Gov. David Paterson's recent veto of a tuition reimbursement bill for Special Act and 853 Schools means continued problems for the 325 emotionally disabled residential students at the Mount Pleasant Cottage School in Westchester County.

"Basically, we can't provide services for these kids at the rate they need," said Jim Nolan, president of the Mount Pleasant Cottage School Teachers Association.

One of 13 such schools created by special acts of the Legislature to serve students who have faced abuse, neglect or had dealings with the criminal justice system, the Cottage School remains unable to hire the occupational therapists its needy students require, Nolan said.

The governor last month vetoed a bill that would have allowed Special Act schools and about 120 so-called 853 Schools to maintain a 4 percent fund balance from year to year — a power public schools already have.

Named for the chapter of state law that created them, 853 Schools provide special education programs for day and residential students with disabilities.

The veto will continue to make it impossible for the schools to adequately serve students who have been unable to succeed "not only in the mainstream setting, but even in other special education settings within their home school districts," Nolan said.

NYSUT leaders were quick to express their disappointment with the governor's action.

President Dick Iannuzzi said the bill would have saved money, promoted smart budgeting and strengthened the schools' ability to serve a special student population.

A bitter pill

NYSUT Executive Vice President Alan Lubin called the veto "a bitter pill" for the specialized schools, which must continue to work without the budget flexibility to meet their own needs and the needs of their students.

"It is extremely disappointing that the governor, who has worked his entire career on behalf of the most vulnerable New Yorkers, would veto such a reasonable bill," Lubin said.

NYSUT has lobbied annually to repair the outdated funding methodology under which these two groups of specialized schools operate.

Working around the clock and staying in constant contact with the governor's office, NYSUT legislative staffers were optimistic the bill would be signed this year.

The current funding for Special Act and 853 Schools is calculated using expenses from two years ago.

The money available to a particular Special Act district at any given time is directly tied to the number of students placed in the residential treatment center with which the school is associated, Nolan said.

He explained that funding rises and falls as students are admitted and discharged throughout the school year.

Most of the schools rely on loans to deal with the funding inconsistencies, Lubin added, meaning the veto will cost them additional money — lots of it.

Special Act school districts are collectively $25 million in debt, paying approximately $1.3 million in interest annually on these loans, said Nolan, who serves on the Coalition for Special Act School Districts.

Because the interest is a covered expense that is reimbursed by the State Division of Budget, the veto "not only directly affects the delivery of services to needy students, it is also, ultimately, a blatant waste of taxpayers' money," Nolan said.

NYSUT will continue to lobby for the resources and flexibility Special Act and 853 Schools need.