Virginia Lawmakers Push for Medicaid Funds Bill to Aid Schools

Bill would establish Medicaid navigator positions and require training to help school districts maximize Medicaid reimbursements.

Published on Feb. 25, 2026

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A bill that could help public schools in Virginia make the most of Medicaid funds passed in the state Senate with bipartisan support earlier this week. The bill, SB 73, would establish two navigator positions under the Virginia Department of Education to assist with the Medicaid reimbursement process and require the Department of Medical Assistance Services to provide regular virtual training to local school division staff on navigating Medicaid reimbursements.

Why it matters

The bill aims to help school districts across Virginia fully leverage their Medicaid reimbursements, which cover a range of services including speech, occupational and physical therapy, audiology, behavioral health, and medical evaluations. Many school districts have struggled to navigate the complex Medicaid billing process, leaving federal funds unclaimed. Passing this bill could provide much-needed support to school districts and ensure they are able to access all available Medicaid resources.

The details

SB 73 was originally introduced last year but was left in committee. This year, the bill was amended to remove the navigator positions and instead require the Department of Medical Assistance Services to provide regular virtual training to school division staff. The bill passed the Senate with bipartisan support and will now move to the House for further discussion. School districts have faced challenges in recent years as Medicaid billing has become more complex, with the program expanding to cover services for students without individualized education programs. The bill is seen as a way to help school districts, especially those without robust Medicaid reimbursement processes, to maximize their access to these federal funds.

  • SB 73 passed the Virginia Senate on February 16, 2026.
  • The bill was previously introduced in the state legislature last year but was left in committee.

The players

Sen. Kannan Srinivasan

A Democratic state senator from Loudoun County and the sponsor of SB 73. Srinivasan is a former member of the State Medicaid Board and has emphasized the need for schools to fully leverage their Medicaid reimbursement.

Candeice Bourne

The director of student health services with Richmond Public Schools, who has expressed support for the bill and its potential to provide much-needed assistance to school districts in navigating the complex Medicaid billing process.

Virginia Department of Education (VDOE)

The state education agency that would have overseen the two Medicaid navigator positions originally included in the bill.

Virginia Department of Medical Assistance Services (DMAS)

The state agency that administers the Medicaid program in Virginia and would be responsible for providing the required virtual training to school division staff under the amended bill.

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What they’re saying

“School divisions are not taking full advantage of the funds that are available because the billing can be very confusing to navigate the billing process. They do the service, but they are not getting reimbursed.”

— Sen. Kannan Srinivasan (pilotonline.com)

“(SB 73) would afford not only my district, but all districts across the state of Virginia, accessibility to additional trainings, to information and resources for us to have questions when we have, because Medicaid billing is pretty complicated and is constantly evolving and changing.”

— Candeice Bourne, Director of Student Health Services, Richmond Public Schools (pilotonline.com)

What’s next

The Medicaid funds bill will now move to the Virginia House of Delegates for further discussion and consideration after passing the state Senate.

The takeaway

This bill represents an important effort by Virginia lawmakers to provide much-needed support to school districts in navigating the complex Medicaid reimbursement process. By establishing training and resources, the state can help ensure that school districts are able to fully leverage available Medicaid funds to support critical student health services.