Medical assistance reimbursement rates increase for mental health services

This bill proposes increasing reimbursement rates for specific mental health services, such as psychological and neuropsychological testing, to match 100 percent of the Medicare payment rate starting in 2027. It directly affects providers of these services and managed care organizations operating in Minnesota by requiring them to pay at least the same amount as the fee-for-service rate. The legislation also repeals an older rule that capped payments to masters-prepared mental health professionals at 80 percent of the rate paid to doctoral-level professionals. Additionally, the bill includes a provision to adjust managed care contracts if federal approval for the new rates is delayed, ensuring that any rate increases are not lost to the system.