Behavioral-health providers in Pennsylvania face financial instability because of inconsistent rate increases, affecting staff recruitment and retention.

In a survey from the Pennsylvania Council of Children, Youth and Family Services, one provider stated when increases occur, 70% goes to salaries, 20% to occupancy, and 10% to insurance.

Nancy Kukovich, CEO of the nonprofit youth services provider Adelphoi, recommended improved Behavioral Health Managed Care Organizations review processes for rate increase requests, citing insufficient state oversight over the rate request process.

She said their evidence-based multisystemic therapy is in need of a master's degree-level therapist, but due to lack of funding it's been difficult to recruit for this position.

"Its general claim to fame is behavioral health, but it is intense enough that it can keep kids out of the deeper end of the system," Kukovich explained. "They don't have to go to residential. They can get this really intensive service in their home. So, it's of great value to some of the counties, but it's not an inexpensive program."

The survey found Behavioral Health Managed Care Organizations sometimes offer increases during fund surpluses or when federal funds, such as the American Rescue Plan Act, are available. But the raises have not kept pace with providers' budget needs because of market competition and years of minimal increases.

Kukovich pointed out Adelphoi works with five Behavioral Health Managed-Care Organizations and has not received a rate increase in years. She noted they request the rate increase from the organizations and before approving an increase, they typically request information from providers to determine the value of the program.

"They go through a big process of trying to figure out, do we have enough of the service already? Do we need more of it? Is it something that's really important?," Kukovich outlined. "Then we usually have to fill out a whole lot of paperwork about what our costs are, what salaries look like, etc. We submit that information. We find out whether or not we get a rate increase."

Amy Fenn, senior director of Pennsylvania community-based services for Pittsburgh-based provider Pressley Ridge, oversees a variety of programs, including in-home mental health, child welfare, juvenile justice and others. She said the inconsistent rate increases ultimately affects their ability to attract and retain quality staff.

"The main thing is always salaries, because we give merit increases every year," Fenn emphasized. "Without rate increases, we're continuing to have higher costs but we still never feel like we can pay people as much as we as we should be, paying them as much as the work is worth, because without those regular rate increases, we just can't keep up with the expenses."

The survey shows behavioral health providers are competing with school-based jobs offering better pay and hours. To stay competitive, providers have raised salaries by up to 11%, despite limited funding. It recommends linking salary increases to actual costs and exploring flexibility within Behavioral Health Managed Care Organizations.


get more stories like this via email

Mississippi is embracing the future of artificial intelligence with Gov. Tate Reeves' executive order establishing a framework for its responsible use across state agencies.

The order tasks the Department of Information Technology Services with inventorying AI technologies and working with stakeholders to develop ethical policies. While seen as a step forward, it raises questions about implementation and oversight.

Kollin Napier, director of the Mississippi Artificial Intelligence Network, said his organization is helping to boost the state's role in AI education and innovation.

"We're already leading on that forefront and with involvement from the governor, with involvement from ITS and bringing even more people into the fold," Napier explained. "We're just continuing that momentum and even amplifying it on a greater scale."

Mississippi joins other states in adopting AI policies following previous failed legislative efforts, including Senate Bill 2062, which aimed to create a task force to explore AI's role in government. Attempts to regulate AI in political advertising also stalled last year, raising concerns about the pace of progress.

Napier emphasizes AI is hardly a new concept but it is now taking center stage and he encourages viewing it as an opportunity for job creation and economic growth, rather than a threat to employment.

"I like to say AI, in and of itself, will not displace you, but the people who are taking the time to learn and integrate that into their day-to-day lives -- their professional lives -- can and will take your job," Napier emphasized. "Because as we're seeing, that's where the future going."

Reeves' executive order has ignited discussions about balancing innovation with regulation, as advocates express hope the initiative will drive economic growth while mitigating potential risks.



get more stories like this via email

Gov. Brian Kemp delivered his 2025 State of the State address Thursday, emphasizing tax cuts and tort reform as key priorities for Georgia.

Kemp also highlighted the state's resilience following Hurricane Helene and praised its economic strength. He is convinced one of the best ways to continue growing Georgia's economy is by "putting more money in the pockets of Georgians." He announced plans to reduce the state income tax rate by 20 basis points, bringing it down to 5.19%.

"Because at the end of the day, that's your money, not the government's," Kemp stated. "And here in Georgia, we believe you should keep more of it."

The governor said his proposed tax cut would save residents about $7.5 billion over the next decade. During the last legislative session, the state income tax rate was already reduced to 5.39%, a total decrease of 36 basis points since 2022.

Another major priority outlined by Kemp is tort reform, which are changes to the judicial system to discourage what some see as "frivolous" lawsuits or large settlements. He noted while Georgia has maintained its title as the "best state to do business," many industries struggle with high business insurance premiums and the cost of legal actions. Kemp argued the challenges hinder their ability to operate, hire employees and expand. He mentioned the effects on health care around the state.

"We heard firsthand the challenges our legal environment poses to critical services, our health care workforce and the ability for hospitals and clinics to operate," Kemp outlined.

Kemp also addressed expanding funding for law enforcement units to prosecute gangs and human traffickers, and to increase access to health care. And he promoted state programs like Georgia Access and Georgia Pathways as alternatives to traditional Medicaid expansion, saying they provide better health coverage for more than 200,000 Georgians.


get more stories like this via email

Congressional Republicans are taking a hard look at Medicaid as they pursue spending cuts and a new report shows how the public health program is preventing care access from further eroding in rural North Dakota and elsewhere.

A House GOP proposal floats a nearly $2.5 trillion Medicaid reduction. Findings from Georgetown University's Center for Children and Families showed people in rural areas are more likely than metro populations to receive health coverage through Medicaid.

Katy Kozhimannil, professor of health and policy management at the University of Minnesota School of Public Health, said the program is a key contributor to pregnancy care in these settings.

"Offering obstetric care is a financial challenge for hospitals as revenues may not cover the costs of providing that care," Kozhimannil pointed out. "Medicaid covers nearly half of all births nationally and plays a substantially larger role in paying for births in rural areas."

The report said in 2022, 52% of rural hospitals no longer had maternity wards, compared with 36% of urban hospitals. There is concern the gap would widen with Medicaid cuts and North Dakota almost leads the nation for lack of rural OB/GYN services. Some House Republicans insist the programs need reform to avoid a fiscal collapse. But skeptics said drastic changes are a way to offset a planned extension of federal tax cuts.

The report also pointed out residents in rural areas have worse health outcomes.

Joan Alker, executive director of the Georgetown University Center for Children and Families, said it demonstrates why Medicaid is so important, adding it serves as a lifeline to a range of populations living in these communities.

"It is serving children. It is serving seniors in nursing homes, people with disabilities," Alker outlined.

Alker noted Medicaid helps recipients get ahead of health challenges through preventive care, as
opposed to letting conditions worsen.

"People wind up sicker and then they're in the emergency room and children can't get their asthma inhalers and they miss school," Alker explained.