During today's Iowa Medicaid town hall for providers, to IME Director Liz Matney stated that the Medicaid rate increases will be effective 7-1-23. They hope to have those rates ready for public announcement mid-June. New rates might not be loaded into the system by 7-1-23, but they will be retroactive.
The $7 million appropriated by the legislature for Medicaid reimbursement rate increases will be specifically for mental health therapists. Their goal is to get Iowa Medicaid rates to at least 85% of the benchmark they were using.
The additional $3 M that we didn’t expect will also be for mental health, but IME will have some discretion as to where to put that money.
An additional $3 million was appropriated for substance use disorder treatment specficially.
Keep in mind that this is only the state's portion. The federal government contribution is around 63%.
The next Medicaid providers town hall will be held on Thurs. June 29, 2023. You can register for that meeting here:
Find recordings of previous town hall meetings here:
Another agenda item for the town hall meeting was the onboarding of the newest MCO, Molina. Molina will be holding several orientation sessions for providers. The training scheduled for 5-30 will contain both general content as well as specific information on behavioral health. You can sign up for those trainings here: