NH CARES Issues for COMMUNITY MENTAL HEALTH SERVICES  -3/23/09

NH Community Behavioral Health Association (NHCBHA)

 

Issues in the Governors’ Budget on Community Mental Health Centers

 

Bureau of Behavioral Health HB 1 Pages:   Page 1555, Lines 552, Rehab Services, 553 Case Management, 554 Evaluation & Mgmt Services, 555 Therapy Services

 

A.  Issue of No Caseload Increases in HB1 - Page 1555, Classes 552 – 555

 

HB 1 proposes NO increase for Medicaid caseload increases.  The ten Community Mental Health Centers (CMHCs) are already experiencing meaningful caseload and acuity increases from this time last year.  The DHHS maintenance budget proposed a 2.6% caseload increase, and, as the Committee has heard, that assumption was made when DHHS was projecting a “mild recession”.  The NHCBHA is projecting a likely 8% caseload increase in 2010 and 2011.

 

The lack of adequate funding to address caseload and acuity increases will impact our ability to maintain efforts under Medicaid.  NHCBHA wants to emphasize that with more people out of work, more individuals and families are under stress and may require quality mental health services in their communities, increasing the intensity and volume of need from what we have previously experienced or expected.  These individuals may not be categorically eligible for any benefit under Medicaid; when they present themselves to us for help, we will see a profound increase in the number of “non-pay” or “self-pay” clients, thus increasing our uncompensated, but statutorily required care.

 

Requested Action on Caseload Funding

Funding for the 8% caseload increase is requested.  This is $7.2 million in total funds in each fiscal year; or $3.6 million in General Funds (assuming a 50-50 match, less with new FMAP). With regard to uncompensated cost increases, the lack of any rate increases will weaken even further the Centers’ business models.

 

B.  Issue of Rate Reduction in Class 555 Therapy Services

 

This is a reduction in the rate for individual psychotherapy for non-eligible clients at CMHCs.  HB 1 proposes to reduce this to the rate paid to individual providers. However, the CMHCs - unlike private providers - are required to offer screening and assessment, emergency services, and critical incident debriefings to assist communities when a crisis occurs. The Centers estimate the annual impact of this rate reduction at $431,000 in total funds.

 

HB1 proposes to reduce Class 555 by approximately $931,000 in 2010; and $931,000 in 2011.  BBH justifies the reduction because of a change in CPT Code 90806, based on a new interpretation of a medical rule regarding therapy codes. NHCBHA believes that alternative solutions can be found that will resolve the matter and not harm the CMHCs.  We are currently in discussions with BBH to reach an agreement on this matter.  While we do not expect Division III to resolve this dispute, we would urge you to (1) keep the dollars in the line, so that once it is resolved, we don’t have to re-fill it later; and (2) recognize that regardless of the outcome of the CPT code matter, the reduction will cause a reduction in total

 

funds to the Centers and will need to be absorbed somewhere else in our operational budgets.

 

Requested Action for Class 555 Therapy Services

a.        Individual psychotherapy:  Add $215,437 General Funds ($430,875 total funds) in 2010 and $215,437 General Funds ($430,875 total funds) in 2011.

b.     CPT code for psychotherapy: Add $465, 643 in General Funds ($931,286 total funds) in 2010 and $465,643 in General funds ($931,286 total in 2011.

 

C.  Issue of Transitional/Community Housing

 

Section 12 D & 46, Section 12 of HB 25, the capital budget bill, transfers $976,000 from previously funded transitional housing that would have been built on the NH Hospital grounds, to fund local community housing. While the concept might be a positive one, the Centers believe that because the budget fails to fund any operational supports for proposed housing in this biennium, no individual Center would likely undertake the risk of constructing or purchasing this type of housing, as it would constitute too risky an investment.

 

Requested Action on Transitional Housing

NHCBHA proposes that these funds be allocated to the Bridges Program that was included in the DHHS maintenance budget and is part of the Ten Year Mental Health Plan ($300,000 in ‘10 and $600,000 in ‘11). This program established a rent subsidy payment fund for those on the waiting lists for Section 8 housing.  Amendments are requested to add a new “Bridges Program” section in HB2 and a new Class Line on page 1555 of HB 1.

 

D.  Issue of Suspension of Certain Administrative Requirements – Pg. 1555

 

HB 1 offers no rate increase for the CMHCs, despite a maintenance budget funding that at 4.1% is needed to keep pace with health care inflation and to maintain effort. In order to address this dilemma, the Centers would propose that several non-critical administrative and reporting requirements be suspended for the upcoming biennium. The Centers are in discussions with BBH to develop a list and a proposed footnote.  This should have no negative impact on HB1.

 

Contacts

 

NH Community Behavioral Health Association (NHCBHA), 1 Pillsbury Street, Suite 200, Concord, NH 03301-3570    603-225-6633    FAX 603-225-4739  and for  additional information or answers to questions, please contact:

 

Roland Lamy, Executive Director, NHCBHA RLamy@helmsco.com

Jay Couture, Chair, NHCBHA gacouture@aol.com

Jim Monahan, The Dupont Group jmonahan@dupontgroup.com

Susan Paschell, The Dupont Group spaschell@dupontgroup.com