The North Carolina Department of Health and Human Services (Department) is delaying implementation of the Medicaid Behavioral Health and Intellectual/Developmental Disabilities (I/DD) Tailored Plans. The state had intended to launch these specialized Medicaid plans by October 1, 2023. A new launch target has not been announced.
The Tailored Plans are intended for about 160,000 Medicaid beneficiaries with complex behavioral health conditions, intellectual/developmental disabilities (I/DD) and traumatic brain injury (TBI). Their behavioral and physical health needs are often significant, requiring ongoing care from multiple providers. These beneficiaries will continue to be served by the state’s regional behavioral health Local Management Entities/Managed Care Organizations (LME/MCOs).
In late February 2023, when the Department made the decision to delay to October 1, leadership identified three key areas that needed more work to ensure a smooth transition. First, that the LME/MCO provider network and technical capability readiness needed to improve; second, that the Department had the appropriate legal tools to ensure the well-being and safety of beneficiaries if an LME/MCO is failing to provide services; and third, that the LME/MCOs were focused on providing services for the populations they are best positioned to manage successfully.
While gaps remain in provider networks, progress has been made by the LME/MCOs on technical capabilities. The Department has been working collaboratively with the legislature to achieve the necessary tools to administer the Tailored Plans on par with other managed care plans, but they are still a work in progress. Further, uncertainty with the state budget, which will fund transformation costs and rebase for the Medicaid program, creates additional needs for launching Tailored Plans. Because it remains uncertain as to when those issues will be fully resolved, the Department is announcing the delay in Tailored Plans now but is not able to announce a certain go-forward date at this time.
Beneficiaries who will be covered by the Tailored Plans will continue to receive behavioral health, I/DD, TBI and physical health care as they do today. North Carolina’s unique Tailored Care Management model, which launched December 1, 2022, will continue to support beneficiaries by providing a care team to coordinate care across providers. Additionally, on July 1, 2023, the LME/MCOs began to provide 1915(i) services to offer an array of home and community based (HCBS) services to Medicaid beneficiaries with serious mental health diagnoses, severe substance use disorders, intellectual/developmental disabilities and traumatic brain injuries.
This was reported by North Carolina Department of Health and Human Services on July 11, 2023, at https://www.ncdhhs.gov/news/press-releases/2023/07/11/launch-behavioral-health-and-intellectualdevelopmental-disabilities-tailored-plans-delayed (accessed July 14, 2023).
Contact information: North Carolina Department of Health and Human Services, 101 Blair Drive, Adams Building, 2001 Mail Service Center, Raleigh, North Carolina 27699-2001; 919-855-4840; Email: news@dhhs.nc.gov; Website: https://medicaid.ncdhhs.gov/Behavioral-Health-IDD%20Tailored-Plans