Indiana Parents Sue Over Medicaid Changes Affecting Disabled Children’s Care

Reimbursement Cuts for Home Care Spark Legal Action

The parents of two disabled children in Indiana are suing a state agency over changes to Medicaid attendant care services. The lawsuit alleges these changes violate the Americans with Disabilities Act (ADA) and federal Medicaid laws.

Years of Reimbursement Now Discontinued

For years, the Family and Social Services Administration (FSSA), the state agency overseeing Medicaid, reimbursed families for providing home care to disabled individuals. However, starting July 1, 2024, the state will no longer reimburse family members or guardians for such care.

Cost-Saving Measures Raise Concerns

This decision stems from a $1 billion shortfall in Medicaid expenditures projected by the FSSA through July 2025. To address this gap, the agency implemented cost-saving measures, including eliminating reimbursement for family-provided care.

Legal Challenge Backed by Advocacy Groups

The lawsuit is backed by the American Civil Liberties Union (ACLU) of Indiana, Indiana Disability Rights, and the Indiana Protection and Advocacy Services Commission. These groups argue that the new policy unfairly targets families of disabled children.

Specific Cases Highlight Challenges

The lawsuit highlights the situations of two mothers: one caring for a 6-year-old son with cri-du-chat syndrome, a rare genetic disorder, and another caring for a 10-year-old with hypoxic-ischemic encephalopathy, a type of brain damage. Both children experience frequent seizures requiring constant monitoring. The lawsuit details the negative experience the 10-year-old had when placed in a pediatric nursing home, emphasizing the potential downsides of institutionalization.