Department of Health
State Education Department

Controlling Medicaid Payments for School and Preschool Supportive Health Services

School districts and counties may be reimbursed by Medicaid for the cost of certain diagnostic and special education services provided to children with, or suspected of having, disabilities. We examined the payments made by Medicaid for such services over a three-year period and identified potential overpayments totaling between $33 million and $37.1 million. Most of these potential overpayments related to duplicate reimbursement claims submitted by the New York City Board of Education. Other potential overpayments related to services that had been provided more frequently than recommended. We recommended that the payments be investigated, all overpayments be recovered, and controls be improved to prevent such overpayments in the future.

For a complete copy of Report 2000-S-1 click here.
For a copy of the 90-day response click here.
For a copy of the associated follow-up report click here.