Centers for Medicare & Medicaid Services (CMS) announced, through the November 23 Federal Register, that the proposed rule for Medicaid Rehabilitative Services, published on August 13, 2007, is withdrawn.  The proposed rule would have eliminated the Rehab Option serving clients in child welfare, mental health, and disability services, except in extreme cases.  Medicaid Rehabilitative Services help fund community-based services that work to reduce physical and mental disabilities of children in care and get them on a healthy trajectory. The proposed regulation would have significantly limited access to these vital services by taking away federal Medicaid dollars for rehabilitative services deemed "intrinsic to" other programs, including child welfare and foster care. For example, federal Medicaid dollars would have no longer been available for rehab services provided in therapeutic foster care settings unless they were medically necessary, clearly distinct from packaged therapeutic foster care services, and offered by a qualified provider.