This article discusses the challenges faced by sober housing providers in Oregon due to delays and denials of payments from Medicaid insurers, specifically through a program called flex funds.
These funds are essential for covering short-term rent for individuals in sober housing that also provides treatment for substance use disorders and mental health issues.
Housing providers are struggling as these funding streams dry up, with some considering closing their sober homes due to the financial strain.
During a town hall hosted by the Oregon Health Authority OHA, executives from several providers testified about the issue, with one provider, Solara Salazar of West Coast Sober Housing, sharing that her organization may need to close two of its seven sober homes. Other organizations in the Portland metro area have voiced similar concerns.
Despite this, OHA representatives claim they are aware of the issue and are offering additional guidance to providers. However, a spokesperson for HealthShare, a Medicaid insurer, denied any significant changes to the program, though they acknowledged an uptick in cases of fraud, waste, and abuse related to housing support.
To address the issue, the state is introducing a new Medicaid benefit aimed at paying rent for up to six months, although people experiencing homelessness are currently not eligible for this benefit.