20 U.S.C. § 1440 : US Code - Section 1440: Payor of last resort

Search 20 U.S.C. § 1440 : US Code - Section 1440: Payor of last resort

(a) Nonsubstitution
Funds provided under section 1443 of this title may not be used
to satisfy a financial commitment for services that would have been
paid for from another public or private source, including any
medical program administered by the Secretary of Defense, but for
the enactment of this subchapter, except that whenever considered
necessary to prevent a delay in the receipt of appropriate early
intervention services by an infant, toddler, or family in a timely
fashion, funds provided under section 1443 of this title may be
used to pay the provider of services pending reimbursement from the
agency that has ultimate responsibility for the payment.
(b) Obligations related to and methods of ensuring services
(1) Establishing financial responsibility for services
(A) In general
The Chief Executive Officer of a State or designee of the
officer shall ensure that an interagency agreement or other
mechanism for interagency coordination is in effect between
each public agency and the designated lead agency, in order to
ensure -
(i) the provision of, and financial responsibility for,
services provided under this subchapter; and
(ii) such services are consistent with the requirements of
section 1435 of this title and the State's application
pursuant to section 1437 of this title, including the
provision of such services during the pendency of any such
dispute.
(B) Consistency between agreements or mechanisms under
subchapter II
The Chief Executive Officer of a State or designee of the
officer shall ensure that the terms and conditions of such
agreement or mechanism are consistent with the terms and
conditions of the State's agreement or mechanism under section
1412(a)(12) of this title, where appropriate.
(2) Reimbursement for services by public agency
(A) In general
If a public agency other than an educational agency fails to
provide or pay for the services pursuant to an agreement
required under paragraph (1), the local educational agency or
State agency (as determined by the Chief Executive Officer or
designee) shall provide or pay for the provision of such
services to the child.
(B) Reimbursement
Such local educational agency or State agency is authorized
to claim reimbursement for the services from the public agency
that failed to provide or pay for such services and such public
agency shall reimburse the local educational agency or State
agency pursuant to the terms of the interagency agreement or
other mechanism required under paragraph (1).
(3) Special rule
The requirements of paragraph (1) may be met through -
(A) State statute or regulation;
(B) signed agreements between respective agency officials
that clearly identify the responsibilities of each agency
relating to the provision of services; or
(C) other appropriate written methods as determined by the
Chief Executive Officer of the State or designee of the officer
and approved by the Secretary through the review and approval
of the State's application pursuant to section 1437 of this
title.
(c) Reduction of other benefits
Nothing in this subchapter shall be construed to permit the State
to reduce medical or other assistance available or to alter
eligibility under title V of the Social Security Act [42 U.S.C. 701
et seq.] (relating to maternal and child health) or title XIX of
the Social Security Act [42 U.S.C. 1396 et seq.] (relating to
medicaid for infants or toddlers with disabilities) within the
State.