Worcester Business Journal

March 6, 2017

Issue link: https://nebusinessmedia.uberflip.com/i/794001

Contents of this Issue

Navigation

Page 11 of 27

F OC U S H E A L T H C A R E Opioid payment crisis BY EMILY MICUCCI Worcester Business Journal Staff Writer Michael Krupa, CEO of TaraVista in Devens, can't afford to offer strictly addiction treatment services, instead augmenting the center's income by offering services for all psychiatric illnesses. A ddiction services may be a societal necessity – espe- cially as the Central Massachusetts opioid crisis proves particularly fatal – but it is a business, and in this area of medicine, the playing field is not neces- sarily equal for patients or providers. This reality has shaped how addiction treatment companies have responded to the pent-up demand for the full spec- trum of treatment for people trying to get clean. While certain providers have focused on investing in the more lucra- tive addiction treatment programs, oth- ers have made breaking even their goal. So even while politicians and public health officials stress the need for both inpatient and outpatient services to stem the growing opioid crisis, providers' struggles with their bottom lines have resulted in tempered growth. Lower reimbursement rates The addiction treatment services field in Central Mass. is certainly expanding, as both bational and local organizations have added new facilities and grown existing programs in the last two years. TaraVista Behavioral Health Center opened up as an inpatient facility in Devens to treat people with psychiatric illnesses who also require addiction treatment. CEO Michael Krupa said TaraVista is licensed as a psychiatric hospital, rather than strictly an addic- tion treatment services provider. While inpatient addiction treatment services are sought after, operating as a psychiatric hospital makes TaraVista sol- vent, Krupa said, since the reimburse- ment rates for addiction services are sig- nificantly lower than inpatient psychiat- ric service rates. Still, about half of the patients admit- ted since TaraVista opened doors in November struggle with addiction, mak- ing the facility a valued resource in a Central Massachusetts area with scarce inpatient addiction treatment options. Once fully online, the 108-bed TaraVista will accept patients covered by Medicare and Medicaid insurance, another important distinction for those in need of addiction treatment. Medicaid falls short The state Bureau of Substance Abuse Services (BSAS) funds a certain number of beds based on the population and treatment access in different parts of the state. Some providers contract with the state to provide those services for Medicaid patients, while others don't accept Medicaid patients, offering ser- vices only to patients paying out of pocket, or covered by private insurance. This means providers who house Medicaid beds receive lower reimburse- As the Central Mass. opioid death toll rises, treatment providers struggle with low reimbursement rates 12 Worcester Business Journal | March 6, 2017 | wbjournal.com P H O T O / N A T H A N F I S K E

Articles in this issue

Links on this page

Archives of this issue

view archives of Worcester Business Journal - March 6, 2017