N.J. Admin. Code § 6A:23A-17.7

Current through Register Vol. 57, No. 1, January 6, 2025

Section 6A:23A-17.7 - Method of determining tuition rates for county special services schools

(a) The term "actual cost per pupil" for determining the tuition rate(s) for a given year pursuant to N.J.S.A. 18A:46-31 means the adjusted net cost per student in average daily enrollment for special education classes, based upon audited expenditures for that year.

1. The county special services school district board of education shall include all expenditures for each purpose, except Federal and State grant project expenditures.

(b) Each county special services school district board of education shall obtain from the Commissioner certification of the "actual cost per pupil" for a given year either for the county special services school district as a whole or for each special education program by learning disability category based on the following:

1. Revenues, expenditures, and fund balances reflected in the county special services school district's annual independent audit;

2. Average daily enrollment data by category submitted by the county special services school district on a Commissioner-prescribed form.

(c) The estimated tuition rate per pupil for the regular school year special education program shall be sufficient to enable the county special services school district to cover the net cost of the program subject to the statutory general fund budget net of county contribution and statutory limitations on undesignated, unreserved general fund balance.

(d) The tuition rate per pupil for the regular school year special education program for sending school districts shall be based on the net cost calculated by reducing the amount of general fund expenditures by the following:

1. All revenue sources other than tuition (such as the county contribution, nonresident fees, Medicaid reimbursements, and miscellaneous revenue) available to fund the regular school year special education program for sending school districts;

2. All direct and indirect expenditures that are not associated with the regular school year special education program for sending school districts;

3. All expenditures associated with the special education program for sending school districts that are funded through sources other than the regular school year tuition rate such as extraordinary special education costs, which are separately reimbursed for individual students, and the extended school year special education program for which an additional tuition fee is charged; and

4. Refunds of prior-year tuition adjustments made to sending school districts.

(e) The Commissioner shall develop and disseminate workpapers for the purpose of allocating revenue, other fund sources, and expenditures amongst the various programs and services within the general fund.

1. With the exception of the regular school year special education program, the actual programs and/or services will vary by individual county special services school district.

2. The purpose of this allocation shall be to isolate the revenue, other fund sources, and expenditures related to the tuition for the regular school year special education program by segregating programs and services that are not related to the regular school year special education program, or are related but funded through sources other than regular school year special education tuition.

3. Expenditures shall be allocated on a direct and indirect basis amongst the various general fund programs and services when funded through sources other than tuition, such as extraordinary special education services.

i. Direct instructional expenditures for salaries and related benefits, textbooks, teaching supplies, purchased services, equipment, and other expenses for each program or learning disability program category shall be allocated on an actual basis.

ii. When allocating indirect expenditures amongst major programs, such as regular school year special education, extended school year special education and other programs, indirect expenditures, except expenditures for Teachers' Pension and Annuity Fund (TPAF) pension and Social Security, shall be allocated amongst the various programs based on the percent of direct expenditures in each program to the total of all direct expenditures since there is no common ADE equivalent among the programs.

iii. Services provided as part of a program, such as extraordinary special education services, shall not bear part of the indirect expenditures but shall include only direct instruction and support services expenditures.

iv. When allocating indirect expenditures amongst the learning disability program categories of the regular school year or amongst the learning disability program categories of the extended school year, indirect expenditures, except expenditures for TPAF pension and Social Security, shall be allocated amongst all learning disability program categories in proportion to the average daily enrollment.

(f) Pursuant to N.J.S.A. 18A:46-31, an undesignated general fund balance of 10 percent of the general fund budget exclusive of tuition adjustments of prior years may be maintained.

1. When estimating the tuition rate for the budget year, the estimated ending undesignated general fund balance of the budget year for this purpose shall be the estimated beginning fund balance of the budget year less prior-year tuition adjustment refunds to be made to sending school districts during the budget year.

2. When certifying actual final tuition rates, the actual audited ending undesignated general fund balance shall be used.

3. Undesignated general fund balance in excess of 10 percent of the general fund budget exclusive of tuition adjustments of prior years shall be deducted from adjusted expenditures calculated pursuant to (d) above for purposes of calculating the regular school year special education program tuition rate.

4. When undesignated general fund balance is under 10 percent of the general fund budget exclusive of tuition adjustments of prior years, an amount may be added to adjusted expenditures calculated pursuant to (d) above for purposes of calculating the regular school year special education program tuition rate subject to the maximum general fund budget net of county contribution calculated pursuant to N.J.A.C. 6A:23A-17.6(a)2.

(g) Calculation of tentative tuition rates, execution of written contractual agreements, payment of tuition (including the nonresident fee), and adjustments to tentative tuition charges upon Commissioner certification of actual tuition rates shall be made by the county special services school district board of education in accordance with N.J.A.C. 6A:23A-17.1(e), except that the county special services school district board of education shall base the tentative tuition rates on the county special services school district board of education's estimated adjusted net cost per student consistent with the calculation at (c) through (f) above. The tentative tuition rate and actual cost per pupil for a given fiscal year shall be calculated in the same manner chosen pursuant to (b) above.

(h) The county special services district board of education shall use the "actual cost per pupil" certification forms, contract forms, and tentative tuition rate forms as prepared and provided by the Commissioner.

(i) A new county special services school district board of education shall use the method of determining tentative tuition rates in accordance with N.J.A.C. 6A:23A-17.2.

N.J. Admin. Code § 6A:23A-17.7

Amended by 49 N.J.R. 1079(a), effective 5/1/2017

Amended by 56 N.J.R. 2166(a), effective 11/4/2024