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Nebraska mental health advocates push back on funding cuts

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Wednesday, April 23, 2025   

Nebraska lawmakers are considering a bill to ensure managed health care companies cannot limit the state reimbursement rate for mental health service providers.

Advocates for the bill want to make sure in the future, the companies could not negotiate a lower rate. Right now, there's no requirement they use the posted rates, it has just been the practice. Legislative Bill 380 would keep "guardrails" in place.

Annette Dubas, executive director of the Nebraska Association of Behavioral Health Organizations, said providers have worked for 20 years just to get the reimbursement rates to meet the minimum state standards.

"Nebraska's rates were, two decades ago, towards the bottom," Dubas pointed out. "We've worked hard over those last two decades to get rates built up. It comes down to the ability to build capacity, so that people who are in need of mental health care can access that mental health care."

Dubas noted the bill was introduced after Nebraska autism care providers had to fight an effort to reduce their reimbursement rates last year. It awaits action in committee. Dubas emphasized her group opposes an amendment to remove the minimum pay "guardrails."

Dubas explained low wages and often challenging working conditions already make it difficult to find mental health care professionals, and lower reimbursement rates mean even lower wages and less stable employment. She added protecting the rates already in place is critical to ensuring the ability to recruit and retain workers.

"If rates do not stay up where they need to be, it just puts that much more pressure on these providers to be able not only bring in new workforce, but to retain the workforce that they have," Dubas explained. "Burnout is a huge issue."

Dubas added any rate adjustment legislation could also complicate a reimbursement process she described as already confusing and complex in Nebraska.

Disclosure: Nebraska Association of Behavioral Health Organizations contributes to our fund for reporting on Alcohol and Drug Abuse Prevention, Children's Issues, Health Issues, and Mental Health. If you would like to help support news in the public interest, click here.


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