Notice of Medicaid State Plan Amendment – School Based Services Coverage Updates

What is this notice about?

The Alaska Department of Health plans to ask the federal Centers for Medicare and Medicaid Services (CMS) to approve a change to the state's Medicaid plan, starting January 1, 2027. The change makes clear that Medicaid can pay for medically necessary health services given to Medicaid-eligible students at school by qualified providers, even if the student does not have a disability or an Individualized Education Program (IEP). The public can send written comments until 5 PM on October 30, 2026.

Why was this notice issued?

The department intends to seek federal CMS approval for a Medicaid State Plan Amendment (SPA). The amendment aligns the plan with House Bill 343 (2023), a state law that removed the requirement that school-based services are only paid by Medicaid if the child has a disability and the services are in an IEP.

What action is being taken?

The department will submit a State Plan Amendment revising Section 4.19-B, page 10b; Attachment 3.1-A, pages 10b and 24 a-d; and Attached Sheet to Attachment 3.1-A pages 1b-d and 9b of the Medicaid State Plan, with a January 1, 2027 effective date. The amendment clarifies that medically necessary services delivered in school settings, including those under an IEP, Individualized Family Service Plan (IFSP), Section 504 Plan, or other individualized health or behavioral health plan, can be reimbursed by Medicaid when delivered by qualified practitioners. It also clarifies Early and Periodic Screening, Diagnostic, and Treatment (EPSDT) provisions for physical, occupational, and speech therapy in school settings, and that qualifying non-IEP services can be reimbursed for Medicaid-enrolled youth in school settings. The estimated cost for state fiscal years (SFY) 2027 and 2028 is $0 in federal funds and $0 in state funds. The department says the change will not affect how Alaska Medicaid provides or reimburses EPSDT services, and it followed the tribal consultation process under the American Recovery and Reinvestment Act (ARRA) of 2009.

Who is involved: Medicaid-eligible students and youth receiving services in school settings; schools and qualified practitioners providing school-based health services; Centers for Medicare and Medicaid Services (CMS).

How can the public respond?

Respond by Fri, Oct 30, 2026 This deadline has passed.

“5 PM on October 30, 2026”

Ways to respond

Email christal.hays@alaska.gov
Mail DOH Commissioner’s Office, c/o Christal Hays, 3601 C Street, Suite 902, Anchorage, AK 99503

What to include

Submit written comments. For email, attach a Word document or put the text in the email body, and use the phrase “School Based Services SPA” in the subject line. All submissions must include the sender’s full name and email address. Those unable to email should mail written comments by the close of the comment period. People with disabilities needing special accommodation to participate should contact Christal Hays at christal.hays@alaska.gov or 907-891-4830 no later than October 15, 2026.

Contact

Christal Hays
Alaska Department of Health, Commissioner’s Office
christal.hays@alaska.gov
907-891-4830
3601 C Street, Suite 902, Anchorage, AK 99503

Will there be public meetings?

The notice does not announce any public meeting or hearing.

Key dates

Oct 15, 2026: Deadline to request a disability accommodation to participate
Oct 30, 2026: Public comment period ends at 5 PM
Jan 1, 2027: Proposed effective date of the State Plan Amendment

Original notice text

Notice of Medicaid State Plan Amendment – School Based Services Coverage Updates Agency Action: Amendment to the Medicaid State Plan The Department of Health (the department) hereby gives notice that it intends to seek approval from the Centers for Medicare and Medicaid Services (CMS) for a state plan amendment (SPA), with a January 1, 2027, effective date. Subject of Amendment(s): The Department will submit a State Plan Amendment that will revise Section 4.19-B, page 10b; Attachment 3.1-A, pages 10b and 24 a-d; and Attached Sheet to Attachment 3.1-A pages 1b-d and 9b of the Medicaid State Plan. This amendment is intended to clarify Medicaid reimbursement policy for services delivered in school-based settings to Medicaid-eligible student beneficiaries. The SPA affirms that medically necessary services – including an Individualized Education Program (IEP), Individualized Family Service Plan (IFSP), Section 504 Plan, or other individualized health or behavioral health plan—are eligible for Medicaid reimbursement when delivered by qualified practitioners. This aligns with a statutory change enacted by House Bill 343 (2023) that removed the requirement that school-based services are only Medicaid reimbursement if the child has a disability, and the services are included in an IEP. The SPA also clarifies EPSDT provisions for physical, occupational, and speech therapy when provided in the applicable school setting. It also clarifies that qualifying non-IEP related services can be reimbursable for a Medicaid enrolled youth in applicable school settings. The updates to these services will result in an estimated cost for SFY 2027 and SFY 2028 of $0 for federal funds and $0 for state funds. EPSDT and ARRA/Tribal Consultation: The proposed amendments will not affect how Alaska Medicaid provides or reimburses Early and Periodic Screening, Diagnostic, and Treatment (EPSDT) services. The department followed the tribal consultation process established under the American Recovery and Reinvestment Act (ARRA) of 2009 and set forth in its approved state plan. Public Comments: The department is holding a public comment period relative to these amendments until 5 PM on October 30, 2026. Individuals may submit written comments via email to christal.hays@alaska.gov. Please submit electronic comments as an attached word document or text within the email body with the phrase “School Based Services SPA” in the subject line. All submissions must include the sender’s full name and email address. If you are a person with a disability who requires a special accommodation to participate in this process, please contact Christal Hays christal.hays@alaska.gov, 907-891-4830, not later than October 15, 2026, to ensure the provision of any necessary accommodations. Individuals unable to submit comments by email should submit written comments by the close of the comment period to: DOH Commissioner’s Office c/o Christal Hays 3601 C Street, Suite 902 Anchorage, AK 99503

This summary was written by an AI model (Claude) from the official notice text. This is general information, not legal advice. Always confirm deadlines and instructions in the official notice. Legal disclaimer.