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Buying Time for an Essential Funding Source

vonzastrowc's picture

Over the past few months, we've been following the fortunes of recent attempts to place a moratorium on a Bush administration decision to prevent schools from claiming Medicaid reimbursements for transportation and administration costs. Just over a week ago, President Bush signed a bill containing this moratorium.  To quote our friends at NSBA's Boardbuzz:

Money.jpg Thanks to NSBA's grassroots efforts and lobbying, the President signed the War Supplemental Appropriations Bill this morning delaying the Medicaid rule which would eliminate certain transportation and administration reimbursements to schools for services provided to low-income students with disabilities. The Senate's June 26th vote on the measure, which included the same language as the bill the House passed on June 20, was an overwhelming 92-6. The new law means that federal Medicaid reimbursements to schools for the administrative and transportation services that they provide to eligible students will continue until at least April 1, 2009.

 As obscure as these Medicaid rules may sound, they have huge implications for district budgets.  Should the rule go into effect come April, districts stand to lose billions of dollars.

[Picture:  www.savingadvice.com


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