We hope you’re finding time to enjoy the Montana summer – rivers, mountains, maybe a break in the A/C from that 112-degree heat wave – even as things have stayed plenty active on the policy side.
There continues to be a lot of irons in the fire – but first we want to start with a thank you: to BHAM members, partners, legislators, and community members who spoke out about the importance of adequate Medicaid reimbursement rates. That advocacy mattered, even though DPHHS ultimately moved forward with cancelling the planned 3% provider rate increase for the coming fiscal year… a disappointing outcome despite the widespread concern raised.
We also want to welcome our two new BHAM Board Members: Chantelle Plauche (L’Esprit) filing an Adult Mental Health seat and Lesli Asay (New Day Inc.) filing an SUD seat.
Here’s what else has been going on this summer:
Community Engagement (Medicaid work requirements)
Montana began enforcing new federal Medicaid community engagement requirements on July 1, six months ahead of the federal deadline. This is directly relevant to your clients: non-exempt Medicaid Expansion adults must now log 80 hours/month of work, training, education, or community service to keep coverage, or qualify for an exemption.
The exemption most likely to affect our members is medical frailty, and it’s worth watching closely: the qualifying diagnosis list has only three SUD diagnoses and doesn’t include common serious mental illness diagnoses like bipolar disorder or generalized anxiety disorder. DPHHS says the list will be updated over time, which means member feedback now could shape what’s covered later. Verification is also still mostly manual – the state’s claims interface is months from launch – so clients may get requests for documentation directly.
A few key things to know:
- Hold-harmless period runs July–September, with self-attestation accepted and no disenrollment for noncompliance. Full enforcement starts October 1, 2026.
- Help clients watch their mail and email for DPHHS notices, and let BHAM know what you’re seeing– impacts on clients, staff time, confusion points. Story-collection groups are also looking for people willing to share their experience; if someone comes to mind, we can make the connection.
DPHHS’s single source of truth for these changes: dphhs.mt.gov/medicaidchanges — they update the FAQ regularly, so keep an eye on that, too.
DPHHS’s presentation at Children, Family, Health and Human Services Interim Committee on July 8 includes more information (slides 4-22).
Montana’s CCBHC Demonstration
In May, HHS announced Montana as one of 10 new states named to the federal Certified Community Behavioral Health Clinic (CCBHC) Medicaid Demonstration Program. DPHHS estimates roughly $40 million will flow into Montana’s behavioral health system in the program’s first year alone. BHAM has been working for years to support CCBHC in Montana, and we are so excited and proud to share that three BHAM members are part of this effort: Eastern Montana Community Mental Health Center, Many Rivers Whole Health, and AWARE!
DPHHS is also planning a webinar for community partners on the CCBHC rollout – keep an eye out!
Rural Health Transformation Program
Montana has $233M in Year 1 RHTP funds, with $130M+ obligated or in process. Most relevant to behavioral health: workforce planning includes a soft target of training 15 psychiatric nurse practitioners per year, and the 25-member Center of Excellence Advisory Council was just announced.
DLI held a July 16 webinar clarifying how RHTP’s five-year service commitment (Initiative 1.1) will likely work. Service commitments will be triggered by portable benefits like stipends, subsidized training, or new credentials, but not by capacity-building funding or peer support/CHW/doula roles (excluded federally). Details like how breaks in service are handled are still being worked out; full terms will come via signed contract and public guidance.
The next Stakeholder Advisory Committee meeting is August 6 in Bozeman. Register to watch by July 24.
Governor Gianforte’s Licensing Reform Task Force
The task force finalizes its recommendations at its last in-person meeting on August 21 at Montana Tech in Butte; those recommendations then go into a report due to the Governor by September 3. These are recommendations – not final rule or law. The Governor, and in some cases the 2027 Legislature, would still need to act on them before anything changes.
You can also submit public comment directly, in person or virtually at committee meetings or in writing through the task force website. Upcoming meetings and task force materials can be found here.
Forensic psychiatric facility: site finalized, now facing a lawsuit
The state has finalized Laurel as the site for its new forensic psychiatric facility, intended to relieve the backlog at Montana’s only existing forensic facility in Galen, where the waitlist has topped 120 patients. The facility was originally described as 32 beds, but could now expand to as many as 64.
A Laurel resident group, Laurel C.A.R.E.D., has filed suit seeking to halt construction, plus a separate complaint over how the site was selected and funded. The project continues to be hotly debated within the local community, and the case is still developing – a resolution could affect the construction timeline.
Please reach out to me if there is anything you need. When we work together, we can solve all the problems out there!
Stay safe. Stay healthy.
Sierra
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