CarePlus NJ CEO: Payments not sustainable despite growth in behavioral healthcare

The CEO of CarePlus New Jersey in Paramus said while behavioral health treatment has been booming — thanks in part to more awareness around mental healthcare — low reimbursement continues to plague the specialty service, according to New Jersey business publication ROI.

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Care Plus NJ CEO Joseph Masciandaro said more patients are seeking treatment as stigma around opioid misuse and other behavioral health issues eases. However, a new reimbursement system put in place by New Jersey’s former Republican Gov. Chris Christie is putting increased pressure on behavioral health providers, according to ROI.

Under the system, Medicaid reimbursement was moved to fee-for-service billing, despite a national trend away from the payment model. New Jersey’s prior payment system for Medicaid was contract-based payments per patient.

Mr. Masciandaro told ROI that being acquired by another hospital isn’t out of the question to remain financially viable.

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Trump’s 2020 budget proposal: 5 healthcare takeaways
CMS terminates Missouri hospital’s Medicare contract
New York hospital unable to collect $38M due to billing system problems

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