$1M assessment will examine ways to better serve individuals with serious mental illness  

SANTA FE – New Mexico will study additional opportunities to augment health care and social services for Medicaid members with serious mental illness under a $1 million legislative initiative awarded to Manatt Health Strategies, LLC.  

The New Mexico Health Care Authority (HCA) contracted with Manatt Health Strategies, LLC to conduct a comprehensive behavioral health assessment and feasibility study examining how to better serve individuals with serious mental illness or substance use disorders, a population that often relies on emergency interventions. 

“New Mexico knows that mental health is a component of overall wellness. The more we can integrate mental health into whole person care, the more we can do serve individuals who need social support, said Medicaid Director Dana Flannery. “This study will examine where gaps in service might exist and where further behavioral health funding might move more individuals into recovery from substance use or mental illness.” 

The New Mexico Legislature appropriated $1 million for the study during its 2025 session. The final report is due in January 2026, ahead of Legislature’s next session, to inform potential legislation for additional behavioral health system funding. 

Through a competitive procurement process, Manatt was selected for its expertise in behavioral health services, Medicaid policy and financing strategies, and data analysis. The assessment will include stakeholder engagement, data-driven modeling, and evaluation of potential service delivery and financing models.  

Manatt will partner with Milliman to provide health care actuarial services and Kaufmann and Associates, Inc., which specialize in culturally grounded research and evaluation. 

Contract activities will begin immediately. 

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About the New Mexico Health Care Authority
The New Mexico Health Care Authority connects New Mexicans to the care and support they need to live healthy, full lives. The agency administers Medicaid, the Supplemental Nutrition Assistance Program (SNAP), the Low-Income Home Energy Assistance Program (LIHEAP), cash assistance, child support services, and behavioral health care across the state. HCA also oversees the State Health Benefits program for state employees and manages the Health Care Affordability Fund to help make coverage more affordable for working families. The agency licenses health care facilities, investigates complaints, and ensures providers deliver safe, high-quality care. In addition, HCA supports individuals with intellectual and developmental disabilities through a variety of home and community-based programs that protect health, safety, and human rights.