Recipient of BRG Innovation Award for Cost helped stabilize region’s behavioral healthcare system

A team comprised of employees from the Behavioral Health and Recovery Division, Finance and Compliance Services, and Performance Measurement and Evaluation in the Department of Community and Human Services (DCHS) is the recipient of the 2023 Best-Run Government (BRG) Innovation Award for Cost. The award was one of eight announced by Executive Dow Constantine in a video.

The Behavioral Health Medicaid Rate Increase Project Team was instrumental in increasing rates for behavioral health providers, who have been struggling to attract and retain staff at a time when the County seeks to increase access to behavioral health services and treatment.

In 2023, staff vacancies in the behavioral health system were double what they were in 2019, and the workforce was paid 20 percent less than comparable physical healthcare workers. “At King County, we envision a behavioral health system that is connected, accessible, and culturally responsive, and can meet the growing need for care,” said Executive Constantine. “None of this is possible without a strong workforce.”

Referencing a study by the research firm Milliman, which found rates for behavioral health providers must increase dramatically to cover their true costs, the DCHS project team conducted its own evaluation of provider revenue and expenditures and estimated that rate increases of 30 to 150 percent (depending on service type) were required to bring the region’s behavioral health system closer to the rate structure identified by Milliman.

To get more funds into the behavioral health system, the project team collaborated with the state and more than 40 behavioral health agencies and managed care organizations in the King County Integrated Care Network. In July 2023, King County announced an investment of $30 million in partnership with the managed care organizations in the network, resulting in a 15 percent Medicaid rate increase that will help providers increase salaries, address other workforce challenges, and bring more stability to the behavioral health system in our region.

“Investing in the infrastructure, collaborating with the state, and partnering with providers and workers will help create solutions that support people in crisis,” said Kelly Rider, director of the Department of Community and Human Services. “We are taking action on what is most urgently needed right now and have an opportunity to transform an aging system and restore a path to recovery.”

The Executive’s Best-Run Government Awards recognize individuals and project teams that are committed to improving the equity, efficiency, and effectiveness of how King County operates. “The DCHS team’s data-driven analysis of the problem, persistence in exploring solutions, and collaboration with those who are most affected perfectly aligns with our Executive branch values,” said Dwight Dively, director of the Office of Performance, Strategy and Budget and sponsor of the BRG Innovation Award for Cost.