State Education Department
New York City Department of Education
Erie County

Administration of Payments for Preschool-Related Services and Special Education Itinerant Teachers

Counties are required to provide educational and related services, such as speech therapy, to children with disabilities. The costs of these various services are reimbursed, in part, by the State Education Department. We audited the payments made for such services by New York City and Erie County, focusing on services provided to preschool children. We found that, in the year we examined, the New York City Department of Education overpaid service providers $731,000 and perhaps significantly more because it used the wrong payment rates in its calculations. We further determined that the New York City Department of Education overpaid service providers an additional $358,000 over a two-year period because changes in student enrollment were not taken into account. We found that Erie County used the correct payment rates in its calculations, and overpaid providers $17,000 for services that were not actually provided. We recommended that certain improvements be made in the controls over payments for such services.

For a complete copy of Report 2003-S-39 click here.
For a copy of the 90-day response click here.
For a copy of the associated follow-up report click here.