Medicaid Regulations Rescinded by HHS to Ensure
States Have Necessary Flexibility
Rules had been put on hold by Congressional
action that was set to expire on July 1
June 30, 2009 Health and Human Services took
action today to rescind three Medicaid regulations and delay the
enforcement of a fourth to ensure that the states have the flexibility
they need to fully serve Medicaid-eligible individuals," said Secretary
Kathleen Sebelius.
Each of these rules, in whole or in part, had been
put on hold by Congressional action that was set to expire on July 1,
2009.
"These regulations, if left in place would have
potentially adverse consequences for Medicaid beneficiaries, some of our
nation's most vulnerable people," said Secretary Sebelius.
"By rescinding these rules, we can expect that
children will continue receiving services through their schools,
beneficiaries will be able to access all available case management
resources to help them better manage their health care, and outpatient
hospital and clinic services can continue to be covered in the most
efficient manner."
The Centers for Medicare & Medicaid Services (CMS)
and HHS today are:
● Rescinding a final rule, published December
28, 2007, that would have eliminated reimbursement for school-based
administrative costs and costs of transportation to and from schools.
The rescission reflects concern that the rule could limit the Medicaid
administrative outreach activities of schools, and that the overall
budgetary impact on schools could potentially impact their ability to
offer Medicaid services to students.
● Rescinding a rule, published November 7,
2008, that would have limited the outpatient hospital and clinic service
benefit for Medicaid beneficiaries to the scope of services recognized
as an outpatient hospital service under Medicare. This rule was
rescinded because CMS became aware that coverage beyond that scope could
not be easily moved to other benefit categories, resulting in great
impact than previously anticipated.
● Rescinding provisions of an interim final
rule published December 4, 2007, which would have restricted beneficiary
access to case management services. These provisions appeared to, in
practice, restrict beneficiary access to needed covered case management
services, and limit state flexibility in determining efficient and
effective delivery systems for case management services.
● Delaying until June 30, 2010, the
enforcement of portions of a regulation that clarified limitations on
health care related tax programs so that CMS could determine whether
states need additional clarification or guidance. CMS may also further
review the potential impact of the regulation, and give additional
consideration to alternative approaches.
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