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Indiana child care agencies protest cost of new rules

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An Indiana effort to shift some foster care costs to the federal government would throw up more red tape and make it harder for caretakers and providers to get services for troubled children, a coalition of child care agencies said Friday.

The group called IARCCA, an Association of Children and Family Services, also said rules proposed by the Indiana Department of Child Services would shift some costs from the state to the federal Medicaid program at the expense of residential treatment centers and child placement agencies.

IARCCA wants the proposed rules withdrawn.

The IARCCA concerns, which were to be presented at a public hearing on the new rules Friday afternoon, marked the latest round in a fight between DCS and foster parents and agencies over cost-cutting steps taken by Gov. Mitch Daniels' administration. Foster parents and agencies claims the cuts threaten services for children with special needs, including medical and emotional conditions.

IARCCA, which has more than 100 member agencies, won a federal injunction in January blocking DCS from cutting payments to foster and residential care agencies.

"They're going to delay children getting therapies," said Cathleen Graham, IARCCA's executive director of IARCCA. "The additional referrals we will have to get for these therapies will be in the thousands" for all the children affected.

DCS has said the rules would shift about $22 million in state costs to Medicaid, but Graham said it would cost agencies and centers more than $26 million in additional paperwork, staff time and other expenses to comply with the rules.

Graham also said Indiana has not yet filed an amendment to its state Medicaid plan seeking federal approval for the new costs. She said the federal Centers for Medicaid and Medicare services rejected a similar attempt in 2002 to shift some state costs to the federal health plan for needy people.

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  1. The east side does have potential...and I have always thought Washington Scare should become an outlet mall. Anyone remember how popular Eastgate was? Well, Indy has no outlet malls, we have to go to Edinburgh for the deep discounts and I don't understand why. Jim is right. We need a few good eastsiders interested in actually making some noise and trying to change the commerce, culture and stereotypes of the East side. Irvington is very progressive and making great strides, why can't the far east side ride on their coat tails to make some changes?

  2. Boston.com has an article from 2010 where they talk about how Interactions moved to Massachusetts in the year prior. http://www.boston.com/business/technology/innoeco/2010/07/interactions_banks_63_million.html The article includes a link back to that Inside Indiana Business press release I linked to earlier, snarkily noting, "Guess this 2006 plan to create 200-plus new jobs in Indiana didn't exactly work out."

  3. I live on the east side and I have read all your comments. a local paper just did an article on Washington square mall with just as many comments and concerns. I am not sure if they are still around, but there was an east side coalition with good intentions to do good things on the east side. And there is a facebook post that called my eastside indy with many old members of the eastside who voice concerns about the east side of the city. We need to come together and not just complain and moan, but come up with actual concrete solutions, because what Dal said is very very true- the eastside could be a goldmine in the right hands. But if anyone is going damn, and change things, it is us eastside residents

  4. Please go back re-read your economics text book and the fine print on the February 2014 CBO report. A minimum wage increase has never resulted in a net job loss...

  5. The GOP at the Statehouse is more interested in PR to keep their majority, than using it to get anything good actually done. The State continues its downward spiral.

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