District Responds to Medicaid Report

Posted on: March 18, 2016

In a Medicaid Compliance Examination Report prepared by Dave Yost, Auditor of State, the auditor found the district was overpaid for claims filed in a three-year period for 2011-2014. Milford has not yet received this payment from Medicaid, so the district will receive a deduction in future reimbursements. 

Milford School District provides services to our students on Individualized Education Plans (IEPs) such as Occupational Therapy, Physical Therapy, Speech, and Nursing Services. The district contracts for these services through the Clermont County Educational Service Center. Beginning five years ago, the district began an effort to recoup the costs of these services from Medicaid, since there are federal dollars earmarked for this through the Medicaid to Schools Program. Milford has been able to receive reimbursements for expenditures that have already been made for these special services--all services which are mandated by the state based on a student's IEP. 

The district's efforts to recoup the costs of these special services and receive reimbursement from Medicaid has been handled by a third party administrator whose job is to monitor what expenses are able to be reimbursed and then file this report with Medicaid. Our third party administrator made filing errors, which resulted in Medicaid’s decision to withhold approximately $22,000 worth of reimbursements. Milford School District does not have to repay Medicaid. The district will just not be reimbursed $22,000 worth of medical expenses that were filed in error through our Medicaid billing provider. District administrators have already met with our billing provider about these errors to prevent this issue from happening in the future.

“In an effort to be fiscally responsible, the district made the choice to participate in the Medicaid to Schools Program (MSP) to be reimbursed for services already paid for by the district. The Medicaid payment in question of $22,000 will be deducted by the state through future claims, and the district will not be required to write a check to the state for this amount. Moving forward, we have addressed the filing issues in question,” Debbie Caudle, Treasurer said.