Description

While conducting a review of freestanding mental health clinics, Commission fiscal staff visited clinics throughout the state to look behind reported cost and productivity figures to gain an understanding of high and low-cost clinic operating practices. With the hope of replicating sound operating practices statewide, the Commission visited QCNI because it appeared to be one of the more efficient clinics licensed by OMH, with 1992 costs per 30-minute individual psychotherapy session at less than one-half of the statewide average, and clinician visits per day almost three times the statewide clinic average. But the Commission's review determined that this seeming efficiency concealed a clinic program rife with serious problems in the quality of its high-volume services, improper billings to Medicaid accounting for almost one-fifth of its Medicaid income, diversion of agency assets to senior executives, failure of the board of directors to exercise its fiduciary responsibilities, and unprofessional conduct by the agency's CPA who helped conceal financial irregularities from the board of directors and OMH.