An act relating to the Medicaid school-based services program

H 558 transfers sole authority for Vermont's Medicaid school-based services program from current oversight to the Agency of Human Services (AHS), while clarifying the Agency of Education's (AOE) role in coordinating with school districts. The bill establishes a School-Based Medicaid Reimbursement Fund managed by AHS, directing 55% of federal reimbursement funds to supervisory unions (which manage multiple school districts), 25% for AHS and AOE administrative costs, and any remaining balance to the Education Fund. It requires supervisory unions to submit Medicaid claims for eligible students and creates an incentive fund for unions with high participation rates (over 80%). This directly affects supervisory unions, AHS, AOE, and school districts by changing how Medicaid reimbursement funds are distributed and administered.