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Gatesville ISD reports sharp fall in Medicaid reimbursements; settle-up payment disputed
Summary
District staff told trustees Medicaid reimbursements for billable services have fallen from roughly $750,000 several years ago to an expected settlement far lower; staff disputed a recent settlement figure and said the district will not rely on Medicaid revenue when budgeting next year.
Gatesville ISD staff told trustees the district's Medicaid-related revenue has declined substantially over recent years and that a recent cost-report settlement was lower than expected.
A staff presenter said the district historically billed Medicaid for speech, counseling and nursing services and at one point brought in about $750,000 annually. Over the past several years, the presenter said, federal and state rules have tightened what school districts can bill. The presenter said the district filed a cost report asking for a settlement of about $177,000 but the state initially granted only $28,000 and the district has appealed that determination.
Staff said settlements and interim payments have decreased and that, while the district is running ahead on state payment timing and a separate settle-up expected near the end of the year, they do not expect Medicaid reimbursements to meet prior revenue goals. The presenter recommended trustees not rely on Medicaid revenue as a recurring budget assumption for next year.
No formal board action was taken beyond accepting the informational report.
