Statewide advocates are backing proposed legislation to move most behavioral health services from Medicaid managed care to fee-for-service.
Advocates call for a different Medicaid model
The Alliance for Rights and Recovery reported that it joined several statewide organizations for an advocacy day at the State Capitol. According to the Alliance, the groups called on New York to remove behavioral health services from Medicaid managed care and return them to a fee-for-service system.
The Alliance said participating organizations included the New York State Council for Community Behavioral Healthcare, Families Together in New York State, and the Citizens' Committee for Children. The organizations argued that the current managed care system creates barriers to services and destabilizes providers that people depend on for support.
Barriers cited by advocates
According to the Alliance for Rights and Recovery, people seeking mental health and substance use services have faced long waitlists, repeated prior authorizations, narrow provider networks, “ghost” provider networks, delayed approvals, and denials of service.
The Alliance also said providers across New York have experienced delayed and denied payment for services already delivered. It reported that community organizations can spend time and resources contesting insurance claims rather than supporting people who need services.
According to the Alliance, these administrative burdens contribute to workforce shortages, staff burnout, program closures, and worsening access to services statewide.
Proposed legislation
The Alliance for Rights and Recovery said legislation advanced by Senator Samra Brouk and Assemblymember Jo Anne Simon would remove most behavioral health services from Medicaid managed care and return them to a fee-for-service system.
The proposal is identified as S.8309A/A.8055A. According to the Alliance, advocates estimate that the proposal could save New York approximately $400 million each year, with the savings reinvested in community-based services.
The measure remains proposed legislation and has not been enacted into law, according to the Alliance.
What this means for New York patients
If enacted, the proposed change could affect how people seek and receive Medicaid-covered behavioral health services in New York. For people looking for treatment locally, the directory lists 223 published clinics in New York. This is general information, not medical advice.
More New York reporting on policy & funding.
This report is educational and is not medical advice. Coverage, availability and eligibility can change; verify details with the named source or your care team.