NSBA's Letter to House Leadership: June 11, 2008

June 11, 2008

The Honorable Nancy Pelosi Speaker U.S. House of Representatives H-232 U.S. Capitol Washington, DC  20515	The Honorable Steny H. Hoyer     Majority Leader     U.S. House of Representatives     H-107 U.S. Capitol     Washington, DC  20515
The Honorable James Clyburn Majority Whip U.S. House of Representatives H-329 U.S. Capitol Washington, DC 20515	The Honorable David Obey     Chairman, House Committee on Appropriations     U.S. House of Representatives     H-218 U.S. Capitol     Washington, DC  20515

Re:  School-Based Medicaid Moratorium in FY 2008 Supplemental

Dear Speaker Pelosi, Majority Leader Hoyer, Majority Whip Clyburn, and Chairman Obey:

As House leadership continues to negotiate the terms of a FY 2008 Supplemental Appropriations bill (H.R. 2642) to bring to the floor for a vote, I urge you to retain the moratorium on the school-based Medicaid rule (CMS-2287) in this bill. This provision is a top priority for local school board members across the country.

Unless Congress acts quickly to block the implementation of this rule, CMS-2287 will cut $3.6 billion dollars over five years in Medicaid reimbursements to local school districts for the transportation and administrative services that they provide to poor children with disabilities. It is imperative that Congress address this issue by June 30, 2008 when the current moratorium on this rule is set to expire.

As you know, there is overwhelming support for this issue among members of both parties. The House of Representatives voted 342-62 in April to pass the Protecting the Medicaid Safety Net Act of 2008 (H.R. 5613), which would extend the moratorium on the school-based Medicaid rule until April 2009, as well as place moratoria on six other harmful Medicaid regulations. Strong bipartisan approval of this bill underscores the need to prevent the Administration’s policy from taking effect, and the desire for Congress to legislatively address these issues.

Furthermore, over 1200 education and health groups have formally objected to this rule. NSBA’s comments to the U.S. Department of Health and Human Services contend that CMS-2287 not only exceeds Secretarial authority, but contradicts existing statute to allow states flexibility in administering their state Medicaid plan, and unfairly discriminates against schools. Most importantly, this rule would create a lost opportunity to reach our most vulnerable children. Every school day, close to fifty million students attend more than 97,000 public schools, uniquely enabling schools to reach disadvantaged youth and their families with needed health services. If implemented, this rule will impede us from serving these populations.

We urge House leadership to ensure that the moratorium on the school-based Medicaid rule stays in H.R. 2642, and to act expeditiously to pass this measure, so that schools, students, and families are not affected by this disastrous rule. If we can be of further assistance, please contact Chrisanne Gayl at 703-838-6763.

Sincerely,

Michael A. Resnick
Associate Executive Director

cc:    The Honorable George Miller, Chairman, House Committee on Education & Labor
        The Honorable Harry Reid, Senate Majority Leader