DHS tells School Medicaid Coalition it will reverse “Free Care Rule” and bring more money to Wisconsin schools

In a recent meeting, top officials with the Wisconsin Department of Health Services (DHS) told the Wisconsin School Medicaid Coalition that the department is working to reverse the federal “Free Care Rule,” which currently limits Medicaid funding reimbursement for services provided in the school setting to those provided to students with Individualized Education Plans or IEPs. This will provide significant new funding for Wisconsin schools. Joining Jack O’Meara in the meeting were leaders of the Wisconsin Association of School Nurses (WASN), the Wisconsin School Social Workers Association (WSSWA), and the Wisconsin School Psychologists Association (WSPA). OPA manages the coalition, which has long advocated for Free Care Rule Reversal in Wisconsin. The federal government has allowed states to implement the rule reversal as long as they do it through their State Medicaid Plans. DHS will present the proposed plan change to the federal Centers for Medicare and Medicaid Services (CMS). The goal for implementation at the school level is the 2025-26 school year.