Breakdown of Oklahoma Senate Bill 1017

Senate Bill 1017, introduced by Sen. Dusty Deevers, focuses on Medicaid coverage for school-based services in Oklahoma. The bill outlines that Medicaid may cover educationally necessary services provided in schools but limits coverage to those defined under the Individuals with Disabilities Education Act (IDEA).

Key Provisions of SB 1017:

1. Allows Medicaid to cover school-based services that are educationally necessary for eligible students to receive a free and appropriate public education (FAPE).
2. Defines school-based services as specially designed instruction and support services required for a student’s education.
3. Prohibits Medicaid from covering services deemed medically necessary rather than educationally necessary.
4. Restricts the Oklahoma Health Care Authority from funding school-based healthcare that does not meet the bill’s definition of educational necessity.

Who it Will Affect:

1. Eligible Students: The bill impacts students who qualify for services under the Medicaid program and are in need of special education services. This includes students with disabilities or other educational needs requiring special support to access a free and appropriate public education (FAPE).
2. Oklahoma Health Care Authority (OHCA): The OHCA will be responsible for implementing these changes in terms of Medicaid coverage for school-based services.
3. Schools and Educational Institutions: Schools across Oklahoma, especially those providing special education services, will be directly affected as they will need to align with the new Medicaid coverage rules for educationally necessary services.

What Services it Will Affect:

1. Educationally Necessary Services: The bill allows Medicaid to cover services that are essential for a student’s education, as defined by specialized instruction and support services required for them to achieve FAPE. This may include:
2. Special education services (e.g., individualized instruction).
3. Speech therapy if related to educational needs.
4. Occupational therapy for educational purposes (e.g., helping students engage in classroom activities).
5. Behavioral therapy and counseling when required for educational participation.

Prohibited Services:

1. Medically Necessary Services: The bill excludes services that are medically necessary but not required for educational purposes, such as medical treatments or healthcare services that don’t directly support a student’s learning needs.
2. School-Based Health Care: The bill prohibits Medicaid from covering school-based health services that do not directly support the educational process.

In summary, SB 1017 focuses on restricting Medicaid to cover services in schools that are strictly necessary for students to access their education, while excluding broader healthcare or medically necessary services that fall outside of that educational framework.

If enacted, SB 1017 would take effect on July 1, 2025.