| Inside This Issue – News |
Minnesota DHS Reduces Mental Health Funding, Plans Mental Health System Reform
As part of Governor Tim Pawlenty's (R) latest budget recommendations, the Minnesota Department of Human Services (DHS) plans to reduce mental health spending by $17 million while broadening access to care. DHS plans to close mental health facilities in Cold Spring, Mankato, and Eveleth and cut 200 full-time positions by June 30, 2011. However, DHS also plans to redesign its service delivery system, creating new psychiatric care centers to provide assessments and 1-day crisis care. The state says the new facilities will provide faster assessment and placement than the current system and plans to create additional step-down facilities for subsequent treatment. In addition, DHS' new system will shift the responsibility for transporting mentally ill patients away from law enforcement.
Montana Governor Seeks Federal Permission To Import Prescription Drugs From Canada
On March 11, Governor Brian Schweitzer (D) announced plans to seek Federal permission to import prescription drugs from Canada for use in state insurance programs. Governor Schweitzer estimates that importing the drugs could reduce the state's $100 million annual prescription drug costs for Medicaid, Children's Health Insurance Program, state employees, and inmates by $40 million. The governor is asking Health and Human Services Secretary Kathleen Sebelius to certify the Canadian drugs as safe and waive Medicaid provisions requiring that states spend such funds within the United States. Centers for Medicare & Medicaid officials said they had not yet seen Montana's proposal and could not comment.
North Carolina DHHS Implements Medicaid Preferred Drug List, Estimates $90 Million Annual Savings
Effective March 15, the North Carolina Department of Health and Human Services (DHHS) instituted a preferred-drug list for the state's Medicaid program, estimated to save the state $90 million annually. Initially, the preferred list will include all drugs currently covered under Medicaid; however, DHHS will remove some drugs over time in consultation with the North Carolina Physician's Advisory Group. In addition, the state plans to consult mental health experts before removing any mental health medications from the preferred list. Nonpreferred drugs will remain available with prior authorization and for children requiring certain medication under the Early Periodic Screening, Diagnosis, and Treatment Program.
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