(1) The Superintendent of Public Instruction shall develop and implement interagency agreements with the Department of Public Health and Human Services for the purpose of coordinating on transition matters between Part C and Part B of IDEA.

(2) The agreement shall include policies and procedures relating to a smooth and effective transition for those children participating in the early intervention program under Part C of IDEA who will participate in preschool programs assisted under Part B of IDEA, including:

(a) determining financial responsibilities of agencies;

(b) identifying responsibilities for performing evaluations;

(c) developing and implementing educational programs;

(d) coordinating communication between agencies;

(e) participating in transition planning conferences; and

(f) ensuring an individualized education program has been developed and implemented by the student's third birthday.