Court Dismisses Legal Challenge To Texas Plan To Cut Medicaid Therapy Rates For Children With Developmental Disabilities

On April 21, 2016, the Texas Court of Appeals dismissed a legal challenge to the state’s plans to reduce Medicaid reimbursement rates for home health therapy services for children. The court ruled that the plaintiffs, a group of Medicaid beneficiaries and the home health provider organizations that served them, lacked jurisdiction to sue to block the rate cut that was scheduled to go into effect in October 2015. The dismissal reversed and vacated a temporary injunction issued by a lower court that prevented the Texas Medicaid program from implementing the rate change.

The plaintiffs in K.D., et al . . .