What is the “free care rule” and how does it impact school billing?
The "free care rule" reflects the federal Medicaid requirement that Medicaid does not pay for services that are provided to the community without charge. Since school districts do not charge families for services, many Medicaid covered services provided by school districts are not reimbursable. DAB Decision 1924 clarified that the "free care rule" is unenforceable as it has been historically applied to school districts. Click on the link below for further information.
2009_12_Free Care and DAB 1924.pdf (795.17 kb)