New York 2025-2026 Regular Session

New York Assembly Bill A04698

Introduced
2/4/25  
Refer
2/4/25  

Caption

Relates to payments made by school districts to charter schools.

Summary

This bill amends the Education Law provisions governing how school districts pay charter schools, with a particular focus on the timing of those payments. Under current law, districts make charter school payments in six substantially equal installments beginning in July and then every two months; the bill would change that schedule so payments are made quarterly, in the same proportion and at the same time the district receives its state aid. The bill applies this change to the general charter school payment provision and to the separate provision covering aid attributable to students with disabilities attending charter schools. The bill also preserves existing rules for how payments are calculated, including commissioner-determined amounts, first-year enrollment projections, and later reconciliation with actual enrollment data. For first-year charter schools, projected enrollment would still be used initially, with adjustments made after actual enrollment is reported. The measure is set to take effect July 1 following enactment, with a technical linkage to the existing statutory expiration and reversion language for charter school payment rules.

Impact

The bill would amend section 2856 of the Education Law to change the payment cadence from six bimonthly installments to quarterly payments tied to the receipt of state aid by school districts. This would affect school districts’ cash-flow obligations to charter schools and would alter the timing, but not the basic formula, for direct payments of state and federal aid attributable to charter school students, including students with disabilities. The bill does not change charter school eligibility for aid or the underlying reimbursement calculations; it primarily restructures when payments must be made and how they align with district aid receipts.

Sentiment

Based on the bill text and the absence of recorded committee debate or votes in the provided materials, the overall sentiment appears procedural and administrative rather than overtly contentious. The proposal suggests an effort to synchronize charter school payments with district state-aid timing, which may be viewed as a fiscal management adjustment. Because no transcripts or vote history are provided, there is no documented support or opposition in the supplied record, but the subject matter is one that often draws interest from both charter school advocates and school district administrators.

Contention

The main point of potential contention is the payment schedule change itself: charter schools may prefer more predictable or earlier cash flow, while school districts may favor aligning payments with when state aid is actually received. Another possible issue is the effect on payments for students with disabilities, since those funds are also included in the revised timing language. However, the bill does not alter the underlying entitlement to payments or the enrollment reconciliation process, so any disagreement would likely center on timing and fiscal administration rather than on charter school funding policy more broadly.

Companion Bills

NY S04390

Same As Relates to payments made by school districts to charter schools.

Previously Filed As

NY A00708

Relates to payments made by school districts to charter schools.

NY S01252

Relates to payments made by school districts to charter schools.

NY S04390

Relates to payments made by school districts to charter schools.

NY SB674

Charter schools; Charter Schools Incentive Fund; renaming; state funding; calculation; payments.

NY SB674

Charter schools; Charter Schools Incentive Fund; renaming; state funding; calculation; payments.

NY A516

Includes adjustment aid in calculation of districts' payments to charter schools under certain circumstances.

NY S3249

Authorizes establishment of charter school payment reserve account in school districts.

NY A1109

Authorizes establishment of charter school payment reserve account in school districts.

NY HB2448

Authorizes the establishment of charter schools in school districts in Cass County

NY HSB108

A bill for an act relating to payments to charter schools by a school district of residence for students enrolled in a charter school, and including effective date provisions.(See HF 789.)

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