Maricopa RBHA: Magellan out, Mercy Integrated Care in

Late Monday afternoon, Arizona’s Department of Health Services/Division of Behavioral Health (ADHS/DBHS) announced that the $750 million-plus contract to manage the Maricopa County Integrated Regional Behavioral Health Authority (RBHA) had been awarded to Mercy Maricopa Integrated care of Phoenix. 

According to Cory Nelson, ADHS/DBHS Acting Director, Mercy will “grow integrated delivery sites from the current four co-located sites to twenty integrated sites” in the county.  He added that “Mercy Maricopa Integrated Care provided the Department with the best example of integration and recovery oriented services through an extensive community based approach.”

Magellan's existing contract to manage behavioral health services began on September 1, 2007, and was previously extended through September 30, 2013. In the year ended, the contract generated net revenues of $758.3 million.

"We are disappointed in the State's decision especially given our track record of success in transforming the public behavioral health system in Maricopa County," said Dr. Richard Clarke, CEO of Magellan Health Services of Arizona. "Regardless of this decision, our work has had a positive impact on health care in Maricopa County. We will continue to seek opportunities to continue our work on behalf of the people of Arizona."  A Magellan release indicated that Magellan has a right to protest the decision, but did not indicate a decision to do so at this time.