] is old law to be omitted. LBD01899-01-5A. 1786 2 1 eighty-five, eighty-seven or eighty-eight of the education law, which 2 furnished the care, services or supplies either directly or by contract. 3 3. The department of health shall apply for all necessary federal 4 approvals to implement the provisions of this section. The provisions of 5 this section shall be of no force and effect unless all necessary 6 approvals under federal law and regulation have been obtained to receive 7 federal financial participation in the costs of health care services 8 provided pursuant to this section. 9 § 2. Subdivision 1 and the closing paragraph of section 368-e of the 10 social services law, as amended by section 55 of part B of chapter 58 of 11 the laws of 2009, are amended to read as follows: 12 1. The department of health shall review claims for expenditures made 13 by counties and the city of New York for medical care, services and 14 supplies which are furnished to preschool children with handicapping 15 conditions or such preschool children suspected of having handicapping 16 conditions, as such children are defined in the education law. The 17 department of health shall also review claims for expenditures for early 18 and periodic screening, diagnosis and treatment and other health 19 services, care and supplies which are furnished to eligible pre-school 20 children regardless of whether the pre-school children have handicapping 21 conditions, are suspected of having handicapping conditions or have an 22 individualized education plan. If approved by the department, payment 23 for such medical care, services and supplies which would otherwise qual- 24 ify for reimbursement under this title and which are furnished in 25 accordance with this title and the regulations of the department to such 26 children, shall be made in accordance with the department's approved 27 medical assistance fee schedules by payment to such county or city which 28 furnished the care, services or supplies either directly or by contract. 29 Notwithstanding any provisions of law, rule or regulation to the contra- 30 ry, any clinic or diagnostic and treatment center licensed under article 31 twenty-eight of the public health law, which as determined by the state 32 education department, in conjunction with the department of health, has 33 a less than arms length relationship with the provider approved under 34 section forty-four hundred ten of the education law shall, subject to 35 the approval of the department and based on standards developed by the 36 department, be authorized to directly submit such claims for medical 37 assistance, services or supplies so furnished for any period beginning 38 on or after July first, nineteen hundred ninety-seven. The actual full 39 cost of the individualized education program (IEP) related services 40 incurred by the clinic shall be reported on the New York State Consol- 41 idated Fiscal Report in the education law section forty-four hundred ten 42 program cost center in which the student is placed and the associated 43 medical assistance revenue shall be reported in the same manner. 44 6. The department of health shall apply for all necessary federal 45 approvals to implement the provisions of this section. The provisions of 46 this section shall be of no force and effect unless all necessary 47 approvals under federal law and regulation have been obtained to receive 48 federal financial participation in the costs of health care services 49 provided pursuant to this section. 50 § 3. This act shall take effect immediately.