Louisiana gets approval for inmate Medicaid care before release

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(The Center Square) – Louisiana has received federal approval to use Medicaid funding for certain health services during the 60 days before eligible incarcerated individuals leave prison or jail, with an initial launch planned for early 2027.

The Louisiana Department of Health said Friday that the Centers for Medicare & Medicaid Services approved the state’s Section 1115 Reentry Demonstration. The approval allows Louisiana to receive federal matching funds for covered services before participants return to their communities.

The department plans to begin the program at Elayn Hunt Correctional Center before expanding to the remaining state prisons and participating parish jails.

The announcement did not include projected program costs, the amount of state funding required or an estimate of how many people would receive services.

The Center Square reached out to the department for details on costs, eligibility and how the program would change expenses currently paid by corrections agencies or parish governments.

“Our goal from the beginning has been to build a system that helps keep Louisianians safe while using taxpayer dollars more efficiently and effectively,” Health Secretary Bruce Greenstein said in a statement. “By beginning care before release and connecting people with providers in their communities, we can improve health outcomes and build a more effective, sustainable system of care.”

The demonstration will allow coverage of specified services during a period when federal Medicaid funding is generally restricted by the program’s inmate exclusion.

Eligible participants will receive medically necessary services, including medication-assisted treatment and counseling for substance use disorders, behavioral health assessments and treatment, laboratory and diagnostic services, and durable medical equipment. Participants also will receive a 30-day supply of prescription medications upon release.

Case managers will help coordinate care between correctional facilities and community providers, schedule appointments after release and connect participants with care teams.

“The period right after someone leaves a jail or prison can be one of the riskiest times for their health,” said Dr. Pete Croughan, the department’s deputy secretary. “This waiver lets us treat a person’s addiction and mental health conditions before they’re released, with the same medications they’ll use in the community.”

State officials said the initiative is intended to improve continuity of care and reduce repeat involvement in the criminal justice system. The announcement did not provide estimates of potential savings or projected reductions in recidivism.

Corrections Secretary Gary Westcott said untreated mental health and substance use disorders can contribute to continued involvement in the criminal justice system.

“Connecting individuals with care before they return to their communities gives them a better opportunity to succeed, reduce recidivism, and, ultimately, prevent future victimization,” Westcott said.

Louisiana was one of three states receiving new approvals, alongside Minnesota and Nevada, according to the Health Department. The department said Louisiana would join 18 other states implementing federally approved reentry demonstrations.

Louisiana Medicaid Executive Director Seth Gold said the state is developing the systems and partnerships needed to keep eligible participants connected to their health plans and providers after release.

The department did not announce a schedule for expanding the program beyond Elayn Hunt or identify which parish jails would participate.