(1) As used in this section, hospital means: (a) A state-operated hospital; (b) A hospital or clinic of the Oregon Health and Science University; or (c) A private hospital that is not a psychiatric facility and that: (A) Has the capacity to admit patients from throughout this state; (B) Provides specialized intensive treatment for children with severe, low-incidence types of disabling conditions; or (C) Admits children who can expect to be hospitalized for extended periods of time or rehospitalized frequently. (2) Under rules adopted by the State Board of Education: (a) The Superintendent of Public Instruction, in cooperation with hospital authorities, shall be responsible for the payment of the cost and oversight of the educational programs for children through 21 years of age in a hospital. (b) The superintendent shall be responsible for the payment of the cost of the education by contract with the school district in which the hospital is located. The hospital shall be responsible for the costs of transportation, care, treatment and medical expenses. The payments may be made to the school district, or at the discretion of the school district, to the district providing the education, as set forth in paragraph (c) of this subsection, from the funds appropriated for the purpose. (c) The school district in which the hospital is located shall be responsible for providing the education directly or through an adjacent school district or through the education service district in which the program is located or one contiguous to the school district. (d) A student who is in a hospital educational program shall continue to remain enrolled in the school district in which the student had been a resident prior to being in the hospital educational program only for the purpose of maintaining access to classroom curricula and associated technology. (e) The superintendent shall make the final determinations concerning the eligibility of hospitals to receive state funding under this section.
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