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State Reaches Civil Settlement with Black Hills Psychology in Medicaid Case

FOR IMMEDIATE RELEASE:  Friday, March 9, 2018

CONTACT:  Sara Rabern (605) 773-3215 

PIERRE, S.D.-   Attorney General Marty Jackley announced today that South Dakota has reached a civil Settlement Agreement and an Integrity Agreement with Black Hills Psychology of Spearfish, SD, in a case involving Medicaid payments.

"We worked with the provider to ensure that Medicaid funds are being properly utilized," Jackley said. "We appreciate their cooperation."

Black Hills Psychology will pay $32,333.67 to the State as part of the settlement agreement.  The settlement funds will be used to reimburse taxpayers’ Medicaid expenditures.

According to the settlement agreement, South Dakota contends that Black Hills Psychology submitted at least some claims for payment for services that were provided by Black Hills Psychology counselors who lacked the level of certification required to submit claims to South Dakota Medicaid, and who were not enrolled as providers with South Dakota Medicaid.  The settlement agreement is neither an admission of liability by Black Hills Psychology, nor a concession by South Dakota that its claims are not well founded.

The case was handled by the South Dakota Medicaid Fraud Control Unit, with assistance from the South Dakota Department of Social Services, the US Department of Health and Human Services – Office of Inspector General, and current and former Black Hills Psychology employees.

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