The doctors and CPS workers have been so "institutionalized" to believe everything they are told by the "higher ups" to want to question anything beyond their official "duties". And yes, there are special financial accomodations for foster parents taking a child with a medical condition. I have one of those gut feeling that this agency also does a little double dipping in the Medicaid pool as well, but will have to research a bit more.
One of the most appealing aspects of the new law recently passed here in the US is the fact the incentives for taking children from homes and placing in foster care (unless truly an emergent need) will be removed. They will get more money if they find new ways to allow the children to remain with their family. Long way to go, but little by little .......