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Psychiatr Serv 59:1203-1206, October 2008
doi: 10.1176/appi.ps.59.10.1203
© 2008 American Psychiatric Association
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Brief Report

How Medicaid Agencies Administer Mental Health Services: Results From a 50-State Survey

James Verdier, J.D. and Allison Barrett, B.A.

The authors are affiliated with Mathematica Policy Research, Inc., 600 Maryland Ave., S.W., Suite 550, Washington, DC 20024-2512 (e-mail: jverdier{at}mathematica-mpr.com). Preliminary results from the report on which this brief report is based were presented at the 2006 Substance Abuse and Mental Health Services Association (SAMHSA)/Centers for Medicare and Medicaid Services (CMS) Invitational Conference on Medicaid and Mental Health Services/Substance Abuse Treatment, September 11–12, 2006, Arlington, Virginia; the SAMHSA Joint National Conference on Mental Health Block Grant and National Conference on Mental Health Statistics, May 29–June 1, 2007, Washington, D.C.; and the 2007 SAMHSA/CMS Invitational Conference on Medicaid and Mental Health Services/Substance Abuse Treatment, September 27–28, 2007, Baltimore. A full report of the survey findings was published in 2007 by SAMHSA as Administration of Mental Health Services by Medicaid Agencies, DHHS pub. no. (SMA) 07-4301.

OBJECTIVE: This brief report describes some notable variations in how state Medicaid agencies administer and fund Medicaid mental health services. METHODS: Hour-long telephone interviews were conducted with all state and District of Columbia Medicaid directors or their designees. RESULTS: Responses indicated that Medicaid and mental health agencies were located within the same umbrella agency in 28 states, potentially facilitating collaboration. The mental health agency provided funding for some Medicaid mental health services in 32 states, and counties provided such funding in 22 states. Medicaid agencies generally delegated more authority to state mental health agencies in states where some Medicaid funding came from mental health sources and also in states where both agencies were in the same umbrella agency. CONCLUSIONS: The increasing role of Medicaid in funding state mental health services, combined with new federal limits on Medicaid financing of these services, underscores the importance of interagency collaboration and better alignment of Medicaid and mental health responsibilities.







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