Court Upholds New York’s Restrictive Special Education Rule: What Parents Need to Know for 2025-2026

July 17, 2025 – A recent court ruling has implications for families of children with disabilities in New York City, just as the new school year approaches. Here’s what parents need to know about the Enhanced Rate Equitable Services (ERES) process, and whether appeals are expected.

The Decision: A New Change in Special Education Due Process

On July 11, 2025, New York Supreme Court Justice Amy E. Joyce issued a ruling in Agudath Israel of America v. New York State Board of Regents, rejecting a challenge to a 2024 emergency regulation that had barred families from using due process hearings to challenge provider service rates under IESPs (Individualized Education Services Programs).

While the emergency regulation had already expired in October 2024, the court’s ruling validated the NYC Department of Education’s shift away from the impartial hearing process and toward a newly created administrative route: the ERES Unit.

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The Future of Special Ed in NY: NYSED Weighs in on the Changing Role of the U.S. Dept. of Education

Last week, representatives from the New York State Education Department addressed some concerns about the future of special education funding in New York. This webinar comes at an uncertain time, as President Trump has signed an executive order to close the U.S. Department of Education and threatens to cut funding to public schools that support diversity initiatives.

The webinar was hosted by the New York State Special Education Task Force. I have linked the video here and shared my notes below.

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Case Review: How Should I Justify My Service Provider’s Enhanced Rates?

Introduction

Many parents rely on private special education service providers when their school district fails to deliver the services their child needs, or even those that are mandated on their IEP. However, when seeking reimbursement or direct funding for private services, the district may argue that the rates charged by private providers are too high. Any rate above the extremely low rates that the NYC DOE pays providers is considered an “enhanced rate.” But how are parents supposed to justify “enhanced rates” at an impartial hearing?

A recent State Review Officer (SRO) decision (24-218) issued in July 2024 helps explain this issue. The case involved a parent who sought reimbursement for Special Education Teacher Support Services (SETSS) provided by EdZone, LLC at a rate of $198 per hour. The New York City Department of Education (DOE) challenged this rate, arguing that it was excessive. The SRO ultimately ruled in favor of the parent, requiring the DOE to fully reimburse the $198/hour rate.

This case highlights key takeaways on how parents can justify enhanced provider rates when school districts refuse to fund them.

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