School Health and Related Services

The School Health and Related Services (SHARS) program allows Texas local educational agencies (LEAs) and shared service arrangements (SSAs) to request reimbursement for Medicaid health-related services. The admission, review, and dismissal (ARD) committee determines SHARS services. Services must be medically necessary and reasonable to ensure that children with disabilities are able to participate in the educational program.

SHARS reimbursement is available for students with parental consent to release identifying information to Medicaid and who meet all of the following requirements:

  • 20 years of age and younger
  • currently eligible for Medicaid
  • enrolledÌýin a public school's special education program
  • meet requirements for special education described in the Individuals with Disabilities Education Act (IDEA)
  • May current individualized education program (IEP) that prescribes the needed services.

Services covered by SHARS include:

  • audiology services
  • counseling
  • nursing services
  • occupational therapy
  • personal care services
  • physical therapy
  • physician services
  • psychological services, including assessments
  • speech therapy
  • specialized transportation as defined by the Health and Human Services Commission (HHSC)

Medicaid Policy Changes Effective October 2024

After inviting stakeholder input, the Texas Medicaid & Healthcare Partnership (TMHP) has posted revisions to SHARS policy.Ìý

Overview of Benefit Changes

  • Clarification of nurse-delegated tasks
  • A procedure code update for physician services
  • Clarification of speech therapy referrals
  • Updated benefit information for personal care services (PCS)
  • Revised reimbursement guidelines and requirements to align withÌý

Please review the for detailed information about these important changes.

Enrollment in SHARSÌý

A district must enroll as an active Medicaid provider for SHARS to become eligible to submit claims and receive reimbursement for SHARS Medicaid services.Ìý Additional information about is located on theÌýHealth and Human Services Commission website.

Parental Notice and Consent

Parental notice and consent documents (along with all SHARS records) are a part of the educational record.Ìý If a parent or adult student requests copies of documents disclosed to Medicaid, the district must provide it.ÌýÌý

Written Notification Required Prior to Consent and Annually

LEAs and SSAs must provide written parentalÌýnotification prior to requesting consent and accessing benefits for the first time and annually thereafter.Ìý Minimally, it must include all of the following:ÌýÌýÌý

1. A statement of the parental consent to access public benefits:

  • ÌýspecifiesÌýthe personally identifiable information that may be disclosed (e.g.,Ìýinformation about the services),
  • Ìýdescribes the purpose of the disclosure (e.g., billing for specific IEP services), and
  • ÌýidentifiesÌýthe agency to which the disclosure may be made (e.g., Medicaid).

2. A statement of "no cost" provisions. The LEA may not:

  • require parents to sign up for or enroll in public benefits or insurance programs in order for their child to receive a free appropriate publicÌýeducation (FAPE);
  • require parents to incur an out-of-pocket expense such as the payment of a deductible or co-pay amount incurred in filing a claim for SHARS services, the state or LEA may be required to pay the cost that the parents otherwise would be required to pay;
  • use a child’s benefits under a public benefits or insurance program if that use would—
    • decrease available lifetime coverage or any other insured benefit;
    • result in the family paying for services that would otherwise be covered by the public benefits or insurance program and that are required for the child outside of the time the child is in school;
    • increase premiums or lead to the discontinuation of benefits or insurance; or
    • risk loss of eligibility for home and community-based waivers, based on aggregate health-related expenditures.

3. A statement that the parents have the right to withdraw their consent at any time.

4. A statement that the withdrawal of consent or refusal to provide consent does not relieve the public agency of its responsibility to ensure that all required services are provided at no cost to the parents.

      The notification must be written in language understandable to the general public. It must be in the native language or other mode of communication used by the parent, unless it is clearly not feasible to do so.ÌýÌý

        Written Consent

        LEAs and SAAs must obtain parental consent before releasing a child's personally identifiable information for billing purposes to a public benefits or insurance program for the first time.Ìý Minimally, it must include the following:ÌýÌýÌý

        1. A statement of the parental consent to access public benefits:

        • specifiesÌýthe personally identifiable information that may be disclosed (e.g., information about the services),
        • describes the purpose of the disclosure (e.g., billing for specific IEP services), and
        • identifiesÌýthe agency to which the disclosure may be made (e.g., Medicaid).

          2. A statement indicating that the parent understands and agrees that the public agency may access the child’s or parent’s public benefits or insurance to pay for specific services identified in the child's IEP.

          Annual Cost Report Requirements

          Participating agencies are required to submit an documenting the provider's Medicaid-allowable costs for all SHARS delivered during the federal fiscal year. This is used to reconcile interim payments to total Medicaid-allowable costs based on approved cost allocation methodology procedures.Ìý

          °Ä²Ê¿ª½±Íø does not dictate this process. HHSC determines these procedures and has clarified the use of. Questions regarding this process can be directed to HHSC PFD SHARS (ProviderFinanceSHARS@hhs.texas.gov).

          Texas Medicaid Policy: Third Party LiabilityÌý(TPL) for SHARS Interim Billing

          Enrollment in SHARS is optional for districts and parents.ÌýParticipation does not preclude the district's responsibility to provide a free and appropriate public education to all students with disabilities.ÌýParents/adult students cannot be charged for special education services provided to students with disabilities.Ìý

          On October 1, 2017, a new policy was instituted.Ìý After Medicaid reimburses districts for SHARS services, the state may seek recovery claims from a student's private insurance.ÌýÌýThe HHSCÌýbegan a lookback period on SHARS third party liability (TPL) claims on October 1, 2020.

          School districts have the responsibility to shareÌýthe TPL policy with all families participating in the SHARS program. The following steps should be taken:

          • Share the policy with parents/adult students. Ensure that they understand their right to withdraw consent to participate in SHARS.

          • If parents produces a document they believe is an insurance bill,Ìýverify whether the document is a bill.Ìý Some documents may includeÌýan explanation of benefits (EOB) that may or may not indicate that money is owed. If it is an insurance bill,ÌýcontactÌýthe Texas Medicaid Healthcare Partnership (TMHP)ÌýContact Center at 1-800-925-9126.

          Information regarding TPL can be found on the TMHP website:

          Implementation Guidance

          Oversight of SHARS is a cooperative effort between °Ä²Ê¿ª½±Íø and the HHSC.Ìý°Ä²Ê¿ª½±Íø monitor activities intended to ensure adherence to Medicaid standards and ensure the implementation of quality student services.

          °Ä²Ê¿ª½±Íø support includes:

          • monitoring compliance with documentation guidelines,
          • performing regular desk reviews and field audits,
          • providingÌýpolicy clarifications to districts,
          • validatingÌýdata submitted for SHARS billing,
          • working to minimize exposure to provider waste, program abuse, and fraud.

          TheÌýSHARS Self-Monitoring ToolÌýis an instrumentÌýthat can be used to assess a LEA's compliance with SHARS standards.Ìý It is relevant to SHARS policy prior to November 2021.

          TheÌýSHARS Self-Monitoring Tool - Nov. 2021Ìýis an updated instrument that can be used to assess compliance with the revised SHARS policy.Ìý

          TheÌýSHARS Self-Monitoring Tool - Nov. 2022Ìýis an updated instrument that can be used to assess compliance with the revised SHARS policy.

          Additional Resources and Training

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          Contact Information

          Office of Special Populations and Student Supports

          Phone: 512.463.9414

          Fax: 512.463.9560

          Email: SHARS@tea.texas.gov