New Medicaid Initiative Aims to Improve Mental Health for Children and Teens

North Carolina has launched a new Medicaid initiative called the Children and Families Specialty Plan, aimed at improving physical and mental health care for children on Medicaid and in the child welfare system.

This program was officially launched on December 1, 2023, following a significant investment of $835 million into behavioral health over the past two years. The initiative is directed by the North Carolina General Assembly and operates in collaboration with Blue Cross NC under the name Healthy Blue Care Together.

The need for this program is underscored by alarming statistics: in 2024, one in five high schoolers contemplated suicide, and the rate of children discharged from emergency rooms with a behavioral health condition surged by 70% during the onset of the COVID-19 pandemic.

NC Health and Human Services Secretary Dev Sangvai emphasized that the Children and Families Specialty Plan exemplifies NC Medicaid's commitment to providing integrated and coordinated care for the state's most vulnerable populations.

Approximately 32,000 individuals were automatically enrolled in the plan, including children and young adults under 26 who were formerly in foster care. While the CFSP is funded by NC Medicaid, it faces challenges due to budget cuts from the NC General Assembly, which have resulted in reduced reimbursements for providers and limited access to certain services.

Despite these hurdles, the CFSP is a crucial step towards addressing systemic issues in healthcare access for children and families across North Carolina. The Department of Health and Human Services believes that the CFSP will create a unified system of care that is essential for improving the wellbeing of children facing complex challenges.

This initiative is part of a broader effort to enhance health outcomes for families and children within the state.