Bill Text: NY A09143 | 2021-2022 | General Assembly | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Creates the New York state private not-for-profit special education schools revolving loan fund to provide zero interest loans to private not-for-profit special education schools in NYC to cover a portion of tuition costs for up to two years; appropriates two hundred million dollars.
Spectrum: Partisan Bill (Democrat 18-0)
Status: (Introduced - Dead) 2022-03-04 - print number 9143b [A09143 Detail]
Download: New_York-2021-A09143-Introduced.html
Bill Title: Creates the New York state private not-for-profit special education schools revolving loan fund to provide zero interest loans to private not-for-profit special education schools in NYC to cover a portion of tuition costs for up to two years; appropriates two hundred million dollars.
Spectrum: Partisan Bill (Democrat 18-0)
Status: (Introduced - Dead) 2022-03-04 - print number 9143b [A09143 Detail]
Download: New_York-2021-A09143-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 9143 IN ASSEMBLY January 31, 2022 ___________ Introduced by M. of A. CYMBROWITZ -- read once and referred to the Committee on Education AN ACT to amend the education law, in relation to creating the New York state private not-for-profit special education schools revolving loan fund; and making an appropriation therefor The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The education law is amended by adding a new section 4409 2 to read as follows: 3 § 4409. Revolving loan fund for private not-for-profit special educa- 4 tion schools in cities with a population of one million or more. 1. 5 There is hereby established a fund to be known as the New York state 6 private not-for-profit special education schools revolving loan fund. 7 Such fund shall consist of moneys made available pursuant to appropri- 8 ation and any other sources in order to provide support to private not- 9 for-profit schools for special education students of school age approved 10 pursuant to section forty-four hundred four of this article. The fund 11 shall be administered by the department; provided, however, that the 12 commissioner may enter into an agreement with a bank or trust company to 13 administer loans under this section. 14 2. (a) Loans under this section shall be interest free, except as 15 otherwise provided in this subdivision. A school shall be allowed to 16 submit one loan request application every two years. The lending period 17 shall be a maximum of twenty-four months. A school shall submit to the 18 department a loan repayment schedule detailing how the full amount will 19 be repaid within the final ninety days of the twenty-four month loan 20 period and complete all payments as per that schedule. If a school fails 21 to comply with such schedule it will not receive any new funding until 22 the loan is fully repaid. An interest rate of six percent per annum 23 shall be charged for each month that a loan payment is in arrears. 24 (b) All new loan request applications shall be submitted no later than 25 the last day of the twenty-first month in the twenty-four month loan 26 period. The comptroller shall determine if available funds can satisfy 27 the loan requests of all such eligible applications by the first of EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD11685-08-1A. 9143 2 1 August of that year. If it is determined that available funds cannot 2 satisfy all eligible loan request applications, each eligible school 3 shall be assigned an amount reduced proportionally. Each school that 4 applied shall be notified of their eligibility and the dollar amount 5 available to them by August twentieth of that year. 6 3. A private not-for-profit special education school shall meet the 7 following requirements to be eligible to be approved for a loan under 8 this section: 9 (a) A school shall be incorporated in New York state. 10 (b) A school must have a current enrollment with at least fifty 11 percent of students having an individualized education program (IEP) as 12 defined in 20 U.S.C. § 1414(d). 13 4. The loan amount to a school shall be limited to a maximum of one 14 hundred percent of the total amount of the school district agreed 15 tuition settlement offers in the prior year. 16 5. For a pending payment to qualify for inclusion in the loan amount 17 calculation: 18 (a) the private not-for-profit special education school must have 19 accepted the student without collecting any tuition from the parents 20 with the intent of seeking a tuition settlement pursuant to section 21 forty-four hundred four of this article. A refundable deposit is not 22 considered tuition; and 23 (b) the payment must be on behalf of a student with an IEP as defined 24 in 20 U.S.C. § 1414(d). 25 6. The school district settlement offer or hearing decision for one 26 year of tuition must be for a minimum of forty thousand dollars. 27 § 2. The sum of two hundred million dollars ($200,000,000), or so much 28 thereof as may be necessary, is hereby appropriated to the New York 29 state private not-for-profit special education schools revolving loan 30 fund and made immediately available, for the purpose of carrying out the 31 provisions of this act. 32 § 3. This act shall take effect immediately.