ALBUQUERQUE, N.M. - Mental-health centers that dispense as much as 85 percent of New Mexico's mental health, PTSD and substance abuse services may be locking their doors and going dark, because of claims of suspicion of fraud after an audit. Human Services Secretary Sidonie Squier stopped state and Medicaid funding to 15 providers in June.
Efforts to get that funding restored have failed thus far, and Squier has called on Arizona agencies to take over.
According to State Senator Jerry Ortiz Y Pino, moving control of this number of New Mexico services to Arizona agencies is unprecedented.
"They will be, in my mind, a serious disproportionate power," he said. "So when the individual therapists go to negotiate, they might be told, 'We're only going to pay you $25 an hour: take it or leave it.' And they won't have anything to fall back on. I think that's what's really underlying this. It's an attempt to make sure that the new behavioral health care will be much more profitable for the corporate entities that operate it," Ortiz Y Pino charged.
Governor Susana Martinez has said her administration wants to make sure there is no fraud, waste or abuse taking place. She added that there will be no loss of services to the mentally ill and substance abusers.
Ortiz Y Pino said however it will likely take six to eight weeks for the audit to be completed, and by that time, he believes many of those agencies will be forced to close.
Ortiz Y Pino, who is himself a social worker, pointed to the human cost of withholding funds from the largest mental health care providers across the state.
"I think the Secretary is thinking of bringing in the new management company as if the people being served were automobiles in a car pool," he charged. "It ignores the fact that in behavioral health each client has established a relationship with providers. And you can't just replace that overnight and say, 'Go ahead and continue spilling your guts to them on the same basis you did the previous people. And all is going to be well.'"
Patric Hooper, a California attorney representing eight mental health service providers in New Mexico, filed a motion for an injunction with the U.S. Tenth Circuit Court of Appeals Monday. He said his clients are asking both the circuit and the district court for the same thing.
"We are contending that we have a right to a hearing to challenge these allegations of fraud before we can have our money suspended any longer and before we can be disparaged in the newspapers."
Hooper hopes to know the decision of the Court of Appeals by next week.
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The word "fraud" is likely to circulate in the upcoming Minnesota legislative session. One political expert said state agencies are being targeted but the response requires careful thought.
The recent Feeding our Future scandal has spurred demand for more oversight of government spending in Minnesota. There are renewed concerns about organizations claiming to provide various medical services but engage in phony Medicaid billing.
Tim Lindberg, associate professor of political science at the University of Minnesota-Morris, said larger entities are making a more coordinated effort to defraud key agencies. He pointed out it mirrors global crime rings preying on consumers.
"There is some legitimate concern out there but it is also a global phenomenon that is increasing in size and importance," Lindberg observed. "I think government from the top down needs to sort of figure out a new way to deal with this."
Lindberg pointed out the state has investigative resources and internal controls but he thinks the public sector at large likely has some outdated monitoring approaches, especially as technology evolves. He argued it is important to remember agencies in the spotlight are helping people in need who are not part of these scams, and even with the best controls, completely eliminating fraud is impossible.
The cases have garnered headlines and since Democrats have the upper hand in controlling Minnesota government, Lindberg predicted Republicans will use the trend as part of their push for restrictions or cutbacks. He believes Democrats might agree to certain moves to win back public trust but stressed fraud against government is not a partisan issue.
"People doing these frauds, they don't care who's in office," Lindberg asserted. "They don't care who's in power. And Republicans and Democrats themselves have been in various levels, in various states, overseeing governments where this happens."
Taxpayer dollars are at the center of what's happening. Lindberg added the private sector must also mitigate fraud with steps like major retailers locking up essential items in cases. He suggested lawmakers have to avoid veering off-path.
"What are these ways in which government can work better, more efficiently, but also not eliminate the benefits that these programs are designed to do?" Lindberg asked.
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Four east Texas communities will share more than $1 million in grant money to upgrade their radio infrastructure systems.
The grants are funded by House Bill 442 from 2011 and construction is slated to start next year.
Lindsay Vanderbilt, director of communications for the East Texas Council of Governments, said smaller communities do not have the budgets to upgrade equipment regularly and the funds will improve security for first responders and the community.
"It's kind of a lot of technology that people don't think about," Vanderbilt pointed out. "In the governmental world, these are systems that are in place to handle emergency response and to back up that response system for safety. "
The projects will take place in Rains, Harrison and Van Zandt counties and the City of Kilgore.
Funds in the State Emergency Radio Infrastructure program are distributed by the governor's office. Vanderbilt noted the council of governments is the primary planning entity for 911 communications in 14 east Texas counties.
"It's very common for these opportunities to get proposed to us by the state, and then we connect with our local governments and we reach out to them to see who has needs and who would be eligible to apply," Vanderbilt outlined.
She added the Rains County project will address a serious communications problem.
"They're currently having severe operability issues and it's actually keeping their officers and their dispatch from being able to communicate effectively all the time," Vanderbilt observed. "That's a safety risk for the officers, it is for the public."
Other projects include construction of new Motorola towers and expansion of the TX-WARN program, which works with water and wastewater utilities during system outages.
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A new study provides New York State with an outline of necessary updates to its school funding formula.
The Rockefeller Institute study called for improving several areas such as the Regional Cost Index, which has not been updated in 18 years. Other focus areas include the poverty metric, which does not give a comprehensive picture of students' needs.
Randi Levine, policy director for Advocates for Children of New York, said other updates should have been considered.
"We're disappointed that there are no recommendations to add weight for students experiencing homelessness and students in foster care so that schools can better meet their needs to provide per-pupil funding for preschoolers in pre-K and 3-K," Levine explained.
She added the provisions could be passed through bills introduced by lawmakers.
More than 155,000 New York State public school students were homeless during the 2022-2023 school year. Of those, 120,000 were New York City Public School students. Columbia University found the current Foundation Aid formula uses poverty numbers from the 2000 Census and cost-of-living averages from 2006.
The Rockefeller Institute study suggested numerous ways for lawmakers to update the school funding formula. However, Levine argued some of them must be assessed for their efficacy, including a recommendation to update the poverty measure and provide a different way to measure it.
"The study provides a few different ways of doing that," Levine observed. "The study notes one of the proposals for how to change that weight would result in New York City seeing a projected decrease of around $392 million."
Other recommendations in the report included using a scaling aid approach to better supply funding for students with disabilities, a new adjustment based on instruction service hours for English Language Learners and letting school districts use Foundation Aid dollars for general education purposes, rather than regimented direct spending.
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