A bill introduced at this year's Indiana General Assembly would allow schools to capture federal reimbursement for Medicaid eligible services currently provided to their students. Although Indiana currently allows for Medicaid reimbursement under Individualized Education Programs (IEPs), Senate Bill 142 would permit the Indiana Office of Medicaid Policy and Planning to apply for a state plan amendment allowing school corporations to seek Medicaid reimbursement for medically necessary, school-based, Medicaid covered services provided under federal or state mandates.
In addition to those services delivered through an IEP, the legislation would allow reimbursement for services delivered through a plan under Section 504 of the Federal Rehabilitation Act, a behavioral intervention plan or an individualized healthcare plan. Also included for reimbursement would be medically necessary, Medicaid covered nursing services provided by a licensed and qualified nurse.
Senate Bill 142, authored by Senator Andy Zay (R-Huntington), successfully crossed over the first half of session but is currently awaiting a hearing in the House Ways & Means Committee. This committee is charged with reviewing legislation for additional costs to the state. The most recent state fiscal analysis of the bill, however, shows no new state costs and reiterates that school corporations could see a large positive impact.
Further supporting this legislation is a Medicaid and CHIP Payment and Access Commission (MACPAC) study of states that have implemented similar measures. Such states, including neighboring Illinois and Ohio, show Medicaid reimbursement funds recouped for their schools surpassing ten times the amount recouped in Indiana.
Those interested in providing their thoughts on Senate Bill 142 should contact the members or chairperson of the Ways & Means Committee as soon as possible.
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Originally published by Cover Kids & Families of Indiana
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