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disclosure at any time, and that refusal to provide consent or withdrawal of this consent will not jeopardize their

child’s access to services under the Part C program.

Section 303.520(b)--Policies Related to Use of Private Insurance to Pay for Part C Services

Under §303.520(b), a State may not access a parent’s

private insurance to pay for Part C services unless the parent provides consent to do so, except in States that have enacted legislation that provides certain no-cost protections. Overall, we do not believe the final regulations will have a significant effect on States because private insurance funds represent a more limited

proportion of States’ Part C budgets than funds from public

benefits or insurance programs. Twenty-six States reported in either their FFY 2001 or 2002 Part C APRs that they used funds from private insurance and/or family fees to pay for

Part C services.7 For 21 of these 26 jurisdictions, the

average percentage of the State's overall Part C budget that represented funds from private insurance and/or family fees was 4.9 percent. Notably, those few States for which private insurance represents a relatively larger share of

their budget (i.e., more than 10 percent) are States that

would not be subject to the general consent requirement

7

The 2002 Part C APR was the last APR in which State lead agencies were required to report data on funding sources.