NC H883

Establishes a grant program through the Special State Reserve Fund beginning in fiscal year 2025-2026 for local school districts to cover extraordinary costs of students with disabilities, including placement in approved private schools with nonpublic special education programs

Eligibility requires total service costs to equal or exceed four times the State average per pupil expenditure for children with disabilities; the Department of Public Instruction will reimburse 75% of extraordinary costs and disburse funds quarterly

Extraordinary costs include salaries for educational and related services personnel, specialized books/materials/equipment, tuition, and consultant costs directly tied to a student's IEP, but exclude administrative overhead and evaluation costs

Appropriates $1,000,000 in recurring funds from the General Fund to the Special State Reserve Fund for implementation, with a report on grant applications and awards due to the Joint Legislative Education Oversight Committee by March 15, 2026

Requires the Department of Public Instruction to collect and report monthly data on students in homebound, modified day, home/hospital, separate school, residential, and psychiatric residential treatment facility placements, with annual reporting beginning October 15, 2026