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Authors Posts by Jim Sharp

Jim Sharp

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Last year, RCPA met with its provider members regarding the provision of group psychotherapy services via telehealth in the client’s home. RCPA then met with the Office of Mental Health and Substance Abuse Services (OMHSAS) to discuss the possibility of allowing this flexibility in an effort to fully realize the use of telehealth technology to enhance access.

Today, the Department of Human Services’ Medical Assistance (MA) Bulletin #99-25-02 outlines revisions to the MA fee schedule. The following changes are specific to behavioral services and are effective May 1, 2025:

  • Procedure code 99452 (Interprofessional Services) is now open for provider type (PT)/Specialty combination 08/184 (Outpatient Drug and Alcohol).
  • Place of Service (POS) 10 — Telehealth Provided in Patient’s Home is now available to use with the procedure code 90853 (group psychotherapy) for PT/Specialty combination 08/110 (Psychiatric Outpatient).

Please see the section titled “Behavioral Health Services” on page 6 of the bulletin for additional information related to these revisions.

If you have questions about these changes, please reach out to OMHSAS electronically or RCPA COO and Policy Director Jim Sharp.

RCPA, in partnership with the National Council for Mental Wellbeing, requested that Governor Shapiro proclaim May as Mental Health Awareness Month in Pennsylvania. RCPA received the following proclamation from the Governor’s office, and we thank Governor Shapiro, his administration, providers, and systems stakeholders for their commitment to serving this vulnerable population.

The Office of Child Development and Early Learning (OCDEL) has released the outcomes from the Early Intervention (EI) Rate Methodology Study that concluded in the Fall of 2024. A key focus of the RCPA Early Intervention Steering Committee’s strategic agenda has been the review of how rates have been historically developed, including the lack of sustainable rate increases that have taken place over the past two decades. In our collaboration with OCDEL and other early intervention stakeholders, the goal was the development of a quantifiable rate methodology that uses the cost of care as a driving variable in the rate development matrix.

The EI Rate Study Final Report has been added to DHS website and can be viewed here. The study was the culmination of a year-long effort led the Public Consulting Group (PCG) and an Advisory Committee, which RCPA and other provider members were a part of.

The report reviewed the methodology and formulary variables for rate calculations across several operational dimensions of early intervention services, including staffing, operations, administration, and the calculation of how missed and cancelled visits intersect with actual costs.

The final funding review of the estimated Commonwealth fiscal impact was calculated using the number of service units provided during FY 2022/23 for Early Intervention services, current Federal Medical Assistance Percentage (FMAP), and county contributions. Services with a recommended rate decrease were kept at the current rate when calculating Commonwealth fiscal impact. The result indicated that for FY 2022/23, the rates were underfunded by more than $71M, or roughly 38% of the FY 2022/23 rate.

This year there is a proposed State budget increase of $10M that is targeted to aid Early Intervention providers in stabilizing their workforce infrastructure. This would be a 3% increase over the FY 2023/24 rate. There was no rate increase last year in anticipation of the rate methodology study report. There was hope that the study outcomes, which ended in September 2024, could have made a greater impact on this year’s projected rate increase. That notwithstanding, RCPA fully supports and will be advocating that the proposed $10M funding allocation be approved for Early Intervention services in the final budget. Additionally, there is a projected Medicaid allocation of $12.6M, for a total $22.6M that will go to the final rates for FY 2025/26.

Finally, the report indicated that between the periodic rate studies, PCG recommends that OCDEL implement a rate monitoring program to measure costs annually against payments. This monitoring should also measure inflation, and OCDEL should adjust rates annually to match the rate of inflation.

RCPA thanks OCDEL and our members for the partnership in the project and looks forward to the opportunity to work together in supporting and advocating the implementation of rates that support the cost of delivering high quality Early Intervention services to the children and families of the Commonwealth.

If you have any additional questions, please contact RCPA COO Jim Sharp or IPRC Policy Director Cindi Hobbes.

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The Senate Appropriations Committee held the 2025 Department of Human Services (DHS) Budget Hearing at the Capitol in Harrisburg on Wednesday, March 5, 2025. DHS was represented by Secretary Dr. Valerie Arkoosh and Gloria Gilligan, Director of Fiscal Management, Office of the Budget. Other DHS leadership was also present.

The Senate Appropriations Committee was equipped with questions surrounding the proposed $21B DHS budget that focused on intersects with operating critical services for vulnerable Pennsylvanians across the human services landscape. RCPA submitted questions to the House Appropriations Committee’s legislators that voiced the concerns of the membership across all policy areas.

The hearing today covered several of those questions, including:

  • The projected $2.5B dollar increase in the capitation and intersects with Medicaid unwinding in PA;
  • Impacts of potential federal Medicaid cuts on state Medicaid funding;
  • Addressing IDD waitlists and funding;
  • The ongoing funding of SNAP benefits and how the state is addressing fraud, waste, and abuse;
  • Efforts to stabilize the human services workforce infrastructure with hiring and retention funding;
  • Maternal Health Care funding;
  • The viability of funding for the PA Medicaid 1115 Waiver;
  • Childcare and early education funding, including $10M in early intervention workforce monies;
  • Concerns about the fiscal and operational risks of covering GLP-1 medications; and
  • The absence of a unified plan for the allocation and implementation of the $100M in school-based mental health funding.

View the 2025/26 Department of Human Service Blue Book for in-depth budget information. Members can watch the full hearings and read the transcripts below:

Contact your RCPA Policy Director with any questions.

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Photo by Joakim Honkasalo on Unsplash

The House Appropriations Committee held the 2025 Department of Human Services (DHS) Budget Hearing at the Capitol in Harrisburg on Tuesday, March 4, 2025. DHS was represented by Secretary Dr. Valerie Arkoosh and Gloria Gilligan, Director of Fiscal Management, Office of the Budget. Other DHS leadership was also present.

The House Appropriations Committee was equipped with questions surrounding the proposed $21B DHS budget that focused on intersects with operating critical services for vulnerable Pennsylvanians across the human services landscape. RCPA submitted questions to the House Appropriations Committee’s legislators that voiced the concerns of the membership across all policy areas.

The hearing today covered several of those questions, including:

  • The projected $2.5B dollar increase in the capitation and intersects with Medicaid unwinding in PA;
  • Impacts of potential federal Medicaid cuts on state Medicaid funding;
  • Addressing IDD waitlists and funding;
  • The ongoing funding of SNAP benefits and how the state is addressing fraud, waste, and abuse;
  • Efforts to stabilize the human services workforce infrastructure with hiring and retention funding;
  • Childcare and early education funding, including $10M in early intervention workforce monies;
  • Concerns about the fiscal and operational risks of covering GLP-1 medications; and
  • The sustainability of State human services with the increases over the last several years.

RCPA will continue to monitor the hearings and subsequent reporting, and we plan to provide an overview of the Senate Appropriations Committee DHS Budget Hearing held today, March 5. If you have any questions, please contact your respective RCPA Policy Director.

Members can watch the full hearings and read the transcripts below:

Photo by René DeAnda on Unsplash

RCPA provided some late updates yesterday on the Federal funding freeze, and late last evening, the National Council for Mental Wellbeing provided members a legal interpretation on the rescinding of the Office of Management and Budget (OMB) M-25-13 and the issuance of the new memorandum M-25-14.

The following is from the National Council:

On Wednesday afternoon, the White House Office of Management and Budget issued a new memorandum—M-25-14 — that rescinded the pause to federal funding contemplated in a previous memorandum first issued on Monday night.

The new memorandum, which was directed to “heads of executive departments and agencies,” features a two-sentence statement reading: “OMB Memorandum M-25-13 is rescinded. If you have questions about implementing the President’s Executives Order, please contact your agency General Counsel.”

In the short term, M-25-14 certainly relieves some of the confusion and anxiety that swept across the federal grants world since Monday night. Our previous client alerts have chronicled the chaos that emerged late Monday and throughout the day on Tuesday.

However, in our review, there are still five key Executive Orders issued by the Trump Administration not affected by the rescission of M-25-13. Those EOs include:

While the upheaval following the issuance of M-25-13 may have prompted the Trump Administration to change course and move away from pausing all federal funding, we certainly anticipate that federal grants in the above-listed areas will remain subject to a comprehensive review and new standards. Federal grantees with programs in these specific areas should undertake a detailed review and be prepared for future agency actions.

Federal grantees should continue to keep apprised of the Administration’s actions, orders, and statements relating to federal funding — as the rescinded memorandum likely foretells future clashes as the Administration attempts to exert control over federal spending.

Chuck Ingoglia
President & CEO
Strategic Leadership
National Council for Mental Wellbeing


In addition, ANCOR sent the following information last night:

In what’s turning from a whirlwind couple of days into a whirlwind week, there were notable updates today on the OMB memo on the freeze of certain federal funding issued earlier in the week. 

Today OMB withdrew the memo with a simple rescission statement after a federal judge temporarily blocked the funding freeze for open awards and current spending. The order remains in effect until February 3 when a hearing is scheduled to determine next steps.  

As you may have seen, later in the day, Press Secretary Karoline Leavitt posted to X, “[t]his is NOT a rescission of the federal funding freeze. It is simply a rescission of the OMB memo. Why? To end any confusion created by the court’s injunction. The President’s EO’s on federal funding remain in full force and effect, and will be rigorously implemented.” Without further specificity regarding the implicated executive orders, the situation remains fluid with the potential for later memos or other interpretive guidance which the White House maintains is authority held within the executive branch.

In other litigation, U.S. District Judge Jack McConnell made statements in court today indicating that another restraining order may be coming. With the memo rescinded, the Department of Justice Special Counsel argued the case is no longer relevant. However, the judge did not appear persuaded and asked for a draft protective order for response and consideration. 

We’ll continue to keep you posted as we know more and hope to see you Friday (1/31) for our extended Members-Only Weekly Briefing at 12:30 pm ET to provide updates and review all available information together. See login information below:
Join Zoom Meeting: ancor-org.zoom.us/j/… 
Meeting ID: 870 2745 7284 
Passcode: 977618 


In recent communications from the OMB, these actions will not impact programs that provide direct benefits to individuals and are explicitly excluded from the pause and exempted from this review process. In addition to Social Security and Medicare, already explicitly excluded in the guidance, mandatory programs like Medicaid and SNAP will continue without pause.

RCPA will continue to communicate new developments with members as they emerge. If you have any questions, please contact your RCPA Policy Director.