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Oklahoma 2016 Behavioral Health Budget Cuts Look Bleak - 12/11/2015

The Oklahoma Health Care Authority (OHCA) and the Oklahoma Department of Mental Health and Substance Abuse (ODMHSAS) held a Behavioral Health Advisory Council Meeting at the Oklahoma Capitol regarding the budgetary updates for 2016 on December 9, 2015.

 

OrionNet Systems sent two of their staff to learn the upcoming changes for the New Year.

 

“We want to minimize any negative effects that the budget updates for next year may cause our clients,” said Clyde Wafford, president of OrionNet Systems. “We are watching the state site for news of changes so we and our clients can be prepared.”

 

Nico Gomez, the CEO of the Oklahoma Health Care Authority, spoke on the budget updates during the meeting. He stated that improvements will not occur in the budget.

 

“We received too few State dollars [for 2016] and the need is higher than received,” said Gomez. “We received too few State dollars for 2015, and in a few weeks we’ll receive less state dollars.”

 

Beginning January 1, 2016 a 3% cut in Behavioral Health rates by the State and possibly again in September 2016 could occur.

 

Gomez expressed concern that the Behavioral Health budget will keep getting cut and will not rebound.

 

“$400 million has already been cut in the last few years,” said Gomez.

 

The State budget for Behavioral Health is $1 billion less than last year. The State cut $6 billion in 2014 for 2015.

 

Gomez stated that state revenue failure could cause more substantial cuts for 2017 and that he did not like the indicators for 2017, indicators that were not provided during the meeting.

 

The OHCA are trying to make provider rates a priority.

 

“Provider rates will either stay current or will get cut; if our goal is to provide services to all people and we keep getting provider rates cut, we will lose providers,” said Gomez.

 

Gomez stated that they have increased providers in the past but now have to cut who is added to the program. Presently there are 515 providers certified with the State.

 

“All non essential spending will be removed or will have to be given up on,” said Gomez. “All groups will be cut 5% to 10% across the board. As there was not enough time to vet the least impact options, the State has decided to cut the budget for 2016. They are still looking at under utilization reports to help guide where to cut from if additional flexibility is not taken.”

 

Governor Mary Fallin has asked to pull contracts with Planned Parenthood.

 

Some people on the OHCA board and in the audience expressed concern that their Medicare contracts would be pulled and that this will affect women’s health in remote areas of the State, and that the Governor may pull a contract for political reasons.

 

Law changes will also go in effect in 2016 including alcohol laws changes, sentencing law changes, possession law changes, and reform substance abuse changes.

 

Clyde Wafford, president of OrionNet Systems, has stated that his team will keep up-to-date on any changes the State may make in the coming year in hopes that some pressure can be taken off of his clients.

 

About OrionNet Systems

OrionNet is an Oklahoma small business founded in 2001. OrionNet has designed, developed and supported applications created both for the client-server and web environments, as well as developing, marketing and supporting a commercial application for the counseling centers industry.

Visit the OrionNet Systems’ website, www.iorion.com, or their social media pages, https://twitter.com/ThinkHealth & https://www.facebook.com/pages/OrionNet-Systems/139352156150090 for more information.

 

About the Oklahoma Health Care Authority

The Oklahoma Health Care Authority is the primary entity in the state of Oklahoma charged with controlling costs of state-purchased health care. https://www.okhca.org/providers.aspx?id=16525

 

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