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Outback Strong director warns of funding threats to mental health services
Summary
Outback Strong Director Heidi Martinez told commissioners legal fees exceeded expectations and expressed concern about potential cuts to Medicaid and other state and federal funding; she said property purchases from Lake Health District were completed using grant funds and facilities work is underway.
Heidi Martinez, director of Outback Strong, briefed the Lake County Board of Commissioners on May 20 on the nonprofit’s first quarterly financial reports for contracted mental health services and flagged funding risks.
Martinez said legal fees were higher than expected when the budget was prepared and cited the possibility of reduced Medicaid and other state and federal funding as her top concern. "My biggest concern was the potential cuts to Medicaid funding, as well as other State and Federal funding sources," she said.
Martinez also confirmed that property purchases from the Lake Health District had been completed using grant funding and that legal paperwork to transfer ownership to Lake County was in progress. She said remodeling and roof replacement projects on the acquired buildings were underway.
Why it matters: Outback Strong provides behavioral health services that rely on a mix of grants and reimbursements; reduced reimbursement rates or grant shortfalls could affect service levels for county residents.
What’s next: Commissioners noted the report; formal budget or contracting actions related to Outback Strong’s finances were not taken at the work session and may be addressed during regular session or future budget processes.
