Aurora, Colo.-based Aurora Mental Health and Recovery plans to eliminate 111 positions, representing 14% of its workforce, amid Medicaid changes, effective June 30.
Of the affected roles, 66 are administrative and support positions and four provide direct client care, according to an April 30 news release from the organization. AMHR also plans to close several programs that lack sustainable state funding: Aurora Sustained in Forensic Services, the Mrachek and Thomas Houses in Residential Services, and multiple Cultural Development & Wellness Center programs.
The workforce reduction follows a projected $6.5 million drop in revenue for the fiscal year starting July 1 and a $7.2 million reconciliation payment tied to the current fiscal year, AMHR CEO Kelly Philips-Henry, PsyD, said in the release. Together, these pressures amount to a more than $13 million financial impact driven by state reimbursement changes and federal Medicaid reductions.
Aurora Mental Health and Recovery said it previously implemented cost controls, including furloughs, hiring freezes and expense reductions, cutting $1.425 million and retaining 22 positions.
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