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Bill to increase Nebraska Medicaid reimbursement advances

LINCOLN, Neb. (AP) — Nebraska lawmakers have advanced a bill designed to increase Medicaid reimbursements from the estates of recipients with large amounts of money or property.

Senators gave the measure first-round approval Monday with a 31-0 vote.

The bill would require that the Department of Health and Human Services be notified when inheritance taxes are imposed on a trust, a sign that money is available to be recovered.

Sen. Paul Schumacher of Columbus says many Nebraskans die with assets that could be recovered by the state to pay for Medicaid services that they use, but the state's recovery program is only receiving about $4 million a year.

A 2003 study estimated that Nebraska could recover an additional $10 million annually if it was more aggressive in seeking reimbursement.

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