Special education Medicaid reimbursement amended, advanced

Senators advanced a bill from select file April 9 that would allow schools to seek Medicaid reimbursement for a broader array of services delivered to Medicaid-eligible special education students.

LB276, sponsored by Omaha Sen. Jeremy Nordquist, would allow school districts to seek reimbursement for audiology services, counseling, psychological and behavioral services, nursing, nutritional services, personal assistance, transportation, social work and vision services.

The bill would require the state Department of Health and Human Services (DHHS) and the state Department of Education, before Oct. 1, 2015, jointly to revise the statewide billing system to simplify the claims process, update reimbursement rates and incorporate the new services into the state plan.

After the reimbursement rates have been updated, they would be reviewed at least once every five years.

Nordquist offered an amendment on select file, adopted 36-0, that would require DHHS to retain an amount equal to the lesser of the actual cost of implementing and administering the statewide billing system and early intervention services coordination or:
• $250,000 for fiscal year 2014-15;
• $300,000 for FY2015-16; and
• the amount retained plus 5 percent for FY2016-17 and each fiscal year thereafter.

The amendment also removed a requirement that nonparticipating districts would lose special education funding.

Nordquist said he believes that expanding the services for which districts can be reimbursed would serve as sufficient incentive for the roughly 40 districts that currently do not participate.

Following adoption of the Nordquist amendment, the bill was advanced from select file by voice vote.