Bay County commissioners approve resolution asking state to release Medicaid funds after behavioral health authority warns of shortfalls

Bay County Board of Commissioners on April 15, 2025, unanimously approved a resolution requesting that the Michigan Department of Health and Human Services (MDHHS) push out the fiscal-year appropriation for behavioral health and review Medicaid payment rates. The action followed a presentation by Christopher Pinter, CEO of the Bay Area and Behavioral Health Authority, who described rising service demand and structural funding shortfalls.

Pinter told commissioners the authority has seen markedly higher clinical need since 2023, driven largely by children and families coming out of the COVID-19 pandemic. "We have blown past all of our pre‑COVID numbers for service demand," Pinter said, noting increases in several service areas.

The authority cited specific changes in demand and financing: inpatient psychiatric hospitalizations admitted locally rose about 30% over two years; requests for home‑based children and family services rose about 38% in two years; and access to autism services increased roughly 50% over two years. At the same time, Pinter said state actions and administrative choices have reduced the authority's effective Medicaid reimbursements: he described defaulting some enrollees to lower eligibility categories during the state's postpandemic enrollment backlog, and a 5% rate reduction the state applied in 2022. "Since 2022 our revenues have gone up about 6% and our expenditures about 26%," Pinter said, calling the mismatch a threat to ongoing services.

Pinter asked the board to approve a drafted county resolution asking MDHHS to (1) expedite payment of current-year appropriations for behavioral health and (2) adjust how rates are set to better reflect observed demand and cost inflation. He warned that, without state action, the authority could be forced to make deep service cuts: "If Chris has to cut $9,000,000 out of services in October, that's an existential threat to the agency," he said, referring to potential reductions in direct client services rather than administrative costs.

Commissioners who spoke in support said they and their peers have raised the issue with the Michigan Association of Counties and with legislators. Commissioner Vaughn noted that county associations and local advocacy helped in prior fights over rate changes and asked the association to push the same message in Lansing. Another commissioner, speaking from experience on county behavioral health oversight, said repeated letters to the state had not produced timely responses.

The board approved the county resolution (Resolution No. 2025-54) by voice vote; the clerk recorded no opposition. Pinter said county support and a unified message from local governments strengthen the authority's leverage with state lawmakers and MDHHS.

The resolution and Pinter's presentation emphasized that the authority's shortfall reflects a combination of higher demand, medical cost inflation, and delayed or reduced state disbursements. Pinter cited an estimate—based on figures he discussed—of roughly $300 million statewide in unpushed Medicaid appropriations affecting behavioral health services, and he urged the county to press MDHHS to deliver existing appropriations rather than only debating future budget increases.

County officials said they would transmit the approved resolution to MDHHS and their legislative contacts in Lansing. No new county appropriation or program change was enacted at the April 15 meeting; the action was a formal request for state action and a public record of county concern.

The Bay Area and Behavioral Health Authority was created under Michigan law and operates as an agent of Bay County; the county appoints the authority's board. Pinter said the authority is increasing child‑focused services where possible but that deeper, systemic funding adjustments at the state level are required to sustain current service levels.

Next steps: the county will forward Resolution No. 2025‑54 to MDHHS and to legislators; the authority and county officials will continue to press for timely disbursement of appropriated funds and for rate adjustments that reflect current demand and inflation.