Sec. 9. (a) This section does not apply to a charter school.

     (b) Each calendar year, a school corporation shall expend part of the school corporation’s state special education grant on the provision of special education and related services to parentally placed nonpublic school students with disabilities. The school corporation shall, at a minimum, expend an amount from the state special education grant equal to the amount attributable to the number of parentally placed nonpublic school students with disabilities included in the school corporation’s count conducted under section 1 of this chapter.

     (c) In determining compliance with this section, a school corporation may include state special education grant expenditures on the following:

(1) Activities and services for which the school corporation may expend federal grants under Part B of the federal Individuals with Disabilities Education Act (20 U.S.C. § 1400 et seq.).

(2) Child find activities, including the cost of initial educational evaluations and reevaluations.

     (d) A school corporation shall maintain sufficient and accurate records to demonstrate compliance with this section.

     (e) The state board shall adopt rules to implement this section, including, but not limited to, annual reporting requirements, monitoring, and consequences for noncompliance. The consequences may include requiring expenditure of additional state funds in a subsequent year if the school fails to expend the requisite amount in a prior year that occurs after June 30, 2011.

     (f) Notwithstanding the effective date in HEA 1341-2011, SECTION 3, this section takes effect July 1, 2011 (rather than January 1, 2011).

As added by P.L.72-2011, SEC.3. Amended by P.L.229-2011, SEC.214.