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Medicaid discrimination starts with a misread rule

Ronald L. Lindsay, MD
Conditions and Diseases
August 9, 2026
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More than a decade ago, at a national pediatrics meeting, I was introduced to the Screening Tool for Autism in Toddlers-Primary Care (STAT-MD). I completed certification immediately and bought my own kit. I didn’t know it then, but that tool would become the clearest lens through which I would understand why some diagnostic systems thrive, and why others collapse under the weight of their own misunderstanding of CMS rules.

Before STAT-MD, I was working in a system that relied almost entirely on the Autism Diagnostic Observation Schedule (ADOS-2) for autism diagnosis. The result was predictable: two evaluations per week, a growing backlog of preschoolers needing testing, and mounting administrative panic. Instead of examining the workflow, leadership proposed a solution that was both illegal and discriminatory.

The plan was simple and deeply flawed: create two different types of autism evaluations based solely on Medicaid status. Commercially insured children would receive a full evaluation. Medicaid children would receive a stripped-down version, or none at all.

This violated CMS regulations, state Medicaid rules, and basic medical ethics. It also placed clinicians at risk by pressuring them to participate in a two-tier system that would have been indefensible in an audit. The administrators proposing this plan did not understand Medicaid law, Early Intervention documentation, or the definition of “medically necessary” services.

I refused to participate. My academic institution backed me fully.

Reluctantly, leadership at the affiliated community clinic accepted my alternative: a legal, ethical, CMS-compliant model using Early Intervention records to avoid redundant testing, followed by an ADOS and a medical evaluation. It preserved therapy access for Medicaid families and reduced unnecessary costs. It was the correct solution.

But it depended on an interdisciplinary team, and on leadership that understood why the structure mattered. When I was placed on medical and administrative leave, my “replacement,” a newly graduated DBP fellow, refused to participate in the model. They had never joined me on the outreach trips or participated in the regional clinics. They gravitated toward the CP clinics my partner ran, which aligned more closely with their training. They could not lead an interdisciplinary team, and the flow of reports slowed to a crawl. The system I had built (one that required coordination, judgment, and experience) simply exceeded their capacity at that stage of their career.

Shortly afterward, my salary support was terminated. The clinic model of EI review → ADOS → medical evaluation effectively ended the moment my replacement took over my salary line. An assistant professor with one year of experience costs far less than a full professor with thirty-six years of experience. I refused to participate in an illegal plan, and leadership moved quickly to remove me and place the system in the hands of someone unprepared to run it.

Ironically, losing those clinic days opened my schedule at the medical school. With two days freed, I implemented the first STAT-MD-based diagnostic clinic in the region. I combined the tool with thirty-five years of autism diagnostic experience and immediately increased throughput to two or three evaluations of toddlers and preschoolers per clinic day: five to seven times the output of the ADOS-only model.

It wasn’t enough to save my job. Not because the model failed, but because it only ran for six weeks before I received my six-month notice. My salary was too high to be supported by preschool autism evaluations alone, especially in a system driven by RVUs rather than outcomes. The entire house of cards collapsed two months after my termination, when my replacement returned to private practice. They later moved to another city to do DBP.

The contrast with my later experience at a military medical center could not have been sharper. There, I worked fewer hours, saw fewer patients, and still earned a salary in the high $180,000s. The difference was simple: The military system was not RVU-driven. Dependents received care because they needed care, not because their visit generated revenue. The model worked because the incentives aligned with the mission.

Unfortunately, that alignment did not last. Subsequent federal cuts eliminated non-military general pediatrics and DBP positions at many bases. More dependents were pushed into Tricare, a system that replaced CHAMPUS with a structure that increasingly rationed care, especially for children with disabilities. That is why, during those years, I was seeing children from across an entire multistate region. When systems fail locally, families travel hundreds or thousands of miles to find someone who understands both autism and the rules governing their insurance.

The lesson from all of this is straightforward: When leadership misunderstands CMS rules, they create crises. When clinicians understand CMS rules, they create solutions.

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STAT-MD did not save my job, but it validated everything I had been trying to do. It showed that structured, scalable, legally compliant diagnostic models are not only possible; they are necessary. It showed that throughput problems are solvable without violating Medicaid law. And it showed that the right tools only work in systems that understand the rules they operate under.

Ronald L. Lindsay is a retired developmental-behavioral pediatrician whose career spanned military medicine, academic leadership, and national advocacy for dignity-centered neurodevelopmental care. His NIH-funded work with the RUPP Autism Network helped define evidence-based approaches to autism and related developmental disorders.

He directed the LEND Program at The Ohio State University and founded JBLM CARES, a $10 million autism resource center for military families. His writing spans clinical scholarship and long-form fiction. He is the author of The Mercy Directive and the six-novel Cassandra series, a completed political and medical fiction saga tracing the rise of the Cassandra system from its origins to its national and international legacy. His forthcoming memoir, The Quiet Architect, examines how conscience and structure collide in modern medicine.

He shares updates on LinkedIn.lin

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