By Tom Schramski, PhD, CM&AA
Volume 3 Issue 25, December 6, 2016
Going forward into the Trump presidency, one thing is certain: US healthcare insurance will change. HHS Secretary nominee Tom Price is a vehement ObamaCare critic. When he takes the reins we can expect a revamp of both the Affordable Care Act (ACA) and Medicaid.
The most likely change will be an attempt to control costs by restructuring Medicaid from a federally-run program into a set of block grants at the state level. If history is any guide, this will result in reduced reimbursement for treatment services, which is very bad news for Addiction Rx providers and the communities they serve.
Given the seriousness of the situation, we recommend that Addiction Rx providers take immediate steps to 1) apply political pressure to prevent a move to block grants and 2) position their company to adapt quickly if and when that change takes place.
To apply political pressure, contact your U.S. senators and member of Congress and emphasize that the rampant growth of addiction in your state is a crisis situation to which the proper response is an increase in funding, rather than seeking cost savings.
You might also ask your clients to do the same, since they're the people whose health will be at risk if the new administration implements block grants.
At the same time, take immediate action to position your company to successfully pivot and adapt to any changes that might be coming. Specifically, we recommend the following:
Above all, you cannot afford "hunker down and hope for the best" as a response to TrumpCare. Instead, you must take action NOW to ensure that you're ready for the changes to come.
Tom was the Founder and Managing Partner of VERTESS. He was a Certified Merger & Acquisition Advisor (CM&AA), consultant, and Licensed Psychologist with over 35 years of very successful national experience in the healthcare marketplace, including co-founding and building a $25 million behavioral health/disabilities services company. Tom represented sellers and investors across the healthcare spectrum and was recognized for his executive leadership in the 2005 Entrepreneur of the Year issue of Inc. Tom passed away in December 2018.