The Department of Education submitted false claims to Medicaid for counseling services for students with special needs, according to a complaint filed by the U.S. Attorney’s Office in the Eastern District. The complaint seeks $2 million in reimbursement and fines. City lawyers say they disagree with the allegations.

Education officials tried to explain to City Council members at a hearing why they failed to collect tens of millions in reimbursements from services for special-needs students in recent years.

How much should the city be receiving from the the state and federal government as reimbursements for services it provides to special needs students? By the city’s own estimates, tens of millions more than it has been receiving. The City Council will hold a hearing on Feb. 28 to try to figure out why city schools are not getting the money they are due.

Gov. Andrew M. Cuomo will announce a new state panel to look into ways to improve education, assessing what’s needed from a student’s perspective. Meanwhile, who will blink first in the deadlock over a new teacher evaluation system? Stay tuned.