Committee Summary for House Education Funding (03/31/2025)

Bill/Time	Type	Title	Sponsor
HB742 00:04:19.040 - 9:03:55 AM	General Working Session	requiring catastrophic special education state aid funding to be drawn from the education trust fund.	Luneau, David(D)[CT]2025

HB742: Unnamed Committee Chair Information Only00:04:19.040 - 9:03:55 AM; The committee chair opened the session by welcoming the public and noting that the meeting was being streamed. They introduced the topic of HB742, which deals with catastrophic special education aid, formerly known as catastrophic aid. The chair emphasized the importance of addressing the funding issues related to special education, noting the significant expenses involved and the ongoing challenges in data collection and funding allocation. The subcommittee's goal is to delve into these issues, gather necessary data, and make recommendations to improve the system. The chair also mentioned the need for a subcommittee clerk and reviewed the agenda and background materials provided to the members.
HB742: Henry Lipman, Department of Health and Human Services Information Only00:20:33.440 - 9:20:09 AM; Henry Lipman, the state Medicaid director, provided an overview of the Medicaid to schools program. He explained that 172 school districts in New Hampshire are enrolled in the program, which supports Medicaid-eligible individuals in schools. Lipman discussed the utilization of the program, noting a decrease during the pandemic and challenges post-pandemic related to workforce and billing processes. He detailed the current billing system where schools receive 50% of the Medicaid fee schedule, with the state's share being a certified public expenditure. Lipman also mentioned the upcoming requirement to transition to a cost-based methodology by July 1, 2026, and the state's efforts to secure a vendor to support this transition with a $2.5 million grant.
HB742: Various Committee Members Information Only00:22:55.280 - 9:22:31 AM; Committee members engaged in a Q&A session with Henry Lipman, focusing on clarifying aspects of the Medicaid to schools program. They asked about the state and federal share of Medicaid funding, how schools can claim Medicaid reimbursements, the impact of the transition to a cost-based methodology, and the potential for increased federal funds. Questions were raised about the documentation required for billing, the involvement of different departments, and the potential for better integration between the Department of Education and the Department of Health and Human Services to enhance the program's effectiveness. The discussion also touched on the need for legislative changes to improve data sharing and collaboration.
HB742: Various Committee Members Information Only00:22:55.280 - 9:22:31 AM; The committee members were discussing the overall state of special education, focusing on the integration of IT services managed by the Department of Information Technology (DOIT). They highlighted the challenges in aligning federal education rules with HHS regulations, particularly from 2019, and the need for better collaboration between the legislature, Department of Education, local school districts, and Medicaid to improve services for students. The discussion also touched on the potential for a technical center to facilitate communication between DOE, schools, and HHS, and the difficulties smaller districts face in managing special education programs due to limited resources.
HB742: Henry Lipman Information Only01:30:30.000 - 10:30:06 AM; Henry Lipman, likely from the Department of Health and Human Services, discussed the complexities of special education services, particularly the integration with Medicaid. He explained the state's IT infrastructure managed by DOIT and the challenges in aligning federal education and HHS regulations. Lipman highlighted the need for better collaboration between various state entities to improve services for students. He also discussed the potential for a technical center to facilitate communication between DOE, schools, and HHS, and the difficulties smaller districts face in managing special education programs due to limited resources.
HB742: Melissa Information Only01:44:04.080 - 10:43:40 AM; Melissa, likely from the Department of Education, provided insights into the special education aid process. She explained that parents must consent to Medicaid billing for services delivered at school, and this consent is separate from the IEP process. She clarified that students with 504 plans do not qualify for special education aid, and discussed the complexities of Medicaid reimbursements, including the need for licensed providers and the timing of reimbursements. Melissa also mentioned the department's efforts to provide technical assistance to special education directors and the challenges in matching Medicaid claims with special education aid invoices.
HB742: Representative Luno Information Only01:46:20.400 - 10:45:56 AM; Representative Luno asked about the Medicaid reimbursement process and whether it affects the special education aid claims submitted by districts. He sought clarification on whether districts net out Medicaid reimbursements before submitting their claims for special education aid, and whether the Department of Education has the capability to match Medicaid claims with special education aid invoices.
HB742: Representative Peoples Information Only01:59:11.760 - 10:58:47 AM; Representative Peoples inquired about the process of determining allowable costs for special education aid and whether the Department of Education uses a similar rationale as the Department of Health and Human Services for Medicaid. He asked about the review process for invoices and whether the department looks at actual costs or averages according to a coding sheet.
HB742: Representative Spillsbury Information Only02:02:15.440 - 11:01:51 AM; Representative Spillsbury discussed the need for a more streamlined system for special education services, suggesting that a unified set of parameters, rules, definitions, and fee schedules across school districts, DOE, and HHS could improve efficiency and save costs. He also mentioned the challenges of court-ordered placements and episodes of treatment, which are not part of special education aid but are directly billed to DOE.
HB742: Representative Luno Information Only02:04:29.840 - 11:04:05 AM; Representative Luno asked about the possibility of analyzing the percentage of special education aid services that are tied to medical services provided through schools. He also inquired about the potential for a new system that could better coordinate between DOE and DHS for Medicaid billing and special education aid.
HB742: Representative Peoples Information Only02:12:56.480 - 11:12:32 AM; Representative Peoples questioned the timeline for implementing a new student information system and the funding challenges faced by the Department of Education. He highlighted the need for accurate and timely information to make funding decisions and suggested that a more robust team could improve the process.
HB742: Various Committee Members Information Only02:16:09.920 - 11:15:45 AM; The committee members discussed the need for further meetings to address the funding and operational aspects of special education. They suggested inviting representatives from the Department of Education, school business officers, special education directors from both rural and larger districts, and a licensed provider to provide more insights into the process and challenges.
HB742: Various Committee Members Information Only02:21:43.960 - 11:21:19 AM; The committee members discussed scheduling a future meeting and coordinating their availability. They planned to meet at 10:00 on the 14th, with some members planning to attend other events prior to that date. There was a mention of a member being away on a boat during that week. They also requested Jen to add the meeting to the calendar. The committee reviewed some thoughts listed under sections A through I and planned to develop questions for the Department of Education (DOE) to guide future discussions.
HB742: Various Committee Members Information Only02:23:14.080 - 11:22:50 AM; A member of the committee expressed concerns about the cost-effectiveness of Medicaid, noting that a significant amount of money is spent with little return. They mentioned the need to consider licenses in relation to Medicaid spending.

Ladd, Rick(Chairman)(R)[B+]2025	Brown, Pam(Clerk)(R)[B+]2025	Spilsbury, Walter(V Chairman)(R)[A-]2025
McGuire, Dan(R)[A]2025	Ames, Dick(D)[CT]2025	Burton, Wayne(D)[F]2025
Luneau, David(D)[CT]2025	Colcombe, Riché(R)[B+]2025	Chretien, Suzanne(D)[F]2025
Popovici-Muller, Daniel(R)[A-]2025	Damon, Hope(D)[CT]2025	Kofalt, Jim(R)[A+]2025
Fellows, Sallie(D)[CT]2025	Erf, Keith(R)[A]2025	Bricchi, Tracy(D)[D-]2025
Weinstein, Toni(D)[F]2025	Peeples, Raymond(R)[B+]2025	Mehegan, Peter(R)[B+]2025