Details are scarce on how Oklahoma’s plan to privatize Medicaid will affect mental health services

Oklahoma Transitions Medicaid to Managed Care amid Mental Health Concerns

Oklahoma is transitioning its Medicaid system to managed care in October, with the Oklahoma Health Care Authority projecting up to a 20 percent decline in behavioral health services use. Oklahoma Complete Health, an affiliate of the Fortune 500 insurer Centene, won the exclusive contract to manage Medicaid benefits for as many as 31,000 Oklahoma children in the child welfare and juvenile justice systems. The company plans to reduce inpatient and residential treatment for children with complex behavioral issues by strengthening outpatient services and placement stability, while also reducing out-of-state treatment placements.

However, most details of Oklahoma Complete Health’s strategy have been redacted from the public proposal. The company stated only that services “must be no more restrictive than those already taking place under the current system” and that it would provide more preventative care. The Oklahoma Health Care Authority cites national standards and requirements for discharge plans and hospital readmission tracking as safeguards. Preventative programs like those offered by Youth Villages, which provides intensive parenting skills training and independent living skills to children, are expected to expand access under the managed care model.

Behavioral health providers express concern about potential service cuts. The Mental Health Association Oklahoma and the Alliance of Mental Health Providers of Oklahoma submitted letters opposing the shift, citing profit maximization incentives. Terri White, CEO of Mental Health Association Oklahoma, wrote: “In a state where only one in every three citizens with a mental illness receives adequate care, we cannot afford to place more restrictions on essential care.” Mental Health America ranks Oklahoma No. 38 for prevalence of mental illness and low access to care, and No. 40 for mental illness and lack of care for youth. A 2019 Missouri study found that after Medicaid managed care transition, children were nearly twice as likely to experience suicidal thoughts or attempts after hospitalization, with average psychiatric hospital stays cut by more than five days. Red Rock Behavioral Health Services reported a 60 percent increase in crisis calls monthly during the pandemic.


This article is an AI-assisted summary. All facts and figures are drawn from the original report: https://www.readfrontier.org/stories/details-are-scarce-on-how-oklahomas-plan-to-privatize-medicaid-will-affect-mental-health-services/