Monitoring the Session

HB 2129

Moody Bill Has Medicaid Pay Schools For Student Mental Health

Died in committee

Verdict: No flags

No flagsInitial review
Rep. Joe MoodyDHouse 78

Initial review · graded Oct 20, 2026 · Headline, summary and grade are analysis of the bill text, not a finding about any person · How we grade

Caption

relating to school-based health services, including the administration of the school health and related services program and the provision and Medicaid reimbursement of certain services to certain public school students.

Caption from analyzed text · version I.

Summary

Covers Medicaid-enrolled students, even without a special education plan. Parents must give written consent.

The bill lets school districts contract with local mental health authorities for on-campus mental health services, and it requires the state health commission to pay schools Medicaid reimbursement for covered mental and behavioral health services given to Medicaid-enrolled students, even students without a special education plan. It touches school districts, charter schools, Medicaid-enrolled students and their parents, and the Health and Human Services Commission, which must audit the school health program and may keep up to two percent of the program's federal money for administration. On the ground, schools can bill Medicaid for more student mental health services, parents must give written consent and get visit summaries, and the commission runs yearly desk audits with an inspector general review every five years.

Labels

Labels: NEVER GOT A HEARING. Filed Jan 28, 2025 and referred to the House Human Services committee. No public hearing. The bill died.

Receipt

The receipt

89R-HB2129 · 2025-01-28

SOLD BY

ITEM

relating to school-based health services, including the administration of the school health and related services program and the provision and Medicaid reimbursement of certain services to certain public school students.

WHAT IT DOES

Covers Medicaid-enrolled students, even without a special education plan. Parents must give written consent.

The bill lets school districts contract with local mental health authorities for on-campus mental health services, and it requires the state health commission to pay schools Medicaid reimbursement for covered mental and behavioral health services given to Medicaid-enrolled students, even students without a special education plan. It touches school districts, charter schools, Medicaid-enrolled students and their parents, and the Health and Human Services Commission, which must audit the school health program and may keep up to two percent of the program's federal money for administration. On the ground, schools can bill Medicaid for more student mental health services, parents must give written consent and get visit summaries, and the commission runs yearly desk audits with an inspector general review every five years.

CHARGES

[ ] NONE FOUND

TOTAL

No fiscal note in the loaded record.

HISTORY

  1. Filed
  2. Read first time
  3. Referred to Human Services
FILED UNDER

GOVERNMENT GROWTH UNDER A CONSERVATIVE BANNER

THE TEXT

“The commission may contract with a third party with the necessary expertise to comply with this section.”

Bill text, introduced version (I)

The bill authorizes the health commission to hire an outside contractor to run audit and integrity work for the school health program.

No flags

THANK YOU FOR CHECKING THE RECEIPT

CAMPAIGN PAID FOR BY

CAMPAIGN PAID FOR BY

Donors

Not tied to this bill.

Sources

The author's campaign account only. Own money and internal transfers are separate on the member page.

Derived itemized flow · Jul 9, 2024 to Jun 29, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Texas Trial Lawyers Association PAC$85,000.00

Texas Trial Lawyers Association PAC

$85,000.00

Cash
$85,000.00
Paid by others
$0.00
Total
$85,000.00

Also funds 137 other sitting lawmakers.

Derived recipient stock · Jul 24, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Oct 8, 2024 to Jun 17, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100979067, 101003930, 101054759.

Texans for Truth and Liberty PAC$25,000.00

Texans for Truth and Liberty PAC

$25,000.00

Cash
$25,000.00
Paid by others
$0.00
Total
$25,000.00

Also funds 44 other sitting lawmakers.

Derived recipient stock · Jun 24, 2025 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · on Jun 24, 2025. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101003930.

Texas Sands PAC$14,000.00

Texas Sands PAC

$14,000.00

Cash
$14,000.00
Paid by others
$0.00
Total
$14,000.00

Also funds 121 other sitting lawmakers.

Derived recipient stock · Jul 3, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Oct 1, 2024 to May 18, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100979067, 101024872, 101054759.

Money

Missing data does not establish zero giving. Display amounts are rounded.

×

Texas Trial Lawyers Association PAC

$85,000.00

Cash
$85,000.00
Paid by others
$0.00
Total
$85,000.00

Also funds 137 other sitting lawmakers.

Derived recipient stock · Jul 24, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Oct 8, 2024 to Jun 17, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100979067, 101003930, 101054759.

×

Texans for Truth and Liberty PAC

$25,000.00

Cash
$25,000.00
Paid by others
$0.00
Total
$25,000.00

Also funds 44 other sitting lawmakers.

Derived recipient stock · Jun 24, 2025 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · on Jun 24, 2025. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101003930.

×

Texas Sands PAC

$14,000.00

Cash
$14,000.00
Paid by others
$0.00
Total
$14,000.00

Also funds 121 other sitting lawmakers.

Derived recipient stock · Jul 3, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Oct 1, 2024 to May 18, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100979067, 101024872, 101054759.

Votes

No floor vote loaded for this bill.

Fiscal

No fiscal note in the loaded record.

How this was graded

Analysis of text version I by claude-opus-5-5, Oct 20, 2026, against the published rubric.

Sources

Texas House · Filed Jan 28, 2025

03/14/2025 H Referred to Human Services: Mar 14 2025 2:36PM

Texas Legislature Online · Introduced

Data snapshot Oct 26, 2026 at 4:19 AM CDT. Grades, charges, quotes and corrections follow the published record.

House committee · Human Services · Final status: Died in committee

Subjects

Education--Primary & Secondary--General

Education--School Districts

Human Services--Child Services

Human Services--Medical Assistance

Mental Health & Substance Abuse

Minors--Health & Safety

MEDICAID

EDUCATION AGENCY, TEXAS

HEALTH & HUMAN SERVICES COMMISSION

Text

The text as introduced · 967 words

89R4866 LRM-D

By: Moody
H.B. No. 2129

A BILL TO BE ENTITLED

AN ACT

relating to school-based health services, including the

administration of the school health and related services program

and the provision and Medicaid reimbursement of certain services to

certain public school students.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Subchapter A, Chapter 38, Education Code, is

amended by adding Section 38.042 to read as follows:

Sec. 38.042. ON-CAMPUS MENTAL HEALTH OR BEHAVIORAL HEALTH

SERVICES. (a) A school district may contract with a local mental

health authority to provide mental health or behavioral health

services on a campus of the district.

(b) At the request of a student's parent or guardian, a

local mental health authority providing on-campus mental health or

behavioral health services that conducts a mental health or

behavioral health assessment of the student or provides mental

health or behavioral health services to the student shall provide

to the student's primary care physician the results of the

assessment conducted and, if applicable, the results of any

services provided.

SECTION 2. Subchapter B, Chapter 532, Government Code, as

effective April 1, 2025, is amended by adding Section 532.00551 to

read as follows:

Sec. 532.00551. SCHOOL HEALTH AND RELATED SERVICES PROGRAM:

INTEGRITY AND AUDIT FUNCTIONS. (a) The commission shall make every

effort to ensure the integrity of the school health and related

services program, including by:

(1) performing risk assessments of every element of

the program;

(2) annually performing desk audits of all local

education agencies participating in the program;

(3) performing in-depth audits of a sample of local

education agencies;

(4) ensuring compliance with all applicable federal

standards and guidance regarding the administration of random

moment time studies, coding, and cost claiming;

(5) considering information provided by the Texas

Education Agency on the agency's audits of local education agencies

that participate in the program;

(6) coordinating with the Texas Education Agency and

any relevant stakeholders or advisory bodies in the development of

training materials, policies, and technical assistance necessary

to ensure compliance with all applicable state and federal

requirements; and

(7) evaluating the program based on metrics developed

by the commission.

(b) The commission may contract with a third party with the

necessary expertise to comply with this section.

(c) At least once every five years, the commission's office

of inspector general shall evaluate the effectiveness of the

commission's efforts to ensure the integrity of the school health

and related services program.

SECTION 3. Subchapter C, Chapter 532, Government Code, as

effective April 1, 2025, is amended by adding Section 532.0104 to

read as follows:

Sec. 532.0104. RETENTION OF CERTAIN MONEY TO ADMINISTER

SCHOOL HEALTH AND RELATED SERVICES PROGRAM. (a) This section

applies only to federal money the commission receives to provide

the school health and related services program.

(b) Subject to Subsection (c), the commission may retain

from the money to which this section applies an amount equal to the

estimated costs necessary, as determined by the commission, to

administer the school health and related services program,

including costs associated with the development of training

materials, compliance monitoring, technical assistance, and audit

functions.

(c) The amount retained by the commission under this section

may not exceed two percent of the total amount received by the

commission during a state fiscal year.

SECTION 4. Subchapter B, Chapter 32, Human Resources Code,

is amended by adding Sections 32.0271 and 32.04245 to read as

follows:

Sec. 32.0271. REIMBURSEMENT FOR CERTAIN SERVICES PROVIDED

TO MEDICAID-ENROLLED STUDENTS BY LOCAL EDUCATION AGENCIES. (a) In

this section, "local education agency" includes a school district

or open-enrollment charter school.

(b) This section applies only with respect to a child who is

enrolled in Medicaid and is eligible to receive services under the

school health and related services program, regardless of whether

the child has an individualized education program.

(c) The commission shall ensure that reimbursement under

the school health and related services program is provided to a

local education agency for all mental health and behavioral health

services covered under the program that are provided to a child

described by Subsection (b).

(d) The parent or legal guardian of a child to whom this

section applies must provide written consent for any services

provided to the child under this section. The parent or legal

guardian may revoke that consent at any time.

(e) A local education agency that provides mental health or

behavioral health services to a child under this section shall

provide a written summary of each of the child's service visits to:

(1) if the child is younger than 18 years of age, the

child's parent or legal guardian; and

(2) if the child's parent or legal guardian provides

consent, the child's primary care provider.

(f) This section does not require a local education agency

to enroll as a Medicaid provider.

Sec. 32.04245. SCHOOL HEALTH AND RELATED SERVICES PROGRAM:

THIRD-PARTY INSURERS. The commission may not provide reimbursement

under the school health and related services program to a

third-party health insurer for any service provided in order to

facilitate the coordination of benefits.

SECTION 5. As soon as practicable after the effective date

of this Act, the Health and Human Services Commission shall seek any

necessary amendment to the state Medicaid plan or other appropriate

authorization from the Centers for Medicare and Medicaid Services

or other appropriate federal agency to implement Section 32.0271,

Human Resources Code, as added by this Act, and may delay

implementing that section until the amendment or other

authorization is granted.

SECTION 6. This Act takes effect immediately if it receives

a vote of two-thirds of all the members elected to each house, as

provided by Section 39, Article III, Texas Constitution. If this

Act does not receive the vote necessary for immediate effect, this

Act takes effect September 1, 2025.