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wolf administration

Governor Tom Wolf recently responded to provider concerns over the language in the pending HealthChoices contracts as it relates to work force stoppages. The State added this language to limit service interruptions based upon an agency’s previous work stoppages. Providers raised the issue that inclusion of these provisions serves as a subsidiary policy goal of mandating health care unionization

Members can view the full response from Governor Wolf here.

The Senate Appropriations Committee will meet for a budget hearing with the Department of Human Services (DHS) at 10:00 am on Tuesday, March 8. The budget hearing will be livestreamed. Then, at 10:00 am Wednesday, March 9, the House Appropriations Committee will hold its hearing with DHS. That hearing will also be livestreamed.

DHS is budgeting more than $6 billion in capitation to pay for behavioral health services in Fiscal Year (FY) 2022/2023. Based on the current fiscal year’s spending, approximately 22 percent, or $1.6 billion, is budgeted to be spent for drug and alcohol, including administration fees paid to behavioral health managed care organizations, according to DHS. The $6 billion is an increase of 11 percent over the $5.4 billion budgeted for FY 2022.

The details of the budget are available in DHS’ 2022/2023 Executive Budget.

The $6 billion behavioral health budget (p. 105 of 399 in the Executive Budget) is comprised of:

The FY 2022/2023 budget also includes $57 million in state dollars for the Behavioral Health Services Initiative (BHSI). BHSI includes state funds to provide treatment services to Pennsylvanians who are uninsured, do not have insurance that covers the service they need, or cannot obtain Medical Assistance benefits. Single County Authorities distribute those dollars per the Pennsylvania Department of Drug and Alcohol’s Fiscal Manual, according to DHS.

The DHS Executive Budget also breaks out an $80 million line item in both FY 2021/2022 and FY 2022/2023 for the American Society of Addiction Medicine transition (See p. 101 of 399). This $80 million, $16 million of which is state dollars, is included in $6 billion behavioral health capitation budget.

RCPA will continue to update the membership on the budget as it moves toward passage in the coming months.

Capitolwire: Wolf Budget Proposal Spurs Debate on Mental Health Funding
By Robert Swift

HARRISBURG (Feb. 14) — A budget proposal by Gov. Tom Wolf is spurring a new debate about providing more state mental health services during this time of pandemic-related stress.

The governor proposes spending $36.6 million from the taxpayer-supported General Fund in Fiscal Year 2022-23 to restore much of a decade-old cut in state aid to county-run mental health programs.

He would also direct $75 million in federal American Rescue Plan funds for support payments to help keep and hire new employees for qualifying home and community service providers.

A 21-member Mental Health Safety Net Coalition sent a letter Monday to lawmakers asking them to consider the proposed $36.6 million increase as a starting point in budget negotiations.

“The governor’s proposed increase will help offset the loss in purchasing power due to a decade of level funding,” wrote the coalition that includes service providers, hospitals, treatment centers and professional groups. “This money is critical to help counties get back to the effective level of resources they had 10 years ago, but it does not even begin to address all the gaps in our mental health system or surging demand for mental health services as we enter the third year of the global pandemic.”

Not only has the pandemic increased demand for services, it has also led to significant health staff shortages and increases in suicides and opioid deaths, the coalition said.

Also the County Commissioners Association of Pennsylvania issued a statement Monday calling on lawmakers to support Wolf’s proposal. It would restore two-thirds of a 10 percent cut to the budget line item in 2012 if enacted.

“If the funding continues to be uneven with the growing demand, counties will continue to struggle to in meeting the needs of their residents,” said CCAP President and Bradford County Commissioner Daryl Miller.

A key feature of county mental health programs is they are available to the entire community regardless of income, said Brinda Penyak, CCAP deputy executive director.

CCAP made rebuilding a “crumbling” mental health system its top priority this year. For the past six decades, counties have carried the responsibility to provide and contract for a range of community-based mental health services, including crisis intervention, treatment, education and prevention.

“We would strongly support advance planning and (mental health funding) increases that are practical and sustainable to ensure increased system availability for the long term,” said Dr. Kathy Quick, executive director of the Pennsylvania Mental Health Consumer Association while voicing concern that the proposed funding hikes for this year can’t be sustained in the future.

The issue of pandemic-related mental health challenges facing the general population and students as well has been the subject of several legislative hearings during the past two years.

The Senate Agriculture and Rural Affairs Committee held a hearing last month focusing on mental health issues facing agricultural workers. Pennsylvania has received a $500,000 grant from the U.S. Department of Agriculture to provide more resources to support mental health programs in rural areas by linking to national hotline networks and providing education and training, said state Agriculture Secretary Russell Redding at that hearing.