By Nebraska Department of Health and Human Services
LINCOLN, Neb. – Recent communications with Managed Care Organizations (MCOs) have indicated some funding will become available in the Medicaid Managed Care Excess Profit Fund which will allow Nebraska to move forward with funding domestic violence support services. These services were authorized under LB261 approved by the Legislature last year. A total of $3 million will be distributed to Nebraska’s statewide network of providers serving survivors of domestic and sexual violence.
“Protecting mothers and children is one of Nebraska’s highest priorities,” said CEO Steve Corsi. “When it became clear that funding would be available, supporting domestic violence prevention and survivor services was an obvious and immediate priority as stated in Governor Pillen’s playbook.”
The funding will support a range of critical services, including 24-hour crisis hotlines, emergency shelter and safe housing, survivor advocacy and case management, transportation and logistical assistance, medical advocacy and crisis intervention, and legal advocacy and aid.
The Medicaid Managed Care Excess Profit Fund is financed through remittances from Managed Care Organizations (MCOs) when profits exceed contractual limits or when required medical loss ratio standards are not met. Because these remittances depend on annual performance, the amount available to the fund can vary significantly from year to year. Prior projections indicated that no funds would be available from this source during the current fiscal year.
While the funding represents positive news for survivors and service providers, the Nebraska Department of Health and Human Services (DHHS) cautions against long-term reliance on the Medicaid Excess Profit Fund for programs. Variability in the fund can create uncertainty when programs depend on it for continued operations. In recent years, additional programs have been designated by the Legislature to draw from this fund, increasing competition for a resource that fluctuates annually.
“DHHS is committed to allocating resources responsibly and using all available funds as efficiently as possible,” said Drew Gonshorowski, Director of the Medicaid & Long-Term Care Division. “While we are grateful for the opportunity to support these services this year, we respectfully encourage legislators to identify stable funding sources to ensure the long-term sustainability of these critical programs.”
In addition to this funding, DHHS continues to support domestic violence services through federal and state funding provided under the Family Violence Prevention and Services Act. The department also funds and supports the Nebraska Domestic Violence Sexual Assault Coalition which oversees statewide program standards and provides support to 19 domestic violence programs across Nebraska.