SENATE BILL REPORT

SHB 2014

BYHouse Committee on Appropriations (originally sponsored by Representatives Peery, Locke, Valle, Winsley, Crane and O'Brien)

Revising provisions for special education programs for handicapped children.

House Committe on Education

Rereferred House Committee on Appropriations

Senate Committee on Education

Senate Hearing Date(s):March 29, 1989; March 30, 1989

Majority Report:  Do pass and be referred to Committee on Ways & Means.

      Signed by Senators Bailey, Chairman; Lee, Vice Chairman; Anderson, Bender, Benitz, Craswell, Fleming, Gaspard, Metcalf, Murray, Rinehart.

Senate Staff:Leslie Goldstein (786-7424)

                  March 31, 1989

Senate Committee on Ways & Means

Senate Hearing Date(s):March 31, 1989; April 3, 1989

Majority Report:  Do pass as amended.

      Signed by Senators McDonald, Chairman; Craswell, Vice Chairman; Amondson, Bailey, Bauer, Bluechel, Cantu, Hayner, Lee, Matson, Moore, Newhouse, Niemi, Saling, Smith, Talmadge, Williams, Wojahn.

Senate Staff:Ken Kanikeberg (786-7715)

                  April 4, 1989

AS REPORTED BY COMMITTEE ON WAYS & MEANS, APRIL 3, 1989

BACKGROUND:

On July 1, 1988 Public Law 100-360, the Medicare Catastrophic Coverage Act was signed into law.  Although relating primarily to Medicare, significant amendments to the Social Security Act allow the financing of covered services for handicapped children under an individual educational plan.

Currently, the Department of Social and Health Services is reimbursed by the federal government at a rate of 53 percent for Medicaid payments under Title XIX of the Social Security Act.  Therefore, the state pays 47 percent of these costs.  However, no process currently exists for school districts in Washington State to bill Medicaid for costs of medical services provided by school districts for eligible handicapped children.

SUMMARY:

School districts may receive Medicaid payments for eligible medical services provided to students.  The billing system for school districts to receive Medicaid payments will be implemented during the 1989-90 school year, but may be phased in by region.  The intent is that the system be in operation in selected regions of the state during the first half of the school year.  The billing system is to be extended statewide prior to the start of the 1990-91 school year.  The Superintendent of Public Instruction and the Department of Social and Health Services have joint responsibility for planning and developing this process and may contract with educational service districts or other organizations for billing services.  The planning process includes consideration of whether the state's medical assistance plan should expand coverage for services provided to children.  SPI and DSHS must submit a joint progress report to the House Appropriations Committee and the Senate Ways and Means Committee before January 15, 1990.

SUMMARY OF PROPOSED WAYS & MEANS AMENDMENT:

The initial implementation of the billing system is moved from the 1989-90 school year to the 1990-91 school year.  Full implementation of the system is moved from the 1990-91 school year to the 1991-92 school year.  The requirement for the SPI and DSHS to report to the Legislature by January 15, 1990 on the progress of the plan is retained.  However, the report is now a progress report on the development of the plan instead of the implementation of the plan.

Appropriation:    none

Revenue:    none

Fiscal Note:      available

Senate Committee - Testified: EDUCATION: No one

Senate Committee - Testified: WAYS & MEANS:  Representative Peery, original sponsor (for); Perry Keithly, SPI (for); Jim Peterson, DSHS (for)