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The main responsibility of the Cost Recovery Unit is to maximize the recovery of federal Medicaid and CHIP entitlement dollars for DSCYF and to ensure that all children who meet the eligibility criteria for Medicaid, CHIP and IV-E have a positive eligibility determination.
Since its creation in 1985, the DSCYF has been engaged in limited efforts to recover federal entitlement revenue. In 1993, the department launched an aggressive initiative to systematically identify and recover entitlement revenue for certain services it provided. The potential for new revenue was determined to be greatest from the following sources:
This aggressive cost recovery effort required major enhancement of the department’s infrastructure and also required the expertise of expert consultants in this field. As can be seen from the following chart, the department’s efforts have yielded great results. State fiscal year 2014 was the department’s banner year, with recoveries of $29.6 million. With the passage of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996, the Emergency Assistance program was eliminated as an open-ended entitlement program effective July 1, 1997 and was merged into the TANF (Temporary Assistance for Needy Families) Block Grant, whose funds were no longer accessible to DSCYF. Current ASF revenue from Medicaid and IV-E is approximately $25M per year.
Medicaid Revenue figures include Delaware Healthy Children Program (DHCP) revenue.