Understanding Special Needs Scholarship Program Requirements

Special needs scholarship programs aim to provide educational opportunities for students with disabilities by offering financial assistance for them to attend participating schools that can better cater to their unique requirements. These programs have specific requirements that students, schools, and districts must meet to participate. This article elucidates these requirements, drawing upon a model legislation framework to provide a comprehensive understanding.

Eligibility Criteria for Students

The definition of an eligible student typically encompasses all special needs students residing in the state who are initially enrolled in a public school. This eligibility is generally irrespective of their household income. The rationale behind excluding students already attending private schools stems from the scholarship amount being based on the Individualized Education Plan (IEP) developed at the resident public school. Extending eligibility to students in private schools could lead to increased state spending, as private school costs might exceed the state and local support provided to special needs students in public schools. However, depending on budget considerations, legislators may opt to extend scholarships to some special needs students already in private schools.

Scholarship Amount Determination

The scholarship amount is primarily determined by the cost of the educational program outlined in the student's Individualized Education Plan (IEP) as drafted by the student’s public school. The Department reviews the IEP to ascertain the appropriate scholarship amount. The maximum scholarship granted is equivalent to the cost of the educational program that would have been provided for the student in their resident school district. However, the participating school is not mandated to adhere to the IEP. The actual scholarship amount is the lesser of the amount calculated based on the IEP or the participating school's estimated costs for serving the student.

Participating School Obligations and Autonomy

Participating schools play a critical role in the success of a special needs scholarship program. While the scholarship amount is linked to a student’s IEP, these schools have autonomy in designing and implementing educational programs. This recognizes that the parent chose to move their child from the public school that created the IEP, presumably because that school was not meeting the child's needs.

Participating schools must comply with certain administrative, financial, and academic accountability standards.

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Administrative Accountability

Administrative accountability includes conducting criminal background checks on employees to ensure student safety. This is particularly important in states with restrictions on discriminating against felons in hiring, even for sensitive positions in schools. The language in the legislation clarifies the school's authority to dismiss or not hire individuals who may pose a risk to student safety. Religious schools that prioritize rehabilitation can still hire individuals with criminal backgrounds if they believe they no longer pose a threat to students, especially in cases involving non-violent crimes or decades-old violations followed by a clean record.

Financial Accountability

Financial accountability requires schools to submit a financial information report, certified by an auditor, to ensure transparency and proper use of public funds. The auditor verifies that the report is free of material misstatements and accurately represents the costs per pupil. Schools must also demonstrate financial viability, either through a surety bond or other means, to ensure they can repay any funds owed to the state.

Academic Accountability

While the model legislation doesn't mandate standardized assessments for students with special needs due to their unique educational challenges, it allows parents to request statewide assessments to monitor their child’s progress.

Participating School Autonomy

Participating schools must have a written code of conduct, and students participating in the program must comply with it and maintain attendance throughout the school year, unless excused for illness or other valid reasons. However, parents retain the right to transfer their child to a public school or another participating school at any time.

Role of the Department of Public Instruction

The Department of Public Instruction is typically designated as the agency responsible for regulating the Special Needs Scholarship Program. This agency is usually in charge of public school finances and private school regulation within the state. The Department is tasked with informing the resident school district when a student with special needs has requested a scholarship and calculating the scholarship amount based on the IEP. The Department must adhere strictly to the definitions outlined in the legislation when calculating the scholarship. If the Department decides to bar a participating school from the program, it must promptly notify eligible students and their parents of this decision.

Resident School District Responsibilities

The resident school district plays a role in the program, even though the student is attending a different school. The district is responsible for providing transportation for the eligible student to and from the participating school under the same conditions as it provides transportation for other resident students attending private schools, as per existing law. The participating student is counted in the enrollment of their resident school district, and the funds needed to provide the scholarship are subtracted from the state school aid payable to the district.

Parent Empowerment and Choice

The model legislation empowers parents to determine whether their child's needs are being met by their existing public school and whether a transfer to another public or private school is necessary. This determination rests with the parents, not the Department, school district, or a panel of educators. The authors believe that government agencies may have a financial interest in the decision and might be reluctant to approve the transfer of a student with special needs to another school.

Parents can choose either a public school outside their district or a private school. Giving parents the widest possible array of choices ensures that they can choose the school that best meets their child’s special needs.

Financial Considerations

The scholarship is ideally funded by the federal, state, and local dollars that would have been available for the child at their resident public school. However, including federal dollars may introduce unwanted federal regulations to choice schools, potentially discouraging private school participation. Similarly, using local dollars may violate state constitutions in some places or be politically unviable in others. Therefore, the legislation typically draws funds solely from state funds, subtracting the costs from the state aid paid to the resident school district that has not met the student’s needs.

The legislation may also address whether schools can charge students with special needs tuition and fees exceeding the scholarship amount. Allowing this could encourage greater participation by schools where costs exceed the scholarship amount. Legislators may wish to place a cap on the tuition and fees that a poor student might be charged to ensure that all families can afford to participate in the program. The amount of the scholarship plus the tuition and fees charged to the student should not exceed the school’s costs for educating the student.

Participating schools are prohibited from refunding, rebating, or sharing a student’s scholarship with a parent or the student in any manner.

Non-Discrimination Policies

Private schools are already prohibited from discriminating based on race, color, and national origin under 42 USC 1981. If private schools receive federal funds, they are subject to further non-discrimination requirements under 42 USC 2000d (race, color, national origin) and 29 USC 794 (disability).

Program Evaluation and Oversight

The legislature may require periodic reports from researchers to evaluate the program's effectiveness. The legislature may assign study oversight responsibility to a trusted, objective, nonpartisan source, such as a legislative service agency. The legislation may allow the legislature (or a legislative service agency) to accept private grants to completely fund such a study.

Severability Clause

Legislators often include severability clauses in new legislation, ensuring that if one part of the law is deemed invalid, the remaining provisions remain in effect.

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