SAMHSA222s Weekly Financing News Pulse: State and Local Edition
August 10
, 201
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2011
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SAMHSA222s Weekly Financing News Pulse: State and Local Edition
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owa Kansas Minnesota New Jersey North
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ennsylvania S
outh Dakota W
isconsin
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SAMHSA222s Financing News Pulse is a news consolidation service, designed to provide readers with streamlined
access to information published by local, regional, and national media.
While the News Pulse attempts to verify
our content, the editors of each publication cited in the summaries are ultimately responsible for the accuracy of
the information they publish. We encourage readers to inform the News Pulse of any errors so we can note them
in future editions; however, we also suggest that they contact the media source directly.
SAMHSA222s Weekly Financing News Pulse: State and Local Edition
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Around the States: State and Local Behavioral Health
Financing News Arizona
Governor
Announces Medicaid Medical Home
Program
for Individuals with SMIs in Maricopa County
:
On August 2, Governor Jan Brewer
(R) announced an agreement between Maricopa Co
unty222s safety net
health care system and Magellan Health Services to establish a
patient
-
centered
medical home program
for Medicaid beneficiaries with serious mental illnesses (SMIs)
. Funded with a $500,000 federal
planning grant and
authorized under the national health care reform law, the home will coordinate
beneficiaries222
health services
to improve
quality
while reducing costs
( The Arizona Republic, 8/2 ; Kaiser Health News, 8/2 ).
Superior
Court Hears Oral Arguments in Medicaid Eligibility
Freeze
Suit
: On A
ugust 3, a Maricopa
Superior Court judge heard oral arguments in a
case
challenging
the state222s
FY2012 Medicaid eligibility
reduction. Authorized under Arizona222s
$8.3 billion FY2012 budget
and slated to save $207 million
, the
state has implemented a
feder
ally approved
Medicaid enrollment freeze for adults earning more than
75 percent of the federal poverty level (FPL). However, i
n 2000, Arizona voters approved a ballot
measure (Proposition 204
) that extended Medicaid coverage to all adults earning up to 1
00 percent of
the FPL. The suit alleges that the freeze violates
the state constitution because it effectively repeals the
voter
-
approved measure. The court is expected to rule on the case
by September
. Meanwhile, t
he
Arizona Supreme Court
is considering a similar case filed by three public interest law groups
( The Arizona Republic, 8/4 ; Kaiser Health News, 8/4 ).
UPH Expanding Behavioral Health Services in Kino: Construction is nearly complete on two behavioral
health facilities and an expande
d emergency department at the Kino Campus of
University Physicians
Healthcare (UPH)
Hospital.
Finance
d
by Pima County, the expansion
includes a behavioral health crisis
unit and an additional behavioral health
treatment
facility
that will provide individuals with a continuum
of care for mental and physical health
needs. Hospital officials say the expansion will divert individuals
with mental illnesses from
jails and
other hospitals222 emergency departments ( KOLD, 8/3 ).
California
U.S. Supreme Court to Hear
Medicaid Reimbursement Reduction Suit
: The
U.S. Supreme Court
has
announced that it will hear oral arguments on October 3 in a lawsuit challenging
California222s
2008
Medicaid reimbursement cuts
.
In a
set of cases consolidated under the name
Douglas v. Independent
Living of Southern Califo
rnia
, private individuals and providers filed
suit
to challenge the
10 percent
reduction, arguing that it
negatively affects beneficiaries222 access to care
( California Healthline, 8/4 ; Kaiser Health News, 8/5 ).
Ventura
County Ends Proposition 36 Drug Court
:
Citing a lack of funding, o
n July 22, Ventura County222s
Substance Abuse and Crime Prevention Act of 2000
(
Proposition 36
) drug court ceased
operations.
Enacted in July 2001,
Prop.
36 requires counties to allow first and second-
time non
-
violent drug
offenders to have access to
substance abuse treatment in lieu of jail time
,
providing
five years of
state
funding for the program. Under the la
w, d
espite ending the official court
,
Ventura County
must
provide
SAMHSA222s Weekly Financing News Pulse: State and Local Edition
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offenders
access to
county
assessments and offer
treatment rather than jail time
. H
owever,
without
state funds,
the inter
-
agency treatment and monitoring structure
that operated under the
c
ounty222s
drug
court will no longer be available ( Thousand Oaks Acorn, 8/4 ).
CMS
Authorizes Reduced
Premiums for High
-
Risk Pool
: Citing lower-
than
-
expected program
enrollment,
Centers for Medicare & Medicaid Services
(CMS) officials have agreed to allow California to
reduce premiums in its high-
risk insurance pool.
CMS approved premium rate reductions averag
ing
18
percent and as high as 24 percent.
Established under the national health care reform law to serve as a
stopgap until the law222s health coverage expansion and increased patient protections take effect in 2014,
the pool is open to individuals who submit a physician222s letter stating that they
have a preexisting
condition ( California Healthline, 8/4 ; Kaiser Health News, 8/4 ).
Update:
City
Supervisors Reject Measure to Close
Healthy San Francisco Financing Loophole:
On
August 2, the San Francisco Board of Supervisors rejected a measure to
close
a financing loophole in the
cit
y222s Healthy San Francisco health coverage program, allowing employers to recoup some of their
health care contributions.
Established in 2006, Healthy San Francisco requires businesses with 20 or
more employees to offer employee health coverage, pay into a
fund for a public health coverage plan,
or provide funding to employees222 health reimbursement accounts (HRA).
In 2010, approximately 860 of
the 4,000 affected businesses provided $62.5 million to employees222 HRAs, which, in turn, paid $12.4
million for em
ployees222 health services.
However, San Francisco222s law allows employers to remove
unspent HRA funds at the end of each year, reclaiming $50.1 million in unspent health care funding.
The
rejected legislation would have required employers to maintain funding year
-
to
-
year. Citing an interest
in considering alternative legislation
to address the
loophole, t
he
Board of Supervisors requested that
the San Francisco City Attorney draft new legislation to do so
( San Francisco Chronicle, 8/3 ; Kaiser Health News, 8/3 ).
Connecticut
CMS
Authorizes Reduced High
-
Risk Pool Premiums
:
Citing
lower
-
than
-
expected program enrollment,
Centers for Medicare & Medicaid Services
(CMS) officials have agreed to allow Connecticut to reduce
premiums in its high-
risk insurance pool, allowing the state to charge a standard monthly premium of
$381.
P
remiums
in the pool were previously age
-
based
, with some
as high as $893 per
-
month
. The new
rate takes
effect September 1 ( The Connecticut Mirror, 8/2 ; Kaiser Health News, 8/3 ).
Georgia
Survey
Find
s
Less than Half
of
Georgia
Small Businesses Offer Health Coverage
:
Examining businesses
with
2
to 500 employees, t
he
Georgia Health
Policy Center
and the University of Georgia222s J. Mack
Robinson School of Business
released a survey ,
finding that 47
percent offer employee
health coverage
.
In addition, the survey found that
only
38 percent of rural
small
companies offer
employee
health
coverage.
The
survey is
part of a larger research project that will
ultimately
inform a report to the
Georgia Legislature
on the establishment of a small business health insurance exchange
, as required
under the national health care reform law
( Georgia Health News, 8/5 ; Kaiser Health News, 8/8 ).
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Iowa
Iowa
Forms Prescription Drug Abuse Task Force
: On August 4, state officials announced the formation
of a task force to address prescription drug abuse in Iowa. Comprised of 32 physicians, pharmacists,
substance abuse treatment providers, and
law e
nforcement officials
, the task force will define the
nature and scope of prescription drug abuse in Iowa and develop a strategy to address it. The task force
will examine
potential
areas
of action
including education, secure drug disposal, and prescription drug
monitoring and enforcement ( AP via The Republic, 8/5 ).
Kansas
U
pdate: DSRS will Not A
sk
District Court to Reduce Commitments to State Mental Health Facilities
:
Top
Kansas Department of Social and Rehabilitation Services
(DSRS) officials have clarified that DSRS is
not asking
district court judges to reduce the number
of individuals committed to the state222s three
mental health hospitals. Citing declining inpatient mental health offerings at non
-
state mental health
hospitals, a DSRS deputy
recently
announced
intentions to make the request
; h
owever,
SRS Secretary
Rob Sie
dlecki
clarified
that the agency
will not formally
do so ( Kansas Health Institute, 8/2 ; Kaiser Health News, 8/3 ).
Minnesota
BHCAG Awards Clinics $473,000 for Meeting Quality Benchmarks
: On August 1,
the employer coalition
Buyers Health Care Action Group (BHCAG)
awarded
300 clinics a total of
$473,000 f
or meeting quality
benchmarks. Designed to incenti
vize a
transition from the fee
-
for-
service
(FFS)
model
and reward clinics
that focus on patient outcomes, the awards went to clin
ics
that met
quality standards for
treating
patients with depression, diabet
es, and vascular diseases. The award
funds come from coalition
members, the Minnesota Department of Human Services
, the
University of Minnesota
, and
Minnesota222s
Employee Group Insurance Plan ( Minneapolis Star Tribune, 8/1 ).
New Jersey
Legislature
Approves Bill to Make Veterans Mental Health Hotline Permanent
:
On June 29, t
he
New
Jersey Legislature approved legislation (
S-
1731
) to make the state222s Vet-2-
Vet support hotline a
permanent state
program. Established by the New Jersey Department of Military and Veterans Affairs
and the University of Medicine and Dentistry of New Jersey
, the program serves as a mental health
peer support network. To date, the state has provided funding on a year
-
to
-
year basis
. The new
bill,
which now goes before Chris Christie
(R),
would make the hotline permanent
( AP via Daily Reporter, 8/7 ).
North Carolina
Medic
aid Panel
Considers
Public Input on Proposed Cuts, Projects Significant
Enrollment Growth by
2013
:
On August 5, the North Carolina Medical Care Advisory Council
met to receive public input on
state proposals to implement Medicaid cuts
for
optional services
. The current state budget includes
$350 million in state Medicaid cuts, resulting in nearly $1 billion
in total cuts
including federal funds
. In
addition, s
tate officials
anticipate
an additional
100,000 enrollees by 2013
but
exp
ect a
$2 billion
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funding reduction
over the same period
. The council will meet again in September to consider further
public input ( WRAL, 8/5 ).
Oklahoma
State
Recovers $20.6 Milli
on in Improper Medicaid Spending
: State officials report that the Oklahoma
Attorney General222s Medicaid Fraud Control Unit
recovered $20.6 million through litigation efforts in
FY2011.
In
FY2010,
the unit recovered $13.1 million ( The Oklahoman, 8/7 ).
Pennsylvania
SAMHSA Awards Pennsylvania $1.4 Million for Youth Suicide Prevention Programming
: The
Substance
Abuse and Mental Health Services Administration (SAMHSA) has awarded Pennsylvania a three
-
year
$1.4 million youth suicide prevention grant. Building on
a 2008 grant that funded services in
Lackawanna, Luzerne, and Schuylkill counties, the new
grant will expand servi
ces into Allegheny
, Berks,
Bucks, Chester, Delaware, Montgomery, Philadelphia,
and Westmoreland
Counties
. The grant will fund
suicide prevention services for
14 to 24 year olds and promote early intervention ( Pennsylvania Department of Public Welfare via The Sacramento Bee, 8/3 ).
Penn
Foundation Begins $10 Million Expansion of West Rockhill Behavioral Health Facility
: The Penn
Foundation has begun construction
on a $10 million expansion of its West Rockhill behavioral health
treatment facility. Slated for completion in December 2012, the expansion will allow the facility to serve
more individuals and offer additional services. The organization currently serves
approximately 10,000
individuals annually ( The Intelligencer, 8/8 ).
Drexel
Univers
ity and University of Pittsburgh Examine
Gaps in Mental Health Services for Offenders
in Blair County
:
Drexel University
and the University of Pittsburgh
have released a report examining
mental health service
gaps
for individuals involved with the Blair County criminal justice system.
Developed with input from local mental health and law enforcement officials, the report offers eight
priorities
to improve mental health services
. The
top
priority is the implementation of a mental health
court, which county
officials are now developing and hope to begin by the end of 2011. The report also
suggests prioritizing the housing needs of individuals with mental illnesses, implementing a community
education program, and instituting programs
to provide treatment and
medication to those in need ( The Altoona Mirror, 8/4 ).
South Dakota
Minnehaha
County Opens Jail
-
Based
Mental Health Crisis Center
:
On August 4, Minnehaha County
officials opened a behavioral health crisis center in the county jail. Designed to reduce costs and provide
care in a
less restrictive setting, the program will serve as a pilot for a potential countywide
mobile crisis
response unit. County officials have provided $54,000 for first year of operation
s ( AP via The Republic, 8/7 ; The Argus Leader, 8/5 ).
Wisconsin
HCTrends
Survey Finds Average Costs of Milwaukee Area Employer
-
Sponsored Health Plans Increases
8 to 10 Percent in 2011
: HCTrends has released a survey of employer-
sponsored health
plans in the
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g
reater Milwaukee area. The survey determined that plan costs increased by an average of 8 to 10
percent
in 2011
,
slightly
less than the
11 to 13 percent increase in 2010. The
survey also found that
average total
costs
were as high as $5,50
0
for individual coverage and $15,000 for family coverage,
excluding out
-
of
-
pocket
(OOP)
costs. Furthermore, t
he survey found 36 percent of respondents
changed
their plan offerings,
with
43 percent increas
ing
deductibles, copayments, or coinsurance
; 30
p
ercent increas
ing
employee premium contributions
;
and 26 percent raising
OOP maximums
( Milwaukee Journal Sentinel, 8/4 ; Kaiser Health News, 8/5 ).
