A4854 3R

An Act concerning auxiliary and remedial services for nonpublic school students, amending and supplementing P.L.1977, c.192 and P.L.1977, c.193, and repealing various parts of the statutory law.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

²1. Section 1 of P.L.1977, c.193 (C.18A:46-19.1) is amended to read as follows:

The Legislature [hereby] finds and [determines] declares that [the]:

a. The security and welfare of the State require that all school-age children be assured the fullest possible opportunity to develop their intellectual capacities. In order to achieve this objective it is the intent of this Legislature to require that the State and local communities identify and provide remedial services for [handicapped] children with disabilities in both public and nonpublic schools.

b. The annual appropriations to provide services pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.) should be fully expended each year to support nonpublic school students.

c. The maximum per service aid amounts established by the commissioner are to be calculated in accordance with the provisions of P.L.1977, c.193 (C.18A:46-19.1 et al.) in order to maintain the quality of services provided to eligible nonpublic students and the overall sustainability of the program.²

(cf: P.L.1977, c.193, s.1)

²[1.] 2.² Section 8 of P.L.1977, c.193 (C.18A:46-19.6) is amended to read as follows:

8. If the provision of services, pursuant to [this act] P.L.1977, c.193 (C.18A:46-19.1 et al.) requires transportation or the maintenance of vehicular classrooms, the board of education of a district in which a nonpublic school is located shall provide for such transportation and maintenance and the cost shall be [paid from] reimbursed to the district in the form of State aid received by the district for the purpose of [this act] P.L.1977, c.193 (C.18A:46-19.1 et al.).

(cf: P.L.1984, c.120, s.1)

²[2.] 3.² Section 14 of P.L.1977, c.193 (C.18A:46-19.8) is amended to read as follows:

14. a. On November 5 of each year, each board of education shall report the number of nonpublic school children who attended a nonpublic school located within the district who were identified as eligible to receive examination, classification, and speech correction services pursuant to [this act] P.L.1977, c.193 (C.18A:46-19.1 et al.) during the previous school year. [The number of these pupils requiring an initial evaluation or reevaluation for examination and classification shall be multiplied by $990.73. The number of these pupils requiring an annual review for examination and classification shall be multiplied by $297.06. The number requiring speech correction shall be multiplied by $786.70. These products shall be added to determine the estimated cost for providing examination, classification, and speech corrections services to nonpublic school children during the next school year. Each board of education shall report the number of nonpublic school children who attended a nonpublic school located within the district, who were identified as eligible for supplementary instruction services during the preceding school year. The number of these pupils shall be multiplied by $752.41. This product shall be added to the estimated cost for providing examination, classification and speech correction services.

In preparing its annual budget, each board of education shall include as an expenditure the estimated cost of providing services to nonpublic school children pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.).

In preparing its annual budget, each board of education shall include as a revenue State aid in an amount equal to the estimated cost of providing services to nonpublic school children pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.).

During each school year, each district shall receive an amount of State aid equal to 10% of the estimated cost on the first day in September and on the first day of each month during the remainder of the school year. If a board of education requires funds prior to September, the board shall file a written request with the Commissioner of Education stating the need for the funds. The commissioner shall review each request and forward those for which need has been demonstrated to the appropriate officials for payment. In the event the expenditures incurred by any district are less than the amount of State aid received, the district shall refund the unexpended State aid after completion of the school year. The refunds shall be paid no later than December 1. In any year, a district may submit a request for additional aid pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.). If the request is approved and funds are available from refunds of the prior year, payment shall be made in the current school year] The commissioner may require any additional data collection as may be necessary to ensure that the maximum per service aid amounts established pursuant to subsection c. of this section are reflective of the number of students eligible for each applicable service provided pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.).

b. For the purposes of [the report] any report or other data provided pursuant to subsection a. of this section, a board of education shall include a pupil enrolled in a nonpublic school located within the district who does not reside in the State in the number of pupils requiring an initial evaluation or reevaluation for examination and classification or requiring an annual review for examination and classification.

Notwithstanding the provisions of N.J.S.18A:46-6, N.J.S.18A:46-8, or any other section of law to the contrary, a school district may [use State aid received] seek reimbursement from the State pursuant to the provisions of P.L.1977, c.193 (C.18A:46-19.1 et al.) for the initial evaluation or reevaluation for examination and classification or annual review for examination and classification of a nonpublic school pupil who is not a resident of the State.

c. ²(1)² The allocation of State aid to local school districts to provide services pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.) shall be determined by the commissioner in a manner consistent with the provisions of this subsection, and the aid shall be distributed to school districts pursuant to section ²[3] 4² of P.L. , c. (C. ) (pending before the Legislature as this bill). In allocating State aid, the commissioner shall establish maximum per service aid amounts for an initial evaluation or reevaluation for examination and classification, an annual review for examination and classification, speech correction, and supplementary instruction services. The maximum per service aid amounts shall be ²[established in a manner to be determined by the commissioner, provided that the method by which the commissioner establishes the maximum per service aid amounts is based on projected estimates, for the upcoming school year, of the number of services to be provided, students eligible for each service pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.), and the costs to provide the services. The estimates used by the commissioner to establish the maximum per service aid amounts shall be based on trends from recent school years in the number of services provided, eligible students, and service costs. The method by which the commissioner establishes the maximum per service aid amounts] determined by dividing the amount annually appropriated to provide services pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.) by the average number of documented services delivered in the prior three school years. In the second full school year following the date of enactment of P.L. , c. (C. ) (pending before the Legislature as this bill) and every third school year thereafter, the commissioner shall cause a survey to be conducted, which shall collect from service providers information as the commissioner deems necessary to calculate the average and range of costs incurred to provide services pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.). The commissioner shall report the findings of the survey to the Governor, and to the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), and shall use the report to inform recommendations on the annual appropriation to provide services pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.).

(2) In distributing State aid to provide services pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.), the commissioner² shall also ensure that, to the greatest extent possible, the amounts annually appropriated ²[for services provided pursuant P.L.1977, c.193 (C.18A:46-19.1 et al.)]² are fully exhausted by the end of the school year for which the maximum amounts are established ¹and that the amounts appropriated are equitably distributed among school districts applying for reimbursement pursuant to section ²[3] 4² of P.L. , c. (C. ) (pending before the Legislature as this bill). To the extent permitted by federal law, the commissioner may establish limits on the duration and frequency of speech correction services and supplementary instruction services provided pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.) in order to ensure that the greatest number of eligible students are provided the services throughout the school year and that, to the greatest extent possible, the amount annually appropriated for the services is available to reimburse school districts during the entirety of the school year¹. The maximum per service aid amounts ¹, and any limits established by the commissioner on the duration and frequency of speech correction services and supplementary instruction services,¹ shall be disseminated by the commissioner to school districts and nonpublic schools no later than July 15 ¹[prior to the beginning]¹ of the school year.

d. A school district seeking State aid for services provided pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.) shall apply for reimbursement of the costs to provide the services in accordance with the process established by the commissioner in section ²[3] 4² of P.L. , c. (C. ) (pending before the Legislature as this bill).

(cf: P.L.2010, c.71, s.1)

²[3.] 4.² (New section) a. The commissioner shall establish a process by which school districts are reimbursed for costs, within the limits of available appropriations and the applicable maximum per service aid amounts established pursuant to subsection c. of section 14 of P.L.1977, c.193 (C.18A:46-19.8), that are incurred to provide services for all eligible nonpublic school pupils pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.). The process to be established by the commissioner shall permit school districts to apply for reimbursement payments on a ¹[monthly] quarterly¹ basis in a manner to be determined by the commissioner. School districts seeking reimbursement for services pursuant to this section shall submit applications for reimbursement on a ¹[monthly] quarterly¹basis and adhere to all submission guidelines, accounting and budgeting guidance, documentation requirements, and defined timelines for reimbursement as determined by the commissioner.

b. No later than July 15 ¹[prior to the beginning of the] of each¹ school year, the commissioner shall notify school districts and nonpublic schools of the details concerning the reimbursement process established pursuant to subsection a. of this section, which details shall include submission guidelines, accounting and budgeting guidance, documentation requirements, and defined timelines for reimbursement. School districts shall be able to first apply for reimbursement beginning on September 1. Notwithstanding the reimbursement process first opening on September 1, a district shall be able to apply for reimbursement for costs incurred prior to September 1, provided that the costs are within the applicable maximum per service aid amounts established pursuant to subsection c. of section 14 of P.L.1977, c.193 (C.18A:46-19.8). Reimbursements shall be made to school districts throughout the school year until the amount annually appropriated as State aid for services provided pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.) has been fully expended in the school year for which the appropriation has been made.

c. Notwithstanding the provisions of any other law, rule, or regulation to the contrary, the commissioner is authorized to withhold all or a portion of the amount of aid that may be retained by a school district for administrative purposes, if the commissioner finds that the district did not apply for reimbursement of costs in a timely manner, in accordance with the defined timelines for reimbursement established by the commissioner pursuant to subsection b. of this section, or otherwise did not properly or efficiently administer funds allocated to the district pursuant to P.L.1977, c.193 (C.18A:46-19.1 et al.).

²5. Section 1 of P.L.1977, c.192 (C.18A:46A-1) is amended to read as follows:

The Legislature hereby finds and [determines] declares that [the]:

a. The welfare of the State requires that present and future generations of school age children be assured opportunity to develop to the fullest their intellectual capacities. It is the intent of this Legislature to ³[insure] ensure³ that the State shall furnish on an equal basis auxiliary services to all pupils in the State in both public and nonpublic schools.

b. The annual appropriations to provide services pursuant to P.L.1977, c.192 (C.18A:46A-1 et seq.) should be fully expended each year to support nonpublic school students.

c. The maximum per service aid amounts established by the commissioner are to be calculated in accordance with the provisions of P.L.1977, c.192 (C.18A:46A-1 et seq.) in order to maintain the quality of services provided to eligible nonpublic students and the overall sustainability of the program.²

(cf: P.L.1977, c.192, s.1)

²[4.] 6.² Section 6 of P.L.1977, c.192 (C.18A:46A-6) is amended to read as follows:

6. If the provision of services pursuant to [this act] P.L.1977, c.192 (C.18A:46A-1 et seq.) requires transportation or the maintenance of vehicular classrooms, the board of education of the district in which a nonpublic school is located shall provide for such transportation and maintenance, and the cost shall be [paid from] reimbursed to the district in the form of additional State aid received by the district for the purpose of [this act] P.L.1977, c.192 (C.18A:46A-1 et seq.).

(cf: P.L.1984. c.122, s.2)

²[5.] 7.² Section 8 of P.L.1977, c.192 (C.18A:46A-8) is amended to read as follows:

8. No more than [6%] six percent of the aid received by any district pursuant to [this act] P.L.1977, c.192 (C.18A:46A-1 et seq.) shall be used by [such] the district for administration of the act, and no more than [18%] 18 percent of [such] the aid shall be used to rent facilities needed to implement the provisions of [this act] P.L.1977, c.192 (C.18A:46A-1 et seq.). Notwithstanding the provisions of any other law, rule, or regulation to the contrary, the commissioner is authorized to withhold all or a portion of the amount of aid retained by a school district pursuant to this section, if the commissioner finds that the district did not apply for reimbursement of costs in a timely manner, in accordance with the defined timelines for reimbursement established by the commissioner pursuant to section ³[7] 9³ of P.L. , c. (C. ), or otherwise did not properly or efficiently administer funds allocated to the district pursuant to P.L.1977, c.192 (C.18A:46A-1 et seq.).

(cf: P.L.1977, c.192, s.8)

²[6.] 8.² Section 9 of P.L.1977, c.192 (C.18A:46A-9) is amended to read as follows:

9. ²(1)² The [apportionment] allocation of State aid [among] to local school districts for services provided pursuant to P.L.1977, c.192 (C.18A:46A-1 et seq.) shall be [calculated] determined by the commissioner [as follows:] in a manner consistent with the provisions of this section, and the aid shall be distributed to school districts pursuant to section ²[7] 9² of P.L. , c. (C. ) (pending before the Legislature as this bill). In allocating State aid, the commissioner shall establish maximum per service aid amounts for providing the equivalent service to children of limited English-speaking ability, compensatory education, and home instruction. The maximum per service aid amounts shall be ²[established in a manner to be determined by the commissioner, provided that the method by which the commissioner establishes the maximum per service aid amounts is based on projected estimates, for the upcoming school year, of the number of services to be provided, students eligible for each service pursuant to P.L.1977, c.192 (C.18A:46A-1 et seq.), and the costs to provide the services. The estimates used by the commissioner to establish the maximum per service aid amounts shall be based on trends from recent school years in the number of services provided, eligible students, and service costs. The method by which the commissioner establishes the maximum per service aid amounts] determined by dividing the amount annually appropriated to provide services provided pursuant to P.L.1977, c.192 (C.18A:46A-1 et seq.) by the average number of documented services delivered in the prior three school years. In the second full school year following the date of enactment of P.L. , c. (C. ) (pending before the Legislature as this bill) and every third school year thereafter, the commissioner shall cause a survey to be conducted, which shall collect from service providers information as the commissioner deems necessary to calculate the average and range of costs incurred to provide services pursuant to P.L.1977, c.192 (C.18A:46A-1 et seq.). The commissioner shall report the findings of the survey to the Governor, and to the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), and shall use the report to inform recommendations on the annual appropriation to provide services pursuant to P.L.1977, c.192 (C.18A:46A-1 et seq.).

(2) In distributing State aid for services pursuant to P.L.1977, c.192 (C.18A:46A-1 et seq.), the commissioner² shall also ensure that, to the greatest extent possible, the amounts annually appropriated ²[for services provided pursuant P.L.1977, c.192 (C.18A:46A-1 et seq.)]² are fully exhausted by the end of the school year for which the maximum amounts are established ¹and that the amounts appropriated are equitably distributed among school districts applying for reimbursement pursuant to section ²[7] 9² of P.L. , c. (C. ) (pending before the Legislature as this bill). To the extent permitted by federal law, the commissioner may establish limits on the duration and frequency of each auxiliary service provided pursuant to P.L.1977, c.192 (C.18A:46A-1 et seq.) in order to ensure that the greatest number of eligible students are provided the services throughout the school year and that, to the greatest extent possible, the amount annually appropriated for the
services is available to reimburse school districts during the entirety of the school year¹. The maximum per service aid amounts ¹, and any limits established by the commissioner on the duration and frequency of auxiliary services,¹ shall be disseminated by the commissioner to school districts and nonpublic schools no later than July 15 ¹[prior to the beginning]¹ of the school year.

A school district seeking State aid for services provided pursuant to P.L.1977, c.192 (C.18A:46A-1 et seq.) shall apply for reimbursement of the costs to provide the services in accordance with the process established by the commissioner in section ²[7] 9² of P.L. , c. (C. ) (pending before the Legislature as this bill).

a. [The per pupil aid amount for providing the equivalent service to children of limited English-speaking ability enrolled in the public schools, shall be $1274.03. The appropriate per pupil aid amount for compensatory education shall be $628.71.] (Deleted by amendment, P.L. , c. ) (pending before the Legislature as this bill)

b. [The appropriate per pupil aid amount shall then be multiplied by the number of auxiliary services received for each pupil enrolled in the nonpublic schools who were identified as eligible to receive each auxiliary service as of the last school day of June of the prebudget year, to obtain each district's State aid for the next school year.] (Deleted by amendment, P.L. , c. ) (pending before the Legislature as this bill)

c. [The per pupil aid amount for home instruction shall be determined by multiplying the base per pupil amount by a cost factor of 0.0037 by the number of hours of home instruction actually provided in the prior school year.] (Deleted by amendment, P.L. , c. ) (pending before the Legislature as this bill)

(cf: P.L.2007, c.260, s.74)

²[7.] 9.² (New section) a. The commissioner shall establish a process by which school districts are reimbursed for costs, within the limits of available appropriations and the applicable maximum per service aid amounts established pursuant to section 9 of P.L.1977, c.192 (C.18A:46A-9), that are incurred to provide services for eligible nonpublic school students pursuant to P.L.1977, c.192 (C.18A:46A-1 et seq.). The process to be established by the commissioner shall permit school districts to apply for reimbursement payments on a ¹[monthly] quarterly¹ basis in a manner to be determined by the commissioner. School districts seeking reimbursement for services pursuant to this section shall submit applications for reimbursement on a ¹[monthly] quarterly¹basis and adhere to all submission guidelines, accounting and budgeting guidance, documentation requirements, and defined timelines for reimbursement as determined by the commissioner.

b. No later than July 15 ¹[prior to the beginning of the] of each¹ school year, the commissioner shall notify school districts and nonpublic schools of the details concerning the reimbursement process established pursuant to subsection a. of this section, which details shall include submission guidelines, accounting and budgeting guidance, documentation requirements, and defined timelines for reimbursement. School districts shall be able to first apply for reimbursement beginning on September 1. Notwithstanding the reimbursement process first opening on September 1, a district shall be able to apply for reimbursement for costs incurred prior to September 1, provided that the costs are within the applicable maximum per service aid amounts established pursuant to section 9 of P.L.1977, c.192 (C.18A:46A-9). Reimbursements shall be made to school districts throughout the school year until the amount annually appropriated as State aid for services provided pursuant to P.L.1977, c.192 (C.18A:46A-1 et seq.) has been fully expended in the school year for which the appropriation has been made.

²[8.] 10.² Section 13 of P.L.1977, c.192 (C.18A:46A-10) is amended to read as follows:

13. Annually, on or before November 5, each board shall file a report on the number of such pupils who have been identified as eligible to receive each auxiliary service as of the last school day in October. The commissioner may require any additional data collection as may be necessary to ensure that the maximum per service aid amounts established pursuant to section 9 of P.L.1977, c.192 (C.18A:46A-9) are reflective of the number of students eligible for each applicable service provided pursuant to P.L.1977, c.192 (C.18A:46A-1 et seq.).

(cf: P.L.1990, c.52, s.66)

²[9.] 11.² Section 18 of P.L.1977, c.192 (C.18A:46A-15) is amended to read as follows:

18. In any year, no district shall be required to make expenditures ¹for the provision of an auxiliary service provided¹ for the purposes of [this act] P.L.1977, c.192 (C.18A:46A-1 et seq.) in excess of the maximum per service aid amount [of State aid received pursuant to this act] determined by the commissioner pursuant to section 9 of P.L.1977, c.192 (C.18A:46A-9) for that year.

(cf: P.L.1977, c.192, s.18)

²[10.] 12.² The following are repealed:

Sections 15 through 17 of P.L.1977, c.192 (C.18A:46A-12 through C.18A:46A-14); and

Section 19 of P.L.1977, c.192 (C.18A:46A-16).

²[11.] 13.² This act shall take effect immediately and shall first apply ³[to the first full] in the 2025-2026³ school year ³[following the date of enactment]³.