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Note:  This document has been delivered to the Office of the Federal Register but has not yet been scheduled for publication.  The official version of this document is the document that is published in the Federal Register.

benefits or insurance program already has personal information about the child or parent. We also note that

the consent provisions in §303.414 regarding the

confidentiality of personally identifiable information (where applicable) already provide parents with privacy protections. Additionally, we recognize the importance of public benefits or insurance as a funding source for Part C services and the provisions in sections 632(4)(B), 635(a) (10), and 640 of the Act, which include a reference to State systems of payments, require States to coordinate all resources, and require States to use Part C funds as a payor of last resort, respectively. Therefore, we are

replacing proposed §303.520(a)(1)(i) with §303.520(a)(3)

regarding written notification to parents.

No-cost protections. We agree with commenters who noted that parents must understand the implications of using their public benefits or insurance to pay for Part C services and the importance of parents understanding their confidentiality rights. We also agree with commenters who

expressed concern that the State should not use a child’s

or parent’s public benefits or insurance if the parent

would incur specific costs as a result of the use of those benefits or insurance. Thus, we are making the following changes in these final regulations: