New Mexico is set to conduct a $1 million study aimed at improving services for Medicaid members with serious mental illness. The New Mexico Health Care Authority has contracted Manatt Health Strategies, LLC to carry out this comprehensive assessment. The study will explore ways to enhance health care and social services for individuals with serious mental illness or substance use disorders, who often depend on emergency interventions.
Medicaid Director Dana Flannery emphasized the importance of integrating mental health into overall wellness. "The more we can integrate mental health into whole person care, the more we can do serve individuals who need social support," she said. The study aims to identify service gaps and assess where additional behavioral health funding could aid recovery from substance use or mental illness.
The New Mexico Legislature allocated $1 million for this initiative during its 2025 session. A final report is expected by January 2026, in time for the next legislative session, to guide potential legislation on further behavioral health system funding.
Manatt was chosen through a competitive process due to its expertise in behavioral health services and Medicaid policy. The assessment will involve stakeholder engagement, data-driven modeling, and evaluation of service delivery and financing models. Manatt will collaborate with Milliman for actuarial services and Kaufmann and Associates, Inc., known for culturally grounded research.
The New Mexico Human Services Department is overseeing this project as part of its ongoing efforts to improve state healthcare systems.
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