BEHAVIORAL HEALTH SERVICES PROVIDER IN LOUISIANA
- Fatumata Kaba
- Aug 12
- 3 min read
SUPPORTING EMOTIONAL WELL-BEING, RECOVERY, AND COMMUNITY CONNECTION THROUGH INDIVIDUALIZED MENTAL HEALTH AND SUBSTANCE USE SUPPORT
Behavioral Health Services in Louisiana help individuals with mental illness, emotional challenges, and substance use disorders receive comprehensive treatment in their communities. These services are delivered through Louisiana Medicaid Managed Care and approved providers under the direction of the Louisiana Department of Health (LDH) and its Office of Behavioral Health (OBH).
1. GOVERNING AGENCIES
Agency: Louisiana Department of Health (LDH) — Office of Behavioral Health (OBH)
Role: Oversees behavioral health licensing, service scope, and quality assurance for Medicaid-funded mental health and substance use disorder services
Agency: Centers for Medicare & Medicaid Services (CMS)
Role: Provides federal oversight and ensures services align with HCBS and EPSDT Medicaid requirements
Agency: Managed Care Organizations (MCOs) under Bayou Health
Role: Authorize services under approved care plans, manage provider credentialing, and process billing and payments
2. BEHAVIORAL HEALTH SERVICE OVERVIEW
Behavioral Health Services offer clinical, rehabilitative, and support interventions to address psychiatric disorders, emotional disturbances, and substance use.
Approved providers may deliver:
Diagnostic evaluations and mental health assessments
Individual, family, and group therapy
Psychiatric medication management and counseling
Crisis response and stabilization services
Functional behavioral assessments and interventions
Community Psychiatric Support and Treatment (CPST)
Psychosocial Rehabilitation (PSR) services
Peer support and substance use recovery coaching
3. LICENSING & PROVIDER APPROVAL REQUIREMENTS
Prerequisites:
Register your business with the Louisiana Secretary of State
Obtain an EIN from the IRS and a Type 2 NPI
Secure a Behavioral Health Services License through the LDH Health Standards Section
Enroll with Louisiana Medicaid via the Medicaid Provider Enrollment Portal
Credential with Bayou Health MCOs (e.g., Aetna, AmeriHealth Caritas, Healthy Blue, LA Healthcare Connections, UHC)
Employ licensed mental health professionals and behavioral health staff
Maintain general liability and malpractice insurance
Ensure HIPAA compliance and clinical documentation procedures
4. PROVIDER ENROLLMENT PROCESS
Option A: Individual Practitioner (e.g., LCSW, LPC, LMFT)
Apply through the Louisiana Medicaid Provider Enrollment Portal
Submit proof of licensure, NPI, and insurance
Contract with MCOs to begin receiving referrals and reimbursement
Option B: Behavioral Health Agency
Apply for licensure with LDH Health Standards Section
Enroll with Medicaid and complete credentialing with each MCO
Submit agency documents, staffing plan, and service scope
Develop internal clinical protocols and staff supervision policies
5. REQUIRED DOCUMENTATION
Articles of Incorporation or Sole Proprietorship filing
IRS EIN confirmation
NPI registration
LDH Behavioral Health license (for agencies)
Medicaid enrollment confirmation
Staff licensure and credentialing logs
Policy & Procedure Manual including:
Client intake and mental health assessment forms
Treatment planning and clinical progress note templates
Crisis intervention and suicide risk protocols
Medication administration logs (if applicable)
Staff supervision, documentation, and continuing education logs
Participant rights, HIPAA consent, and grievance procedures
Incident reporting and emergency contact procedures
6. STAFFING REQUIREMENTS
Role: Licensed Mental Health Professional (e.g., LCSW, LPC, Psychologist)
Requirements: Active Louisiana license, Medicaid-eligible, experience with clinical documentation
Role: Psychiatrist or Nurse Practitioner (optional for medication management)
Requirements: Active license and DEA registration; may prescribe and manage medications
Role: Peer Support Specialist / Behavioral Health Technician
Requirements: Certified or trained in behavioral health; supervised by licensed staff
Training Requirements for All Staff:
HIPAA and client confidentiality
Behavioral crisis response and de-escalation
Suicide prevention and mandated reporting
Trauma-informed care and cultural competency
Annual CEUs and compliance training
7. MEDICAID WAIVER & STATE PLAN SERVICES
Behavioral Health Services are reimbursed under:
Louisiana Medicaid State Plan (for all ages and diagnoses)
EPSDT (Early and Periodic Screening, Diagnostic, and Treatment)
HCBS Waivers (ROW, NOW, Supports Waiver, Children’s Choice Waiver) — for behavioral supports within the care plan
Money Follows the Person (MFP) — transitional behavioral care
Crisis services supported through regional or community-based funds
Approved providers may deliver:
In-clinic or in-home behavioral health therapy
Rehabilitation and skills training programs
Telehealth-based counseling (if approved)
Services coordinated with support coordinators and MCO care teams
8. TIMELINE TO LAUNCH
Phase: Business Formation and Licensing
Timeline: 1–2 months
Phase: Medicaid and MCO Credentialing
Timeline: 60–90 days
Phase: Staff Hiring and Documentation Setup
Timeline: 2–4 weeks
Phase: Service Authorization and Delivery
Timeline: Ongoing, based on participant need and referrals
9. CONTACT INFORMATION
Louisiana Department of Health — Office of Behavioral Health (OBH)
Website: https://ldh.la.gov/page/86
LDH Health Standards Section (Licensing)
Website: https://ldh.la.gov/page/282
Louisiana Medicaid Provider Enrollment Portal
Website: https://www.lamedicaid.com
Louisiana State Boards:
Social Workers: https://www.labswe.org
Counselors: https://www.lpcboard.org

WAIVER CONSULTING GROUP’S START-UP ASSISTANCE SERVICE — LOUISIANA BEHAVIORAL HEALTH PROVIDER
We help therapists, outpatient clinics, and recovery programs launch licensed and Medicaid-approved behavioral health services across Louisiana.
Scope of Work:
Business registration and LDH licensure guidance
Louisiana Medicaid enrollment and MCO credentialing
Behavioral Health Policy & Procedure Manual development
Clinical documentation templates for assessments, notes, and billing
Supervision and staff compliance tracking tools
Website and branding setup for service outreach
Referral coordination with hospitals, schools, and waiver case managers
Our Client Portal offers a wealth of resources that you can explore related to various programs and state requirements.
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