The agency’s budget for FY 2024 is more than $22 million less than last year's budget.
According to the agency’s Chief Operations Officer Dawn Handley, these programs allow less flexibility in how funds are used. Whereas the Medicaid 1115 functioned like a grant that supported entire programs, the state's new model ties funding to the number of units of service the organization delivers. During FY 2022, Integral Care did not deliver as many services as the state expected and must return $1.6 million to the state as a result, Handley said.
Additionally, organization leaders said, $4 million in expected funding from the Legislature did not materialize this session. Instead, lawmakers approved only $400,000 in annual payments over the next two years. "[We] worked diligently to reduce the shortfall as much as possible," she said at a budget forum earlier in August."In addition to looking at new and existing funding streams, we also looked at ways to reduce administrative costs and more. We'll continue these efforts into the next year as well."
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