Medicaid Legislative Update
GOOD NEWS!! Rule to Eliminate SDAC and Transportation Claiming for Schools to be Rescinded
Thanks in part to the grassroots advocacy efforts of the MSBA Medicaid Consortium, Missouri school board members and administrators, and the National School Boards’ Association’s (NSBA) ongoing efforts to oppose regulatory restrictions to limit school-based Medicaid reimbursement, the U.S. Department of Health and Human Services (HHS) has proposed to rescind a final rule (CMS-2287) that would have eliminated Medicaid reimbursement for administrative and transportation services provided by schools – – at a potential loss of over $650 million per year to school districts.
As you know, this is a significant victory for school districts. NSBA, MSBA and other state associations have fought for almost 10 years to protect the interests of school districts and to ensure that they can continue to receive these Medicaid reimbursements. This announcement is a significant step forward.
Originally, NSBA sought to initiate litigation in partnership with MSBA and several other state associations to stop CMS’s actions to curtail school –based Medicaid reimbursements. When CMS subsequently issued the regulations (CMS-2287), NSBA, working with other state school boards associations, has successfully gained short term legislative relief from Congress from year to year, thereby preventing the CMS restrictions on school-based Medicaid Reimbursement from becoming effective.
In terms of process, the proposal to rescind the existing regulations will undergo a 30 day comment period during which time MSBA’s Medicaid Consortium and Special Education Advocacy Council (SEAC) and NSBA will submit formal comments in favor of the proposed HHS rule to rescind CMS-2287.