Story perspectives

Idaho Providers Sue Over Medicaid Cuts, Patient Safety Risks

11/22/2025

Summary

Story summary

Idaho behavioral health providers sued the Idaho Department of Health and Welfare to block a billing change ending the bundled Assertive Community Treatment (ACT) benefit for Medicaid patients.
They allege the Department cut Medicaid reimbursement rates by 4% in 2025 and acted without proper public notice.
The suit argues the changes threaten patient safety by increasing risks of hospitalization, homelessness, or criminal custody, and seeks to restore ACT reimbursement.

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Story summary

Idaho behavioral health providers sued the Idaho Department of Health and Welfare to block a billing change ending the bundled Assertive Community Treatment (ACT) benefit for Medicaid patients.
They allege the Department cut Medicaid reimbursement rates by 4% in 2025 and acted without proper public notice.
The suit argues the changes threaten patient safety by increasing risks of hospitalization, homelessness, or criminal custody, and seeks to restore ACT reimbursement.