Michigan Department of Community Health Recommends Community Mental Health Programs for Contract

June 4, 2002

Michigan Department of Community Health Director, James K. Haveman, Jr., today announced conditional recommendations for 16 Community Mental Health Services Programs to provide Medicaid managed care for specialty mental health, substance abuse and developmental disability services.  The remaining two Community Mental Health Services Programs who have applied must demonstrate that specific requirements of the application have been met before a recommendation for contract can be approved.

“In these 18 applications I was very pleased to see the community mental health services programs commitment to ensuring access and quality care for persons with mental illness, developmental disabilities and substance abuse,” said Haveman.  “This will allow us to move forward in our efforts to improve service flexibility and choices for individuals in the public mental health system.”

Under Michigan’s program, nearly all Medicaid specialty mental health, developmental disabilities and substance abuse services have been managed by specialty Prepaid Health Plans.  A specialty Prepaid Health Plan is a managed care entity that provides Medicaid covered specialty services under a contract with the state on the basis of prepaid capitation fees.  

Under the new plan, a single Prepaid Health Plan is selected to provide Medicaid specialty mental health, substance abuse and developmental disability services in specific geographic areas.  Qualified Community Mental Health Services Programs have been given initial consideration to operate as the specialty Prepaid Health Plan for a designated service area. 

For a Community Mental Health Services Program to be considered for application they must have at least 20,000 Medicaid beneficiaries within their respective catchment area.  If they do not meet this criteria, they may combine with contiguous Community Mental Health Services Programs to make a consolidated application for Prepaid Health Plan designation.

Community Mental Health Services Program applicants must also meet an extensive set of qualification requirements before being selected as the Prepaid Health Plan, including administrative and service considerations.  Community Mental Health Services Programs must assure that consumers continue to have access to the existing array of services and alternatives available to them and must assist consumers in community participation, integration and inclusion.  Community Mental Health Services Programs must ensure service eligibility and demonstrate a network of providers to meet consumer needs.

In Michigan person-centered planning is vital for specialty services.  This process is for planning and supporting individuals and including them, their family members or others in the decision making process as they choose.  To be selected as a Prepaid Health Plan, Community Mental Health Services Programs must facilitate consumer choices and offer external person-centered planning facilitators to assure the needs and desires of the consumer are fully identified.  The Community Mental Health Service Providers must also allow the beneficiary to utilize out-of-network providers under special circumstances.

The Community Health Specialty Services Panel conducted the selection process for specialty prepaid health plans.  This panel, appointed by the Governor, is made up of state officials and consumer, family and advocacy representatives.

The following Community Mental Health Services Programs have been recommended for contracts and informed of any outstanding conditions the applicant must meet before a contract is signed:

  • Community Mental Health for Central Michigan, serving Clare Isabella, Mecosta, Osceloa, Midland and Gladwin counties.
  • Genesee County Community Mental Health Services Program.
  • Kent County Community Mental Health Services Program.
  • LifeWays, serving Hillsdale and Jackson counties.
  • Macomb County Community Mental Health Services Program.
  • Oakland County Community Mental Health Authority.
  • Saginaw County Community Mental Health Authority.
  • Bay-Arenac Behavioral Health and affiliates Montcalm Center for Behavioral Health, Shiawassee County Community Mental Health Services Program, Tuscola Behavioral Health Systems and Huron Behavioral Health.
  • Clinton-Eaton-Ingham Community Mental Health Services Program and affiliates Ionia County Community Mental Health Services Program, Gratiot County Community Mental Health Services Program and Newaygo County Community Mental Health Services Program.
  • Kalamazoo County Community Mental Health Services Program and affiliates Allegan County Community Mental Health Services Program, St. Joseph County Community Mental Health Services Program and Woodlands Behavioral Healthcare Network serving Cass county.
  • North Central Community Mental Health Services Program, serving Crawford, Missaukee, Roscommon, and Wexford counties and affiliates Great Lakes Community Mental Health Services Program serving Grand Traverse and Leelanau counties and West Michigan Community Mental Health Services Program serving Lake, Mason, and Oceana counties.
  • Northern Michigan Community Mental Health Services Program, serving Charlevoix, Cheboygan, Emmet, and Otsego counties and affiliates Antrim-Kalkaska Community Mental Health Services Program, AuSable Valley Community Mental Health Services Program, serving Iosco, Ogemaw and Oscoda counties and Northeast Michigan Community Mental Health Services Program, serving Alcona, Alpena, Montmorency, and Presque Isle counties. 
  • Pathways, serving Alger, Delta, Luce, Marquette counties and affiliates Copper Country Community Mental Health Services Program, serving Baraga, Houghton, Keweenaw and Ontonagon counties, Gogebic County Community Mental Health Services Program, Hiawatha Behavioral Health, serving Chippewa, Mackinac and Schoolcraft counties, and Northpointe Behavioral Healthcare Systems, serving Dickinson, Iron and Menominee counties.
  • St. Clair County Community Mental Health Services Program and affiliates Lapeer County Community Mental Health Services Program and Sanilac County Community Mental Health Services Program.
  • Summit Pointe, serving Calhoun County and affiliates Barry County Community Mental Health Services Program, Berrien Mental Health Authority, Pines Behavioral Health, serving Branch County and Van Buren County Community Mental Health Services Program.
  • Washtenaw Community Health Organization and affiliates Lenawee Community Mental Health Authority and Livingston County Community Mental Health Services Program.

While the Detroit-Wayne Community Mental Health Agency and the Muskegon-Ottawa affiliation have not been recommended for contracts at this time, both agencies continue to work aggressively to meet the high standards of care expected from a specialty prepaid health plan.  The panel will reconvene in August to review these agencies progress in meeting requirements and make a recommendation to the Department.  The Department will also continue to make determinations on arrangements for Medicaid services to be delivered to beneficiaries living in Manistee, Benzie and Monroe counties.