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Legislators weigh expanding SUD voucher and adding behavioral health in jails; staff to draft amendment

2364166 · February 20, 2025
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Summary

Lawmakers discussed adding $2.5 million to the substance use disorder (SUD) voucher to match Medicaid rates and cover rising utilization, and debated a separate amendment to allow SUD voucher behavioral‑health services inside regional jails plus a proposal for IMD medical reimbursement.

Members of the House Appropriations Committee HR section discussed expanding the state’s substance use disorder (SUD) voucher program and whether the vouchers could be used inside regional jails.

Pam Segnus of the Department of Health and Human Services told the committee the governor’s executive budget includes $2,500,000 for “expanded utilization” of the SUD voucher. “The 2,500,000.0 will do 2 things,” Segnus said. “It will, it's projected to keep up with the increased utilization so that means more people using the program…But also that we, match the Medicaid rates. So making sure that we also maintain and align to those rates.”

Representative Mitscog proposed an amendment to permit SUD voucher services in jails and asked staff for a dollar figure; Segnus and committee members discussed $2,500,000 for that expansion and a separate $500,000 estimate for medical reimbursement to IMD (institutions for mental disease) providers for medical services. Segnus cautioned that adding reimbursement for IMD medical services would require additional funding because Medicaid coverage is limited while a participant is in an IMD program.

Committee staff said the long sheet would show the governor’s $2.5 million on the voucher line and the jail/IMD funding as separate amendments if the committee chooses to advance them. Members asked Representative Mitscog and department staff to provide amendment language and any dollar amounts so staff could prepare formal amendments for the Monday vote.

Ending: No final vote taken. The committee directed staff to prepare amendment language and to show the existing $2.5 million on the long sheet; additional funding for jails/IMD would be reflected as separate amendments if filed.