Healthcare Reform, and Substance Use Disorder (SUD) Treatment

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Healthcare Reform, and Substance Use Disorder (SUD) Treatment Deni Carise, Ph.D Deputy Chief Clinical Officer, CRC Health Adjunct Clinical Professor, University of Pennsylvania, School of Medicine

Disclosures Employment: CRC Health Group Faculty: Adjunct Clinical Professor: University of Pennsylvania, Perelman School of Medicine Disclaimer: National Perspective 2

Let s look at. How Parity and Healthcare reform will affect substance abuse treatment in our country and How can treatment providers respond to the new demands of the field?

2 Major Federal Activities Impacting Substance Use Disorder Treatment: The Parity Act (MHPEA) Federal Healthcare Reform (ACA) 4

The Parity Act The Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act (MHPEA) Signed into law September 23, 2008 Effective January 1, 2010

What is Parity anyway? Insurance plans offering mental health and substance abuse treatment can no longer offer coverage that differs in dose, frequency or quantity from coverage for physical health services such as diabetes or cancer.

But Notice the wording insurance plans offering mental health and substance abuse treatment.. The Parity Act doesn t require that insurance plans include coverage for Substance Abuse and Mental Health treatment.

But.Parity s OK with me Healthcare Reform, passed in 2010, mandates the inclusion of substance use treatment as one of the TEN Essential Benefits: It must be included by all companies offering health insurance

Essential Health Benefits (EHB s) 1. Emergency services 2. Hospitalization 3. Outpatient Care 4. Maternity and newborn care 5. Mental health and substance use disorder services 6. Prescription drugs 7. Rehabilitative services and devices (skilled rehab) 8. Laboratory services 9. Pediatric services 10.Preventive/Wellness services (disease mgt) 9

Healthcare Reform The Patient Protection and Affordable Care Act (P-PACA, ACA, Obamacare) Signed into law by the President March 23, 2010 Full Implementation will occur by 2014 Or not

Healthcare Reform It could just go away, couldn t it? Let me show you why.

It won t just go away Healthcare 24% Defense 19% Poverty Assist. 17% Social Security 21%

Think you know. The GOAL of Healthcare Reform?

Healthcare Reform implemented first insurers cannot discontinue insurance once you get sick...insurers cannot deny coverage for pre-existing conditions insurers must allows parents to keep kids on their insurance till age 26

Healthcare Reform (ACA) Two ways Healthcare Reform will make insurance available to more Americans: 1. Expansion of Medicaid 2. Insurance Exchanges

Estimates on Healthcare Reform In total, the CBO (Congressional Budget Office) estimates that the ACA will cover 27 million previously uninsured individuals 12 million more in Medicaid expansion and 15 million in marketplace insurance plans

1. Medicaid before ACA Prior to ACA, Medicaid generally wasn t available to healthy males or singles without children And the person/household had to show income below the federal poverty level The Federal Poverty Level? $11,490 for an Individual $23,550 for a Family of 4

1. Expansion of Medicaid allows States to expand Medicaid to all Americans @ 138% of FPL (Federal Poverty Level) beginning in 2014 The Federal Poverty Level? Individual goes from $11,490 to $15,856 Family of 4 goes from $23,550 to $32,499 However, in 2012, the Supreme Court rendered the expansion optional and not all states will participate.

Medicaid Expansion by State http://www.advisory.com/daily-briefing/resources/primers/medicaidmap#lightbox/0/ 19

Why should States opt in? Under the health care law, the federal government will pay 100% of the costs of covering people newly eligible for Medicaid from 2014 through 2016, after 2016, the federal share will diminish until it reaches 90 percent in 2022 and future years. That compares to an average 60 percent of costs the federal government pays states to cover current Medicaid beneficiaries. 20

Why might States opt out? Belief it "expands Medicaid to unsustainable levels. (Tom Corbett, PA) Covering the additional 10% after 2022: 10 percent is still real money, and state costs could escalate as time goes by Belief feds will not hold to promise to cover 90% in future years. 21

How many have enrolled? Washington Post, Feb 13, 2014 Six Million new Medicaid enrollees Oct- Dec 2013, (since enrollment available, but..) 22

2. Insurance Exchanges 23

2. Insurance Exchanges Beginning on October 1, 2013, individuals, families, and small businesses were able to purchase private health insurance through competitive marketplaces called Exchanges, now also known as Health Insurance Marketplaces. There are significant variations in state exchanges 24

Health Insurance Marketplaces? Think of Flo http://kff.org/health-reform/video/health-reform-hits-main-street/ http://kff.org/health-reform/video/youtoons-obamacare-video/

Types of Plans and % Coverage Catastrophic Bronze Silver Gold Platinum <60% of the total average costs of care 60% of total average costs of care 70% of the total average costs of care 80% of the total average costs of care 90% of the total average costs of care

Who Qualifies for Lower Costs? Beginning 2014 (?) sliding scale for up to 400% of FPL Number of people in your household Income range to qualify for lower costs 1 $11,490 to $45,960 2 $15,510 to $62,040 3 $19,530 to $78,120 4 $23,550 to $94,200

Permissible Price Bands The only price bands permitted for insurance coverage will be: 1. Age 2. Tobacco use 3. Geography, and those bands will be restricted.

PA Catastrophic Costs Individual Plan Philly Over 50 Philly Under 50 Aetna Basic HMO Aetna Basic PPO $291 $171 $297 $174 Personal Choice, Independence Blue Cross PPO $314 $184

PA Platinum Costs Individual Plan Philly Over 50 Philly Under 50 Keystone HMO, Independence Blue Cross Personal Choice, Independence Blue Cross PPO $556 $326 $608 $357

How many have enrolled? April 2, 2014 President Obama on Tuesday announced that at least 7.1 million people had signed up for coverage through the Affordable Care Act's (ACA) federal and state insurance exchanges. http://www.advisory.com/daily-briefing/2014/04/02/early-numbers-are-in-atleast-7m-have-signed-up-for-obamacare 31

Healthcare Reform & SA Treatment It is estimated that 20-40% of substance abuse treatment programs will not be ready for healthcare reform. Why such an impact specifically on substance abuse treatment in America?

HCR Why Such an Impact? Historical factors that impact the SUD treatment field: 1. Who do we treat? 2. Reliance on The Block Grant

Who do we Treat? In treatment: ~ 2,300,000 Abuse/Dependent? Low Level Use ~ 23,000,000 Harmful Users 40,000,000 Little or No Use

Question 1: What about the 20,700,000 who didn t get care? Gap In Treatment ~ 2,300,000? Abuse/Dependent ~ 23,000,000

What happened to.. 23,000,000 met criteria for substance abuse or dependence 2,300,000 received treatment 20,700,000 wanted it & turned away? 800,000 # who say they tried to get treatment and could not. 19,900,000 Didn t try to get treatment

Most People in Need of Addiction Treatment Do Not Receive It Penetration Rate (% with Disorder who receive Treatment) 80% 60% 77% 73% 71% 40% 20% 0% 10% Substance Use Disorders Hypertension Diabetes Major Depression 37

We owe it to ourselves, our clients and the field to do better

Question 2: What about those 60,000,000 Harmful Users? 1. How do they effect Healthcare? 2. How do they effect our neighborhoods 3. What are their costs? 4. What are we doing about them? HINT: THEY PLAY PROMINENTLY IN HCR

The Federal Block Grant Treatment in Specialty Care Programs Not held to same standards as healthcare 40

Reliance on the Block Grant Community-based substance abuse treatment providers don t deliver care, document services, bill, or get paid like other healthcare providers. 41

Payments Accepted (2011 data) Accepts Yes No Medicare 66% 34% Medicaid 58% 42% Health Insurance 65% 35% Cash (Really?) 91% 9% *2011 N-SSATS Data (N=13,720)

Reliance on the Block Grant Opinion In the next few years it is highly likely states will receive reduced funding from the Block Grant due to coverage provided by ACA States will want to move payment from block grant to Medicaid and insurance dollars. Federal forces will continue to push to reduce the 1.6 Billion Block Grant Funds.

Reliance on the Block Grant Opinion Federal forces will continue to push to reduce the 1.6 Billion Block Grant Funds. After all there s no CANCER block Grant, right?

Wow Deni - That s amazing! What should the field do? (My best guess )

T0P 6 Activities to Thrive in HCR 1. Deliver effective/evidence-based practices 2. By educated, credentialed staff 3. Document and bill insurances and Medicaid like other healthcare providers 4. Partner with other types of providers 5. Integrated Electronic Health Record Systems 6. Develop additional, engaging, new types of interventions.

47 1. Evidence-Based Practices?

Evidence-Based? How do we know which treatments work? Hint We don t get to call something Evidence-Based because we think it works, people like it or everyone emotes

Evidence-Based? The FDA approves a treatment if: 2 Randomized Clinical Trials, Usually by Separate investigators Placebo Control or, in our case TAU Comparison Do any substance abuse treatments meet these standards? SURE

Evidence-Based Treatments in SA? Medications for use in Addiction Alcohol: Disulfiram, Naltrexone, Acamprosate Opiates: Naltrexone, Methadone, Buprenorphine Cocaine: Disulfiram, Topiramate, Vaccine (soon).

Evidence-Based Treatments in SA? But what about nonpharmacologic treatment? Sure

Evidence-Based Treatments in SA? Therapies Cognitive Behavioral Therapy Motivational Enhancement Therapy Behavioral Couples Therapy Multi Systemic Family Therapy 12-Step Facilitation Individual Drug Counseling Dialectical Behavior Therapy

What about EBP Registries? NREPP CJS Registries State Registries Insurance Registries

What to Look for in SUD Treatment: 1. Do they use Evidence-Based practices? 2. Do they have educated, credentialed staff? 3. Will they partner with you on goals and discharge planning? 4. Do they measure and report on their performance? 5. Are they accredited: JCAHO, CARF? 6. Do they have a Continuum of Care?

5. Use of integrated Electronic Health Record Systems Fully executed Electronic Health Record System

Fully Executed Electronic Records 1. Clinical Data Collection 2. Billing 3. Interoperability/EDI s 4. Reports (Client, Counselor, Referral sources) 5. Management by Performance Decisions based on data 6. Performance Measurement System 7. Quality Assurance Reports to regions 56

Remember the AA line All you have to do is: Don t drink and come to meetings.

Remember the AA line And remember the day they told you it s really: Don t drink, come to meetings and change your whole life

Well. Transitioning to Electronic Health Records is just like that.

6. Develop additional engaging, effective Substance Abuse Treatment Increase delivery of new types of services: Mobile services Services in schools Services in medical settings Increasing use of SA medications Creating protocols for safe effective management of drugrelated offenders in community settings

Take Treatment from Here: Facility - Based (Bricks & Morter)

To Delivering Services Here: Facility - Based (Bricks & Morter) With ACO s School Based Home Based In Medical Healthcare Settings Online Or Web Based

Provide Services for those here:? Treating only the most acutely impaired clients Low Level Use Little or No Use

& Add Services for those Here:? Low Level Use Add treatment options for less severe clients Little or No Use

Four Take-Home s 1. Addiction treatment will evolve into more comprehensive Substance Use Disorder Care and be integrated into healthcare - Partnerships and collaborations will be critical

Four Take-Home s 2. Our Work Impacts: the general healthcare field, the criminal justice system, the foster care system, employers, insurers, our clients and their families, and our neighborhoods. When someone with a SUD makes progress toward recovery or maintains stable recovery, everyone wins.

Four Take-Home s 3. Now more than ever, our field needs to rise to the challenges and opportunities facing us, to demonstrate our contributions and to show our value.

Four Take-Home s 4. We owe it to ourselves, our clients and the field to keep improving our care delivery and to help others to do the same. So in every town and every program, one more person can get into recovery

Four Take-Home s

70