January 23, 2023

The Oregon Health Authority has received federal approval to significantly increase Medicaid behavioral health services reimbursement paid through coordinated care organizations.

The federal approval requires CCOs to increase pay to providers for behavioral health services provided on or after January 1st of this year.

An OHA release said this approval and the additional funding will enable them to invest Medicaid funds to improve access to services, support the behavioral health workforce and much more.

OHA Director Jamie Schroeder said, “Getting more people access to behavioral health services is a top priority for Governor Kotek and for OHA. This rate increase will help stabilize service providers and expand care for people in Oregon who need it”.

The release said the legislature allocated $42.5 million in state funds through House Bill 5202 in 2022. These state funds are projected to yield approximately $112 million in matching federal Medicaid funds for increases across by fee for service providers and CCOs.

The combined $154.5 million in rate increases, plus additional funds available in the CCO budget, resulted in an increase of approximately $221 million in funds over this calendar year.

More information about this from OHA is linked: https://www.oregon.gov/oha/HSD/OHP/Pages/BH-Rate-Increase.aspx?utm_medium=email&utm_source=govdelivery