecting and documenting student

9

enrollment and membership in public schools, including revised

10

methods for calculating average daily membership.

11

(v)  Other factors related to the distribution of special

12

education funding.

13

(7)  Review and consider special education funding factors

14

utilized in operation throughout the United States.

15

(8)  In developing the special education funding factors

16

under subsection (h) and in completing the report required under

17

this subsection, consider the impact these factors may have on

18

the distribution of special education funding among the school

19

districts.

20

(9)  Review the administration of State and regional special

21

education programs and services to determine if cost savings may

22

be achieved and make recommendations to implement the savings.

23

(10)  Consult with and utilize experts to assist them in

24

carrying out the duties under this subsection.

25

(11)  Prior to recommending a special education formula under

26

this section, consider nationally accepted accounting and

27

budgeting standards.

28

(j)  The special education formula developed by the

29

commission shall not go into effect unless the formula is

30

approved by an act of the General Assembly enacted after the

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1

effective date of this section.

2

(k)  Every five years the commission shall be reconstituted

3

under subsection (c) and shall meet and hold public hearings to

4

review the operations of the special education funding provision

5

of this section, shall make a further report and issue the

6

report to the recipients listed in subsection (i)(5). When in

7

receipt of a further report recommending changes to the special

8

education funding formula, the General Assembly shall consider

9

and take action to enact the formula into law in accordance with

10

subsection (j).

11

(l)  As used in this section, the following words and phrases

12

shall have the meanings given to them in this subsection unless

13

the context clearly indicates otherwise:

14

 "Commission."  The Special Education Funding Commission

15

established under this section.

16

"Department."  The Department of Education of the

17

Commonwealth.

18

Section 2.  Section 2501(26) of the act, added July 9, 2008

19

(P.L.846, No.61), is amended and the section is amended by

20

adding clauses to read:

21

Section 2501.  Definitions.--For the purposes of this article

22

the following terms shall have the following meanings:

23

* * *

24

(26)  "Actual Spending." An amount equal to a school

25

district's total expenditures to include General Fund

26

expenditures in all functional classifications, as designated in

27

the Manual of Accounting and Related Financial Procedures for

28

Pennsylvania School Systems, except for:

29

(i)  actual special education spending;

30

(ii)  adult education;

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1

(iii)  higher education;

2

(iv)  student transportation;

3

(v)  community services;

4

(vi)  scholarships and awards;

5

(vii)  facilities acquisition;

6

(viii)  construction and improvement services; and

7

[(ix)  other expenditures and financing uses; and]

8

(x)  tuition from patrons revenue.

9

* * *

10

(31)  "Actual Special Education Spending." An amount equal to

11

a school district's total annual expenditures for special

12

education as established by the Department of Education and

13

designated in the Manual of Accounting and Related Financial

14

Procedures for Pennsylvania School Systems. The amount shall not

15

include expenditures that are exclusively for gifted students

16

who do not receive special education pursuant to an

17

individualized education program.

18

(32)  "Eligible Student." A student who has been identified

19

as a student with a disability who is in need of special

20

education under Federal and State law.

21

(33)  "Performance Indicators." Measurable annual objectives

22

established by the Department of Education pursuant to section

23

612(a)(15) of the Individuals with Disabilities Education Act

24

(Public Law 91-230, 20 U.S.C. § 1412(a)(15)) to assess progress

25

toward achieving State goals for the performance of eligible

26

students.

27

(34)  "Public Notice." Full and timely release of information

28

and documents for public access at a minimum through publication

29

by the Department of Education:

30

(i)  in the Pennsylvania Bulletin;

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1

(ii)  on the department's publicly accessible Internet

2

website for no less than a duration of twelve (12) months; and

3

(iii)  through the department's timely issuance of a related

4

Statewide press release.

5

(35)  "Regular Classroom." A classroom in a regular school

6

operated primarily for students who have not been identified as

7

students with disabilities who are in need of special education.

8

(36)  "Regular School." A neighborhood school, magnet school

9

or other public school operated for all students, not solely

10

eligible students, in a school district.

11

(37)  "Special Education Plan." A comprehensive plan as well

12

as revisions, updates and amendments for all special education

13

personnel, programs, services and supports provided by each

14

school district for eligible students, filed by each district

15

with the Department of Education under this act and other

16

applicable Federal and State law.

17

(38)  "Commission." The Legislative Commission on Special

<--

18

Education Funding.

19

(39) (38)  "Base Year." Fiscal year 2010-2011 or another year

<--

20

designated by statute.

21

(40) (39)  "Special Education Allocation." The amount of

<--

22

special education funding received by a school district from the

23

Commonwealth.

24

Section 2 3.  The act is amended by adding sections to read:

<--

25

Section 2509.13.  Special Education Funding for Student

26

Achievement and Instruction of Eligible Students.--(a)  The

<--

27

General Assembly shall, through the annual appropriations

28

process, determine the level of State funding for special

29

education and the amount of any change in funding. The special

30

education formula developed under this section shall determine

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1

only the distribution of any increase in special education 

2

funding among the school districts of this Commonwealth above

3

the amount of special education funding in the base year and

4

shall not be used for any other purpose.

5

(b)  Notwithstanding any provision of law to the contrary,

6

for the 2012-2013 school year and each school year thereafter,

7

any State funding for special education in an amount that does

8

not exceed the amount of State funding for special education in

9

the base year shall be allocated in the same manner as the State

10

funding was allocated in the base year.

11

(c)  The Department of Education shall distribute special

12

education funding according to the calculations under

13

subsections (a) and (b).

14

(d)  The Legislative Commission on Special Education Funding

15

is established and shall develop a special education formula

16

that will be used to determine the distribution of any change in

17

special education funding among the school districts of this

18

Commonwealth. The formula shall include all of the following:

19

(1)  Three (3) cost categories of eligible students,

20

established such that students with disabilities typically

21

requiring the least intensive range of services shall comprise

22

category 1, students with disabilities typically requiring a

23

middle range of services shall comprise category 2 and students

24

with disabilities typically requiring the most intensive range

25

of services shall comprise category 3. The commission shall

26

determine a description of and parameters for each of the three

27

(3) categories.

28

(2)  A student count for each school district averaged for

29

the three (3) most recent years for each category of eligible

30

students to be calculated as follows:

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1

(i)  For category 3, calculate the number of eligible

2

students residing or enrolled in the school district and

3

classified in category 3, except that the number of eligible

4

students included in this calculation who are placed by the

5

school district and served in public or private separate

6

schools, residential placements or homebound or hospital

7

placements shall not exceed three and one-half percent (3.5%) of

8

all eligible students with individualized education programs

9

residing or enrolled in the school district or the target

10

established in the Part B State Annual Performance Plan filed by

11

the Department of Education under the Individuals with

12

Disabilities Education Act (Public Law 91-230, 20 U.S.C. § 1400

13

et seq.), whichever is less. The reference in this paragraph to

14

the target established in the Part B State Annual Performance

15

Plan shall be used solely for the purpose of determining the

16

student count for category 3, without limiting the use of this

17

target for other purposes pursuant to the Part B State Annual

18

Performance Plan. Eligible students exceeding this target shall

19

be part of the other cost categories within the special

20

education formula. Neither the reference to the target nor any

21

other provision of this act shall be construed to alter Federal

22

or State law regarding the protections provided to an eligible

23

student for receiving education in the least restrictive

24

environment or alter the legal authority of individualized

25

education program teams to make appropriate program and

26

placement decisions for eligible students in accordance with the

27

individualized education program developed for each eligible

28

student.

29

(ii)  For category 2, calculate the number of eligible

30

students classified in category 2 determined by taking the

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1

product of:

2

(A)  the number of eligible students in the school district;

3

and

4

(B)  the Statewide percentage of eligible students classified

5

in category 2.

6

(iii)  For category 1, calculate the number of eligible

7

students classified in category 1 determined by taking the

8

product of:

9

(A)  the school district's modified average daily membership;

10

and

11

(B)  the Statewide percentage of modified average daily

12

membership classified in category 1.

13

(iv)  The two (2) Statewide percentages of modified average

14

daily membership which shall be designated as category 1 and of

15

eligible students which shall be designated as category 2 shall

16

not exceed the actual proportion of students in this

17

Commonwealth classified in categories 1 and 2 in the most recent

18

year for which data is available.

19

(3)  A weighting factor that differs for each of the three

20

(3) categories of students with disabilities based on the

21

typical range of services for each category.

22

(4)  Adjustments for:

23

(i)  The market value/personal income aid ratio averaged for

24

the three (3) most recent years for each school district.

25

(ii)  The equalized millage rate averaged for the three (3)

26

most recent years for each school district.

27

(iii)  Geographic price differences identified for each

28

school district.

29

(5)  A proportional system for distributing the change in

30

special education funding among the school districts, based on

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1

the factors listed in paragraphs (1), (2), (3) and (4).

2

(6)  Other factors related to an accurate distribution of

3

special education funding.

4

(e)  Prior to development of the special education formula  

5

required under subsection (d), the commission shall:

6

(1)  Consider nationally accepted accounting and budgeting

7

standards.

8

(2)  In a timely manner, hold no fewer than three (3) public

9

hearings in different regions of this Commonwealth to receive

10

input and testimony from interested parties, which may include

11

the Secretary of Education and other individuals representing

12

the Department of Education, parents of eligible students,

13

teachers, school administrators, school board members, higher

14

education faculty and existing State committees, advisory panels

15

and task forces established under Federal or State law,

16

regulations or court orders.

17

(f)  (1)  Membership of the commission shall include twelve

18

(12) members, consisting of the chairman and minority chairman

19

of the Education Committee of the Senate, the chairman and

20

minority chairman of the Education Committee of the House of

21

Representatives and two (2) legislators from each of the four

22

(4) legislative caucuses, to be determined by the leadership of

23

each caucus and to be replaced at the discretion of the

24

leadership of each caucus. The commission may perform its duties

25

regardless of whether all four (4) legislative caucuses have

26

actually appointed members to the commission. The commission

27

shall choose a chairperson and utilize legislative staff for

28

assistance in developing the special education formula. The

29

Department of Education shall provide the commission with data,

30

research and other relevant information, upon request by the

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1

commission.

2

(2)  Members of the commission shall be appointed within

3

forty-five (45) days of the effective date of this section. The

4

commission shall hold its first meeting within ninety (90) days

5

of the effective date of this section. The commission shall

6

develop the special education formula required under subsection 

7

(d) within one hundred twenty (120) days of the effective date

8

of this section, and shall issue a report of its findings to the

9

Governor, the President pro tempore of the Senate and Minority

10

Leader of the Senate, the Speaker of the House of

11

Representatives and the Minority Leader of the House of

12

Representatives, the Education Committee of the Senate and the

13

Education Committee of the House of Representatives, the

14

Secretary of Education and the State Board of Education.

15

(g)  Upon completion of the commission's report, the State

16

Board of Education shall draft proposed regulations to implement

17

the special education funding provisions of this section using,

18

without alteration, the special education formula as developed

19

by the commission. If the commission does not issue the required

20

report within the required time period or if the commission's

21

report does not designate the special education formula required 

22

under subsection (d), the State Board of Education shall in a

23

timely manner promulgate proposed regulations to designate the

24

special education formula through the regulatory review process.

25

(g.1)  In developing the special education formula required

26

under subsection (d) and in issuing the report required under

27

subsection (f), the commission shall address the distribution of

28

any change in special education funding among the school

29

districts but shall not recommend the annual level of State

30

funding which, under subsection (a), shall be determined by the

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1

General Assembly through the annual appropriations process.

2

(h)  In every fifth year subsequent to the initial

3

promulgation of the regulations implementing the special

4

education formula, the commission shall be reconstituted

5

pursuant to subsection (f)(1), shall meet and hold public

6

hearings to review the operation of the special education

7

funding provisions of this section, shall make a further report

8

and shall issue the report to the bodies and individuals listed

9

under subsection (f)(2). When in receipt of a further report

10

recommending changes to the special education formula, the State

11

Board of Education shall promulgate proposed regulations through

12

the regulatory review process to implement, without alteration,

13

any changes developed by the commission in the special education

14

formula.

15

(i)  The commission shall receive input from interested

16

parties, which shall include, but not be limited to, charter and

17

cyber charter school operators, and gather information on the

18

identification of children as eligible students by charter and

19

cyber charter schools. The commission shall also receive input

20

and gather information on charter and cyber charter school

21

funding reimbursements regarding eligible students. The

22

commission shall draft proposed regulations and proposed

23

legislation based on their findings.

24

(j)  The commission shall consider the development, by the

25

Department of Education, of improved systems for documenting

26

student enrollment in public schools, including new methods for

27

documenting average daily membership. The commission, either

28

initially or when reconstituted in every fifth year, shall draft

29

proposed legislation based on its consideration of these issues

30

to update the special education formula as needed to maintain

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1

accurate student counts for eligible students.

2

(k) (a)  (1)  The Department of Education shall set aside one

<--

3

percent (1%) of the total State special education appropriation

4

in each year for extraordinary special education program

5

expenses under section 2509.8. The department shall utilize the

6

funds under section 2509.8(e) in order to meet, to the extent

7

that funds are available, extraordinary special education

8

expenses not anticipated through the special education funding

9

formula. School districts and charter and cyber charter schools

10

may apply for resources through the fund under procedures

11

established by the department. The department shall make

12

payments from the fund in response to the applications.

13

(2)  The Department of Education shall issue a comprehensive

14

annual report documenting use of the fund to the General

15

Assembly and shall give public notice about the report.

16

(3)  As used in this subsection, "extraordinary special

17

education expenses" shall mean expenses that result from needs

18

and circumstances of an eligible student with significant

19

disabilities which are not ordinarily present in a typical

20

special education service and program delivery system and which

21

have costs exceeding the school district or charter or cyber

22

charter school funding for special education, in order to

23

provide the student with an appropriate education in the least

24

restrictive environment.

25

(l) (b)  (1)  To the extent that special education funding is 

<--

26

appropriated in the 2013-2014 school year and any subsequent

27

school year funds are appropriated any year by the General

<--

28

Assembly above the amount of special education funding in the

<--

29

base year, the Department of Education shall establish and

30

implement a competitive grant program for school districts and, 

<--

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1

charter schools and cyber charter schools meeting the following

<--

2

criteria:

3

(i)  Providing instruction within the regular classroom at

4

least eighty percent (80%) of the school day for at least sixty-

5

five percent (65%) of eligible students, as averaged for the two

6

(2) most recent school years for which data are available or

7

increasing the number of eligible students receiving instruction

8

within the regular classroom by at least fifteen percent (15%)

9

in the most recent school year for which data are available.

10

(ii)  In the most recent school year for which data are

11

available, performance by eligible students on State academic

12

assessments in reading and math, averaged for the entire

13

district, meeting State standards for adequate yearly progress

14

by any method approved by the Federal and State governments,

15

such as meeting the annual target, the confidence interval, the

16

safe harbor target or by appeal.

17

(iii)  Implementing programs or services that serve as a

18

model of excellence for meeting high standards for inclusion and

19

student achievement through quality special education.

20

(2)  The Department of Education shall develop guidelines for

21

the administration of the grant program established under this

22

subsection, which shall be allocated to school districts and, 

<--

23

charter schools and cyber charter schools on a competitive

<--

24

basis.

25

(3)  The Department of Education shall issue an annual report

26

to the General Assembly documenting use of the grants issued

27

under paragraph (1) and shall give public notice about the

28

report.

29

(4)  Nothing under paragraph (1) or any other provision of

30

this act shall alter Federal or State law regarding the 

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1

protections provided to an eligible student for receiving 

2

education in the least restrictive environment or shall alter

3

the legal authority of individualized education program teams to

4

make appropriate program and placement decisions for eligible

5

students in accordance with the individualized education program

6

developed for each eligible student.

7

Section 2509.14.  Special Education Funding for Eligible

8

Students with Disabilities in Category 3.--(a)  For the

9

2014-2015 school year and each school year thereafter, the

10

Department of Education shall set aside an amount equal to not

<--

11

less than one percent (1%) of the State special education

12

appropriation above the level of the appropriation in the base

13

year. The Department of Education shall distribute this amount

14

as provided in subsection (b).

15

(b)  For the 2014-2015 school year and each school year

16

thereafter, each school district in this Commonwealth shall

17

receive a pro rata share of the amount set aside under

18

subsection (a) based upon the number of eligible students

19

residing or enrolled in each school district and classified in

20

category 3 during the immediately preceding school year.

21

(c)  The funding provided under this section shall be

22

accounted for as part of actual special education spending and

23

as part of the special education allocation received by a school

24

district, according to the definitions in section 2501. School

25

districts shall also account for the funding provided under this

26

section and the resulting services and supports for eligible

27

students through the special education plans, revisions, updates

28

and amendments required by section 2509.15.

29

(d)  Amounts set aside by the Department of Education from

<--

30

the State special education appropriation shall not exceed the

- 17 -

 


1

following:

2

(1)  one percent (1%) of the total State special education

3

appropriation for extraordinary special education program

4

expenses pursuant to sections 2509.8 and 2509.13(k)(1); and

5

(2)  one percent (1%) of the State special education

6

appropriation above the level of appropriation in the base year

7

pursuant to subsection (a).

8

Section 2509.15.  Special Education Accountability.--(a)  (1)  

9

The Department of Education shall determine the form and manner

10

in which school districts shall submit a special education plan

11

and revisions, updates and amendments to the special education

12

plan under this section. The special education plan shall be

13

consistent with other existing plans and reports required by the

14

department to the greatest extent possible. Special education

15

plans shall be written in a manner that is easy to use and

16

understand by parents and the public, including a general

17

summary.

18

(2)  The Department of Education shall:

19

(i)  review the special education plans and revisions,

20

updates and amendments;

21

(ii)  provide recommendations and technical assistance to

22

school districts;

23

(iii)  approve or disapprove the plan within ninety (90)

24

calendar days of receipt; and

<--

25

(iv)  provide a written explanation when disapproving a

26

plan.; and

<--

27

(v)  provide guidance related to plan resubmission.

28

(3)  The Department of Education shall approve a special

29

education plan and revisions, updates and amendments that in the

30

determination of the department:

- 18 -

 


1

(i)  meet the requirements of this section;

2

(ii)  address the academic and developmental challenges for

3

eligible students identified in the school district's most

4

recent student achievement results and pursuant to performance

5

indicators, with specific focus on individual schools, grade

<--

6

levels and populations of students that demonstrate inadequate

7

levels of student outcomes and with student achievement for

8

eligible students as measured by academic performance whenever

9

possible in the general education curriculum, acquisition of

10

knowledge and skills, progress toward graduation, accomplishment

11

of individualized education program goals, including appropriate

12

functional skills, and other factors;

13

(iii)  describe programs and strategies that are most likely

14

to improve student outcomes in the school district; and

<--

15

(iv)  describe any programs offered by the school district

<--

16

and strategies of the school district for children from birth

17

through five (5) years of age and five (5) years of age through

18

seven (7) years of age designed to reduce the need for special

19

education services; and

20

(v) (iv)  describe policies of the school district to ensure

<--

21

that a student identified as having a disability is no longer

22

identified as such if the student no longer qualifies under 22

23

Pa. Code Ch. 14 (relating to special education services and

24

programs), or any successor regulation.

25

(4)  Upon disapproving a school district's special education

26

plan, update or revision submitted under this section, the

27

Department of Education shall may withhold the portion of the

<--

28

annual State increase in special education funding which exceeds

29

the index until a written special education plan, update or

30

revision is approved.

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1

(5)  The Secretary of Education shall involve as appropriate

2

in special education monitoring, support, intervention,

3

technical assistance and special education plan review by the

4

Department of Education, the staff in relevant offices, bureaus

5

and divisions of the department, as well as staff in

<--

6

intermediate units and consultants, and shall neither delegate

7

nor limit these functions solely to the Bureau of Special

8

Education. The Secretary of Education shall have the authority

9

to contract for additional assistance with intermediate units

10

and consultants for these purposes, if the contracts do not

11

create a conflict of interest or supplant existing service or

12

program obligations any other resources as appropriate.

<--

13

(b)  (1)  By April 15, 2013, and by April 15 of each year

<--

14

thereafter Pursuant to the timetable set forth in section 218,

<--

15

each school district receiving an increase in its State special

16

education funding allocation of more than the index shall update

17

its special education plan based on overall circumstances, shall

<--

18

also revise the special education plan to show in detail how the

19

increase above the index will be used by attaching the

<--

20

district's special education expenditures as reported on the

21

annual financial reports and shall submit the updates and

22

revisions to the Department of Education for approval under

23

subsection (a). Unless a school district decides to amend its

<--

24

special education plan more broadly to reflect the receipt of

25

new funding, the The department shall allow a district to meet

<--

26

the requirements of this section by adding the mandated 

<--

27

information as an appendix to the existing plan.

28

(2)  School districts shall use State funds for programs and

29

supports that expressly benefit eligible students educated in

30

the least restrictive environment in accordance with Federal and

- 20 -

 


1

State law and contribute to achievement of performance

2

indicators.

3

(3)  The Department of Education shall issue guidelines for

<--

4

the suggested use of State funds identify resources for programs

<--

5

and supports that benefit eligible students and contribute to

6

achievement of performance indicators and address the following

7

areas or related areas:

8

(i)  curricula adaptation;

9

(ii)  coteaching;

10

(iii)  assistive technology;

11

(iv)  school-wide positive behavior supports;

12

(v)  supplementary aids and services;

13

(vi)  professional development;

14

(vii)  reading specialist services and supports;

<--

15

(viii)  reducing caseloads caseload management for special

<--

16

education teachers and related services personnel; and

17

(ix)  placing and serving eligible students in regular

18

classrooms with supports in accordance with the individualized

19

education program developed for each eligible student.

20

(4)  Nothing under this subsection shall be construed to

<--

21

require school districts to implement only the programs and

22

supports included in the guidelines issued by the Department of

23

Education. The Department of Education shall make the resources

<--

24

identified in paragraph (3) available to all educational

25

entities in this Commonwealth.

26

(c)  Accountability for the effective use of resources to

27

meet student needs shall also be provided in the following ways:

28

(1)  The Department of Education shall issue to the General

29

Assembly a comprehensive annual report on special education

30

funding, special education plans, the implementation of 22 Pa.

- 21 -

 


1

Code § 14.104 (relating to special education plans) and other

2

special education accountability issues for public school

3

entities serving eligible students and this Commonwealth.

4

(2)  Upon disapproving a school district's special education

5

plan, update or revision, the Department of Education shall may 

<--

6

withhold the portion of the annual State increase in special

7

education funding which exceeds the index until a written

8

special education plan, update or revision is approved.

9

(3)  (i)  The Department of Education shall:

10

(A)  review and monitor implementation of all special

11

education plans, such as compliance with subsection (b) and 22

12

Pa. Code § 14.104;

13

(B)  provide support, intervention and technical assistance

14

in school districts failing to meet student needs based on

15

performance indicators or failing to comply with subsection (b);

16

(C)  identify at any time and at least annually all school

<--

17

districts failing to adequately implement their special

18

education plans in compliance with Federal and State law,

19

failing to comply with subsection (b) or not making annual

20

progress to meet post on its Internet website each school

<--

21

district's progress on meeting student needs based on

22

performance indicators; and

23

(D)  determine whether to withhold up to five percent (5%) of

24

all State special education funding for school districts

25

identified under this clause while the identified problems

26

remain unresolved.

27

(ii)  If the Department of Education determines that a school

28

district is making substantial progress toward resolving the

29

identified problems, it shall restore the withheld funding

30

retroactively and continue to monitor the district for an

- 22 -

 


1

additional two (2) years.

2

(4)  (i)  To discourage the inappropriate over-identification

3

of children for special education, the Department of Education

4

shall automatically conduct a thorough review of the special

5

education plan of any school district with a substantially

6

higher ratio of eligible students in the district to its average

7

daily membership for all students than the State average, as

8

established by the department and of any district where the

9

ratio of eligible students in the school district to its average

10

daily membership for all students in the most recent school year

11

for which data is available has increased by more than ten

12

percent (10%) over the previous year or of any district where

13

the ratio has increased by an annual average of more than five

14

percent (5%) during the most recent five-year period.

15

Appropriate The Department of Education may take remedial

<--

16

action, including withholding up to five percent (5%) of all

17

State special education funding, may be taken, unless the ratio

<--

18

or increase is determined to be justified by the department

19

after consultation with the school district if the Department of

<--

20

Education determines that a school district has over-identified

21

a student.

22

(ii)  Nothing in this paragraph or any other provision of

23

this act shall be construed to alter Federal or State law

24

regarding the protections provided to an eligible student for

25

receiving education in the least restrictive environment or

26

alter the legal authority of individualized eduction program

27

teams to make appropriate program and placement decisions for

28

eligible students in accordance with the individualized

29

education program developed for each eligible student.

30

(d)  In rendering a decision or determining remedial action

- 23 -

 


1

under this section, the Department of Education shall consider

2

extraordinary circumstances which a school district subject to

3

review is experiencing, including a substantial reduction in

4

Federal or State funds or other factors beyond the control of

5

the school district. The Department of Education shall issue to

6

any affected school district a notice specifying the

7

department's decisions and actions under this section and the

8

rationale for the decisions and actions. A school district may

9

file a written response to the department about the department's

10

decisions and actions regarding the district made under this

11

section. The written response must be submitted to the

12

department within thirty (30) calendar days of the department's

13

notice or within thirty (30) calendar days of receiving the

14

notice, whichever is greater. The department shall consider the

15

written response, consult with the school district and, within

16

thirty (30) calendar days after receiving the written response,

17

issue a written decision addressing the concerns and claims made

18

in the written response, explaining the judgment of the

19

department in response to these concerns and claims, and

20

specifying the opportunity to appeal this matter to the

21

Secretary of Education for a hearing under 2 Pa.C.S. Chs. 5

22

Subch. A (relating to practice and procedure of Commonwealth

23

agencies) and 7 Subch. A (relating to judicial review of

24

Commonwealth agency action) and 1 Pa. Code Pt. II (relating to

25

general rules of administrative practice and procedure). If

26

requested, the Secretary of Education shall convene a hearing

27

within thirty (30) calendar days after receipt of a school

28

district's hearing request. The Secretary of Education shall

29

render a written hearing decision within thirty (30) calendar

30

days following the hearing.

- 24 -

 


1

(e)  The Department of Education shall give public notice of

2

the decisions, actions and reports made under this section.

3

(f)  Nothing under this section shall supersede or preempt

4

any provisions of a collective bargaining agreement between a

5

school entity and an employe organization in effect on the

6

effective date of this section.

7

(g)  Notwithstanding any other provision of this section,  

<--

8

the The requirements of this section shall be waived until the

<--

9

General Assembly appropriates special education funding above

10

the amount of special education funding in the base year and on

11

the effective date of the appropriation the requirements of this

12

section shall apply for that school year and for each school

13

year thereafter.

14

Section 2509.16.  Data Collection.--Using existing resources

15

and data systems as well as nationally accepted accounting and

16

modeling standards, the Department of Education shall collect

17

data necessary for accurate functioning of the a special

<--

18

education formula developed under section 2509.13 120,

<--

19

including, but not limited to, data necessary for the

20

calculations related to category 1, category 2 and category 3 as

21

part of the formula developed by the commission. The Department

22

of Education shall begin collecting such data upon the effective

23

date of this section.

24

Section 2509.17.  Restructuring.--(a)  The commission shall

<--

25

study whether and the manner in which State and regional

26

administration of special education programs and services may be

27

restructured to reduce the cost of administering special

28

education programs and services by at least ten percent (10%) of

29

the cost of administering special education programs and

30

services in the base year and shall report its findings and

- 25 -

 


1

recommendations, including recommended legislation and options

2

to redirect administrative cost savings to school districts

3

through the formula developed under section 2509.13(d), to the

4

Governor and the General Assembly in the report required under

5

section 2509.13(f)(2).

6

(b)  Nothing under subsection (a) or any other provision of

7

Section 2509.17.  Protections.--Nothing under the provisions

<--

8

of this act shall alter Federal or State law regarding the

9

protections provided to an eligible student for receiving

10

education in the least restrictive environment or shall alter

11

the legal authority of individualized education program teams to

12

make appropriate program and placement decisions for eligible

13

students in accordance with the individualized education program

14

developed for each eligible student.

15

Section 3 4.  The Secretary of Education shall propose

<--

16

regulations for promulgation by the State Board of Education

17

which implement this act.

18

Section 4 5.  This act shall take effect immediately.

<--

- 26 -