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The Louisiana Department of Health (LDH) plans to expand Medicaid reimbursement eligibility to provisionally licensed mental health professionals (PLMHPs) who are seeking full licensure, and the availability of mental health providers in the state. We are taking an important step towards increasing our
Currently, in Louisiana, PLMHPs may practice and provide mental health treatment services under the supervision of a fully licensed mental health professional (LMHP). However, these providers are not eligible for Medicaid reimbursement. This policy change will allow PLMPHPs that provide these critical services to pursue full licensure and receive reimbursement from the Medicaid program. Under the state’s current framework, only LMHPs, including Licensed Clinical Social Workers (LCSWs), Licensed Marriage and Family Therapists (LMFTs), and Licensed Professional Counselors (LPCs), are eligible for reimbursement for these services.
While Louisiana, like the rest of the country, faces significant behavioral health workforce challenges, the need for services is as great as ever. Nationally, one in three people lives in areas where there is a shortage of mental health care providers. In Louisiana, the Health Resources and Services Administration estimates that only 26% of mental health needs are being met. At the same time, the number of adults reporting symptoms of anxiety and depressive disorders has steadily increased over the past five years, with 32.5% of Louisiana adults reporting symptoms in 2021.
One in five adults in Louisiana has a mental illness, and Louisiana’s suicide rate ranks 35th among all states. Expanding access to services by increasing the number of providers eligible for Medicaid reimbursement is a key part of her LDH priorities to address these complex behavioral health challenges . The department estimates that as early as August 1, more than 4,000 providers in Louisiana will become eligible for new reimbursement under this policy change. This includes 1,796 provisionally licensed professional counselors, 137 provisionally licensed marriage and family therapists, and 2,564 licensed master social workers. .
“This change is an exciting development for thousands of Louisianans who have struggled to find health care providers to care for them,” said LDH Executive Director Dr. Ralph Abraham. “Workforce shortages are one of the biggest challenges we face here in Louisiana as we work to improve mental health. Led by our Medicaid and Behavioral Health Department teams, this change will help Louisiana residents This is an important step toward expanding access to health care providers and critical mental health services.”
LDH is working with behavioral health leaders across the state, including Volunteers of America CEO Voris Vige, David Kneipp, and Carolyn Hammond, to drive change.
“As CEOs of Volunteers of America affiliates across Louisiana, including Volunteers of America Southeast Louisiana, Volunteers of America South Central Louisiana, and Volunteers of America North Louisiana, we are committed to supporting our state’s behavioral health efforts. We applaud LDH’s commitment to innovation that addresses the above challenges,” the CEOs said in a joint statement. “This new policy change will increase access to essential care across Louisiana, where there continues to be a shortage of qualified mental health professionals. We appreciate LDH’s proactive efforts. We look forward to continuing to work together to meet the behavioral health needs of our community.”
“Supervised, hands-on experience is the most powerful learning environment for clinicians to grow,” said Colette Melancon, LCSW-BACS, CEO of Covington-based Therapeutic Partners. ” he said.
“To develop a strong, clinically competent workforce, we need to enable LMSWs, PLPCs, and PLMFTs to fully function in traditional ambulatory care settings,” Melancon said. “Enabling these clinicians to bill CPT codes increases access to care and strengthens the clinical workforce. Access to care and attracting and retaining talented clinicians are essential to better outcomes for our clients, and this change brings us one step closer to achieving those goals.”
Regulation changes and a State Plan Amendment (SPA) are required before this policy becomes fully effective. A notice of intent for the proposed rule has been posted and can be accessed here. LDH plans to publish the final rule on July 20th, with implementation expected to begin on August 1st if approved by the U.S. Centers for Medicare and Medicaid Services.
