On September 30, 2024, the Pennsylvania Department of Human Services (DHS) announced its intent to increase rates paid in its Behavioral HealthChoices program, which provides access to mental health, substance use disorder, and other behavioral health services for Medicaid recipients. Once approved by the federal Centers for Medicare and Medicaid Services (CMS), the new rates to the Behavioral HelathChoices (BHC) Managed Care Organizations (MCOs) will be retroactive to July 1, 2024 for their current 2024 contract agreements with DHS.

The increase to BH-MCO rates come following a mid-year review of managed care organizations’ enrollment and what services and supports beneficiaries are using the most. The increased rates, if approved by CMS, will support access to behavioral health care for Medicaid recipients and ensure these MCOs are better positioned to appropriately compensate providers working in the behavioral health field, ultimately helping to recruit and retain this critical workforce.

More information on behavioral health and crisis resources in Pennsylvania is available on DHS’ website.