Hawaii 2026 Regular Session

Hawaii Senate Bill SB3325

Introduced
1/30/26  
Refer
2/2/26  
Report Pass
2/18/26  
Refer
2/18/26  
Report Pass
3/6/26  
Engrossed
3/10/26  
Refer
3/12/26  
Report Pass
3/20/26  
Refer
3/20/26  
Report Pass
3/30/26  
Refer
3/30/26  
Report Pass
4/9/26  
Report Pass
5/1/26  
Report Pass
5/1/26  

Caption

RELATING TO PUBLIC SCHOOL MEDICAID REIMBURSEMENTS.

Summary

SB3325 requires the Hawaii Department of Education to create an updated plan to maximize Medicaid reimbursements for administrative and support services provided to students with special needs, and to keep that plan current as needed. The bill is aimed at school-based Medicaid claiming, especially for special education and related support services, and is grounded in prior legislative work that examined how the department could better capture federal reimbursement for eligible services. The bill also requires the department, in consultation with the Med-QUEST division of the Department of Human Services, to submit a report to the Legislature before each regular session. That report must include the plan itself, implementation status, explanations of how Medicaid claim requirements are being met, training materials and evidence of staff training, procedures for identifying medically necessary needs and pursuing reimbursement, monthly progress indicators, and information on how reimbursement funds are being reinvested. The reporting framework is detailed and is intended to give lawmakers ongoing visibility into compliance, staffing readiness, and financial results.

Impact

The bill amends Chapter 302A, Hawaii Revised Statutes, by adding a new section that imposes affirmative planning and reporting duties on the Department of Education. It does not create a new benefit program or directly change student eligibility rules, but it does require the department to document and improve its Medicaid reimbursement processes for services tied to individualized education programs and special education supports. The practical effect is to increase administrative oversight, interagency coordination with Med-QUEST, and legislative monitoring of federal reimbursement opportunities for school-based services.

Sentiment

The bill appears to have broad support and little visible opposition. It passed the Senate Education Committee, Senate Ways and Means, and both conference committees unanimously, and it was enrolled to the Governor. The legislative findings frame the measure as a quality-of-service and fiscal accountability bill, emphasizing the importance of maximizing available Medicaid funds to support students with special needs.

Contention

No major controversy is evident in the available record. The main policy focus is on whether the Department of Education can effectively document, train staff on, and administer Medicaid billing requirements for school-based services. Any potential tension is likely administrative rather than ideological: the bill asks DOE to produce detailed compliance information, track reimbursement amounts, and explain reinvestment of funds, which may raise workload and implementation concerns for the department and its partners, but no formal opposition is reflected in the votes or transcripts provided.

Companion Bills

No companion bills found.

Previously Filed As

HI HB901

Relating To Public Charter Schools.

HI HB163

Relating To Reimbursement Of Public Officers And Employees.

HI HB1349

Relating To Medicaid.

HI SB341

Relating To Reimbursement Of Public Officers And Employees.

HI HB718

Relating To Positions At The John A. Burns School Of Medicine.

HI SB1411

Relating To Medicaid Third Party Liability.

HI HB1092

Relating To Medicaid Third Party Liability.

HI HB754

Relating To Community Schools.

HI HB904

Relating To Charter Schools.

HI HB362

Relating To Public School Land Transfer.

Similar Bills

HI SB2089

Relating To Mental Health.

HI HB1706

Relating To Mental Health.

WV SB746

Allowing State Board of Education to delegate its Medicaid provider status to public charter schools

LA SB96

Establishes Medicaid reimbursement rates for certain behavioral health services. (7/1/25) (EN +$1,830,352 GF EX See Note)

NJ A4265

Requires Medicaid reimbursement rates for certain primary and mental health care services match reimbursement rates under Medicare.

NJ S3802

Requires Medicaid reimbursement rates for certain primary and mental health care services match reimbursement rates under Medicare.

AZ SB1451

appropriation; behavioral health provider rates

HI HB1179

Relating To Rural Emergency Hospitals.