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Published Online: 18 March 2005

What Can Benefit Medicaid Patients?

Most reports on the future of Medicaid focus on the likely harm to current beneficiaries if the program is weakened further.
An analysis by Chris Koyanagi for the Campaign for Mental Health Reform, however, also describes changes that could help low-income people with mental illness.
In “Whither Medicaid? A Briefing Paper on Mental Health Issues in Medicaid Restructuring?” she suggests the following:
Funding demonstrations of consumer-directed services for adults with mental illness and parents of minor children with mental or emotional disorders to test ways in which consumers can make choices about how their Medicaid benefits are used and funding is spent.
Allowing payment for a comprehensive package of services instead of requiring providers to account for each separate activity provided. This goal could be accomplished by authorizing the use of case rates, bundled rates, and other mechanisms that allow the state to purchase an individualized mix of services. A “wraparound” program for children that provides a range of services that can be tailored for each child is an example of this approach.
Altering rules that prevent family members from receiving needed services. Services that focus only on an eligible child can be ineffective. Often, the whole family needs treatment, even if all the members are not eligible for Medicaid under current regulations.
Expanding home and community-based services for children with serious mental disorders so that they are eligible for services while remaining with their family. Currently home-based alternatives are not available for children placed in residential facilities.
Covering peer support groups for children with mental illness and families of children with mental or emotional disorders.
Altering the financing of Medicaid to increase the federal share.
Expanding the program to cover more low-income people.
“Wither Medicaid? A Briefing Paper on Mental Health Issues in Medicaid Restructuring” is posted online at<www.mhreform.org/policy/whithermedicaid.htm>.

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Published online: 18 March 2005
Published in print: March 18, 2005

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