N.Y. Comp. Codes R. & Regs. Tit. 8 §§ 149-3.5
A school district which spends less in local funds during the current year than in the base year for the purposes of reducing class size and increasing individualized attention in grades one, two and three through an early grade intervention program, shall have its apportionment of comprehensive operating aid under subdivision 12 of section 3602 of the Education Law reduced in an amount equal to such deficiency in the current year or the succeeding school year. In addition, a district which spends any part of its total annual setaside attributable to early grade intervention in an unauthorized manner in the base year shall have its current year apportionment of comprehensive operating aid reduced in an amount equal to the amount of such unauthorized expenditures. In no event shall the reductions assessed pursuant to this section on the current year apportionment of comprehensive operating aid, be deducted from the setasides required pursuant to this Part and paragraphs f, g and h of section 3602 of the Education Law.
N.Y. Comp. Codes R. & Regs. Tit. 8 §§ 149-3.5