WeVote
Log In

Bill

Bill

HB 689

Maryland Medical Assistance Program – Use of Reimbursement Funds by Schools

2025 Regular Session

HB 689 allows Maryland schools to retain and spend Medicaid reimbursements for student health services rather than redirecting funds to state programs.

Hearing 2/25 at 1:00 p.m.
0
WeVote Research Nonpartisan
Bill Summary · HB 689

Legislative bill overview

HB 689 would allow Maryland schools to utilize reimbursement funds generated through the Medical Assistance Program (Medicaid) to support school-based health and wellness services. The bill enables schools to retain and spend federal and state Medicaid dollars they receive for providing covered services to eligible students, rather than routing these funds elsewhere in the budget system.

Why is this important

School districts often provide health services to students qualifying for Medicaid but currently lack direct access to the resulting reimbursements, creating a funding gap for school health programs. This bill would allow schools to redirect Medicaid revenue to expand services like nursing, mental health support, and preventive care—potentially improving student health outcomes while reducing overall state healthcare costs. It addresses a practical funding mechanism that could strengthen school-based healthcare infrastructure.

Potential points of contention

  • Budgetary concerns: Questions about whether schools should retain Medicaid funds designated for broader state health systems, or if these funds should continue flowing to the general Medicaid program
  • Administrative complexity: Implementation challenges around billing, eligibility verification, and accounting procedures for schools to manage federal Medicaid reimbursements
  • Equity issues: Potential disparities in services if well-resourced districts maximize Medicaid billing while under-resourced districts lack capacity to pursue reimbursements

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.