Hall: Process to Recoup Funds Owed to State’s Mental Health Providers Is Unfair

The Hogan administration has launched the first steps to recoup roughly $220 million in funds from Maryland’s mental health and addiction treatment providers. The recoupment of these funds is unfair and dangerously destabilizing to Maryland’s public behavioral health system. The Hogan administration selected Optum as the vendor to manage the state’s Administrative Services Organization, which pays claims for publicly funded mental health and addiction treatment. Optum’s claims processing system launched in 2020 and promptly failed, causing MDH to issue advances – or estimated payments – for a seven-month period that overlapped the disruption and chaos caused by the onset of COVID-19.