Monday, December 20, 2004

Governors Enlist Advocates In Medicaid Reform Plans
Psychiatric News story - "Threats of future cuts to Medicaid have brought about conciliatory gestures from long-time adversaries and new ideas about how to allocate resources. With no relief in sight for strained Medicaid budgets, both state officials and health care advocates are taking a fresh look at their disagreements about how to control costs and maintain access. The Tennessee state legislature passed changes to the Medicaid program, TennCare, in May at the urging of Gov. Phillip Bredesen (D) that would curtail the number of doctor visits and prescription drugs and increase copayments and premiums..."  
  

Aetna buys back its mental health division
American Medical News story - "Hartford, Conn.-based Aetna says it will spend what it expects to be more than $50 million to buy back certain assets of Magellan Health Services, including three dedicated behavioral health service centers that now serve only Aetna patients. Magellan, which emerged from Chapter 11 bankruptcy early this year, will lose its biggest client as a result, because Aetna will be ending a contract with Magellan under which the mental health carve-out company has provided services to most Aetna members. Aetna has been responsible for about 37% of Magellan's revenue in 2004."  
  

Kids on Welfare System Lack Mental Health Support
Ivanhoe Newswire story - "A new study shows children involved in the child welfare system do not receive the counseling services to prevent emotional and behavioral problems. According to the study authors, several studies have shown high rates of emotional and behavioral problems among children in the welfare system. They believe that if mental health services were given to children in a timely manner, it may reduce long-term negative consequences for these children..."