Behavioral health providers protest CareSource's handling of overpayments

mental-health

Dozens of mental health professionals and social workers protested outside CareSource’s downtown Dayton office on Friday, April 30, 2026, in response to the nonprofit’s decision to seek repayment from behavioral health providers for overpayments going back two years. The company notified some providers that it had inadvertently overpaid for behavioral health services and planned to implement corrected rates in accordance with the Ohio Administrative Code.

On Friday, however, CareSource announced it would suspend recoupment of those overpayments after direct conversations with providers. “The providers we spoke to shared that the recoupment would create significant financial strain and could impact access to care for members,” the company stated, adding that future claims would be paid at the correct rate based on provider agreements. CareSource is the largest Medicaid provider in Ohio and one of the largest employers in Dayton.

Protesters remained skeptical despite the suspension announcement. Lynne M Routsong, founder and owner of Midwest Counseling Centers of Ohio, said, “They said that they are going to suspend the recoupments. However, you hope that they’re doing that in good faith and that they will stick with that, but I think there’s a lot of trust broken in that arena.”

Concerns also emerged about CareSource leadership compensation. Carrie Evans, a licensed independent chemical dependency counselor, questioned the company’s priorities, asking, “Why their CEO makes $12 million a year for a nonprofit?” State legislators at the protest cited the Medicaid Savings Act, suggesting larger inefficiencies at the insurance provider level need addressing. State Rep. Karen Brownlee noted that proposed bills could save between $500 million and $800 million annually—far exceeding the scope of provider recoupments.


This article is an AI-assisted summary. All facts and figures are drawn from the original report: https://www.wyso.org/news/2026-05-01/behavioral-health-providers-protest-at-caresource-handling-of-overpayments