Insurance changes put mental health programs at risk

GRAND RAPIDS, Mich. (WOOD) — Changes to insurance and Medicaid are causing layoffs and the possible elimination of some mental health services in Kent County.

Network180, the community mental health authority for the county, says that means some people suffering from mental illness might have to find someplace else to go.

Network180 Executive Director Scott Gilman explained that people are switching from Disabled, Aged or Blind (DAB) to Healthy Michigan for Medicaid coverage, which is shrinking the amount of money that goes to local mental health providers.

“A great number of them have migrated to Healthy Michigan and as I said, they had that right. But the funding formula, it needs to be updated,” he said.

Gilman said to think of it like school funding. Schools get a set amount of money for each student. The same goes for county mental health with patients. However, the reimbursement for Healthy Michigan is roughly 80 percent less than DAB.

So far, 35 full-time positions have been laid off. Sixteen others are vacant and will not be filled. Gilman said phase two is cutting programs.

The reasons why people are switching to Healthy Michigan vary.

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