Sen. Schumer Asks Federal Government Not To Audit New York Schools That Use Medicaid Funds for Student Health Services

Sen. Charles Schumer (D-N.Y.) on April 22 held a press conference to urge the federal government to hold off auditing New York school districts that might have "improperly" submitted claims for Medicaid reimbursement, the Rochester Democrat and Chronicle reports. For the last eight years, New York school districts have received Medicaid payments for providing speech and physical therapy, as well as mental health treatments, to eligible children. According to Schumer, federal regulations regarding Medicaid reimbursements for services provided in schools "are too vague" and force "states to provide their own interpretations of the law." The U.S. Department of Justice recently audited three randomly selected school districts and has requested that they turn over 12 years of documentation on their use of Medicaid funds. If the districts do not comply, they could be liable for repaying all Medicaid reimbursements from that period, the Democrat and Chronicle reports. The federal government also has said that it might undertake similar reviews at other New York school districts. Schumer, who has sent a letter on the subject to U.S. Attorney General John Ashcroft, said during the press conference that federal officials are "aiming at the wrong target," adding, "Take our local school district off your radar screen" (Stanforth, Rochester Democrat and Chronicle, 4/23).