Contract addendum could resolve potential issues for school districts seeking Tenncare reimbursements [electronic resource] / Tennessee Advisory Commission on Intergovernmental Relations.
For a school district to be reimbursed directly for school-based services in Tennessee, it must contract with the managed care organization (MCO) for the student who is receiving services—districts that don’t seek direct reimbursement don’t need to enter these contracts. Under the TennCare program, MCOs are functionally similar to insurance companies in the private market, and contracting with an MCO is somewhat akin to becoming an in-network provider for a private insurer. There are 64 school districts that contract with at least one of the state’s MCOs. But two districts—Knox County Schools and Metro-Nashville Public Schools—said they have been advised by legal staff not to sign the contracts because of concerns with some of the terms and conditions in them. The commission supports the development of a contract addendum for MCOs to use with school districts.