Indiana Medicaid: Indiana Medicaid Cuts: Schools Demand Answers

Matthew Colley

19 Sep 2026 — 2 min read

UNDERPREPARED AND OVERWHELMED: HOW MEDICAID CUTS ARE FLOODING INDIANA CLASSROOMS

Thousands of Indiana’s most vulnerable children have had their therapy hours slashed, practically overnight. A new state Medicaid system has gutted access to Applied Behavior Analysis (ABA) and other critical services, forcing clinics to close their doors and leaving families with nowhere to turn.

Now, that crisis is crashing into our public schools. Children who were thriving with intensive, one-on-one support are being pushed into classrooms that were never equipped to handle this sudden wave. Teachers and principals are being handed an impossible mission: fill the gap left by a multi-billion dollar healthcare system, but with no new funding, no new training, and no new staff.

The consequences are immediate and devastating. Parents report their children are regressing, losing hard-won communication and life skills. Educators face skyrocketing IEP caseloads, classrooms disrupted by unmet needs, and legitimate safety concerns for students and staff alike. This isn't about bad kids; it’s about a broken system forcing good teachers into a no-win situation.

THE STATE ISN’T TALKING. SO WE’RE ASKING THE QUESTIONS.

How many thousands of children have lost services since the new rates took effect? FSSA and its managed-care contractors won’t give a clear number.
Did anyone warn school superintendents to prepare for this influx of students with high-level support needs?
How many educators have the specialized training required to replace 20, 30, or 40 hours a week of discontinued clinical therapy?
Where is the data proving this new system is improving care, not just cutting costs by dismantling a vital support network for children?

FIGHT BACK. GET ORGANIZED.

Feeling powerless ends now. We have built a free resource toolkit for parents and educators caught in this bureaucratic nightmare. Go to IndianaMedicaidHelp.org right now to access free appeal letter templates, tools to document service disruptions, and guides to help you demand support at your next IEP meeting. These are practical tools to help you build your case and fight for your child or your students. This is not a law firm and we cannot offer legal advice or guarantee an outcome, but we can give you the tools to be heard.

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