(i) Related party transactions.

(ii) Nonrelated party transactions. Rental costs of land, building, and equipment and other personal property are allowable if the rates are reasonable in light of such factors as rental costs of comparable facilities and market conditions in the areas, the type, life expectancy, condition and value of the facilities leased, options available and other provisions of the rental agreement. Application of these factors, in situations where rentals are extensively used, may involve among other consideration, comparison of rental costs with the amount which the institution would have received had it owned the facilities.

(iii) Sales/leaseback transactions. Rental costs specified in sale and leaseback agreements, incurred by authorized agencies through selling plant facilities to investment organizations, such as insurance companies, associate institutions or private investors, and concurrently leasing back the same facilities, are allowable only to the extent that such rentals do not exceed the amount which the authorized agency would have received had it retained legal title to the facilities.

(i) Reimbursement of tuition paid is available at the normal reimbursable rate for children residing in an authorized child care institution who attend a special act school district statutorily affiliated with the child care institution in which they reside.

(ii) State reimbursement of tuition paid is available until July 1, 1979 at the normal reimbursable rate for children who have attended a special act school district which is not statutorily affiliated with the child care institution in which they reside during the period between September 1, 1978 and December 31, 1978. Commencing January 1, 1979, State reimbursement of tuition paid is not available for children who attend a special act school district which is not statutorily affiliated with the child care institution in which they are placed, unless such school placements are approved in advance by the local social services commissioner responsible for their placement, or unless the children are placed into such institution on an emergency basis, in which case approval for such placement must be received from the local commissioner within 60 days after placement if such reimbursement is to continue. Such approvals will remain in effect for the duration of each academic year.

(iii) State reimbursement of tuition paid is available until July 1, 1979 at the normal reimbursable rate for children who have attended a special act school district during the period between September 1, 1978 and December 31, 1978, and who reside in group homes. Commencing January 1, 1979, reimbursement of tuition paid is not available for children who attend a special act school district and who are placed in group homes, unless such school placements are approved in advance by the local social services commissioner responsible for their placement, or unless the children are placed into such group home on an emergency basis, in which case approval for such placement must be received from the local commissioner within 60 days after placement if such reimbursement is to continue. Such approvals will remain in effect for the duration of each academic year.

(iv) State reimbursement of tuition paid for children who attend a special act school district and who reside in group homes shall not include reimbursement for tuition charged by public school districts other than special act school districts.

(i) special attire for proms, religious observances and graduation, and for circumstances or occasions, such as school attendance or scouting activities, in which uniforms are necessary items of clothing;

(ii) school expenses such as books, activity fees, costs of field trips, club dues, school jewelry, school pictures, art supplies, and yearbooks;

(iii) music, art, and dancing lessons, and the purchase or rental of items needed to take part in such activities;

(iv) gifts for birthdays, holidays and other special occasions;

(v) extraordinary transportation and communication expenses. These expenses include:

(vi) day care and baby-sitting services when necessary for the care and supervision of a child in foster care;

(vii) special furniture/equipment for the care of children in foster care such as cribs, high chairs, and car seats;

(viii) window guards necessary to protect the safety of a foster child;

(ix) special recreational/hobby expenditures including travel expenses such as lodging, tools and the costs of transportation, entry or use fees, uniforms and materials. These expenditures are limited to $400 per calendar year per foster child;

(x) compensation to a foster parent for the damage to and/or loss of personal property owned by the foster parent that is caused by the foster child in his or her care to the extent not covered by insurance. Requests for such compensation must be submitted in writing to the appropriate social services district in a manner required by such district within 30 days from the date the foster parents become aware of such damage or loss of personal property. The compensation herein provided for is limited to a maximum of $1,000 per foster child per foster boarding home over a two year period from the date of placement in such home. Compensation of less than $25 will not be granted;

(xi) day camp or residential summer camp costs, including registration and transportation expenses. Reimbursement for residential summer camp fees is available for a maximum of two weeks;

(xii) nonmedical needs of a handicapped child, including special equipment or clothing that is not covered by medical assistance, which arise from the child's handicap; and

(xiii) costs of diapers for a child from birth to the date of the child's fourth birthday.