The Wyoming Department of Health (WDH) has announced the implementation of significant changes to the state’s behavioral health system, following years of planning and collaboration with various partners.
“For many years, our department has allocated millions of state dollars to community mental health centers to ensure access for Wyoming residents seeking care for mental health and substance use issues, regardless of their ability to pay,” said Stefan Johansson, WDH director. “This has been one of our largest budget items and a clear priority, but challenges have persisted.”
A pivotal 2021 law passed by the Wyoming Legislature has facilitated efforts to fortify the state’s behavioral health system. The primary aim is to concentrate state resources on those most in need: acute psychiatric adults, criminal justice-involved clients, high-needs children and families, and low-income and indigent populations.
“We want to ensure that high-needs individuals facing serious mental illness do not fall through the cracks before their needs escalate,” Johansson stated. “As we prepared for these changes, a key focus has been to define the state government’s role.”
The redesigned process aims to allocate state dollars more effectively by supporting individuals who qualify for financial assistance from other sources, such as Wyoming Medicaid or private insurance, instead of relying solely on state funding.
“When Wyoming’s community mental health system was established, there was limited financial support for behavioral health services through private insurance. However, this has changed, presenting an opportunity to share the financial burden,” Johansson explained.
Franz Fuchs, senior policy analyst with WDH, noted, “All residents seeking state-paid behavioral health services must now submit an application through Wyoming Medicaid. While eligibility for Medicaid is not required to receive help, this step will identify other potential funding sources and verify income, citizenship, and residency.”
Without an application on file, WDH will be unable to pay for services received after July 1. “Community health centers and organizations like Enroll Wyoming can assist individuals in completing the necessary application,” Fuchs added.
Utilizing existing systems within Wyoming Medicaid to check eligibility and manage payments to community mental health centers is seen as an efficient solution.
Fuchs acknowledged that some individuals will no longer qualify for state-supported services from the community mental health center network. This includes people with incomes above 200 percent of the Federal Poverty Level (FPL) who do not have significant behavioral health needs. For those in this category without insurance, heavily subsidized insurance is likely available through the federal marketplace.
Provider payments are also undergoing changes. “We’re transitioning from block grants to a combination of block grants, service payments, and outcome payments,” Fuchs said.
“The goal of this redesign is that focusing state resources on high-needs clients will eventually lead to cost savings and reduced pressure on other elements of Wyoming’s behavioral health system, such as waiting lists,” Fuchs explained. “Reducing repeated hospitalizations or diverting individuals from institutional settings would benefit both clients and state facilities.”
Matt Petry, senior administrator of the Behavioral Health Division with WDH, emphasized the significance of these changes. “We recognize that change is not always easy. We are truly grateful for the cooperation and support from our partners in Wyoming’s community mental health centers, law enforcement, local and state correctional facilities, judicial system representatives, Department of Family Services staff, and state policymakers.”
The overhaul of Wyoming’s behavioral health system represents a concerted effort to better allocate resources and address the needs of the state’s most vulnerable populations.
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