State Education Department

Integrated Treatment Services, Inc.: Compliance with the Reimbursable Cost Manual

School districts in New York State are required by law to meet the physical and educational needs of children with disabilities. If it is determined that a child with disabilities needs special education services, these services may be provided by special education itinerant teachers (SEIT). SEIT providers are paid by the localities on the basis of rates established by the State Education Department. These rates are set on the basis of cost information reported by the SEIT providers. However, when we audited the costs reported by one of these providers (Integrated Treatment Services, Inc.), we found that the costs were not always properly calculated, adequately documented and eligible for reimbursement. As a result, the provider was overpaid a total of $511,615 for the two years audited. We recommended that the State Education Department make the necessary adjustments in the providerís reimbursement rates.

For a complete copy of Report 2009-S-37 click here.