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IEA Use Of Medicaid Analysis

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IDEA Part-B Regarding LEA Use of Medicaid (34 CFR § 300.154(d)) Since 1988, Medicaid has been authorized to reimburse local school districts for related medically necessary services for eligible children before using any IDEA funds. Congress enacted this to ensure Medicaid would cover health-related services under IDEA. Medicaid can pay for some of the health related services required by Part B of IDEA in an IEP, if they are among the services specified. Examples of such services include speech-language pathology services, physical therapy, psychological services, occupational therapy, personal care, special transportation, and medical screening and assessment services. Medicaid also covers many of the health-related services included in …show more content…

There have been complaints about the process for prior authorization and how frequently it had to be obtained by local school districts as they seek to provide services. On February 14, 2013 the US Department of Education published final regulations bringing changes to local educational agency (“LEA”) obligations with respect to notifying parents of their rights and obtaining parental consent under 34 C.F.R. Section 300.154(d)(2)(iv) of the Part B regulations implementing IDEA. The intent of the change was to ensure that parents/legal guardians are informed of their legal protections and to reduce unnecessary costs and administrative burdens on LEAs. All LEAs choosing to use Medicaid/public benefits to pay for special education services. The change in regulations is a direct response to concerns from LEAs that requiring parental consent each time the LEA sought to access Medicaid benefits was costly and burdensome. The DOE reduced the requirement by allowing LEAs to obtain a one-time only written consent, followed by annual notifications. The consent must include language the parents/legal guardians understand and agree the public agency may access the student’s Medicaid/public benefits or insurance to pay for services offered in the …show more content…

By streamlining the notification process and allowing for one-time annual written parental consent, LEAs will experience an increase in access to public benefits, a reduction in paperwork, and a lessened administrative burden. Finally, the responsibility for providing written notification and obtaining parental consent is an LEA responsibility, not an individual school responsibility. It is important to point out that these changes will also reduce the bother to the parents or

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