11/01/2025
https://campaigns.donately.com/t005/landing?account_subdomain=rivercitytherapycenter&campaign_id=cmp_d5826721e6db
Urgent Community Update: DHS Payment Pause Threatens Critical Services
Goodhue County, Red Wing, MN, 11/1/2025
Dear Community Members,
We are reaching out to share an urgent situation impacting our organization and many others across Minnesota.
On October 29, 2025, Governor Tim Walz announced a pause on payments for 14 Medicaid services for up to 90 days while a third-party audit reviews claims for potential fraud. This action, outlined in the Governor’s press release, aims to restore public trust after widespread fraud concerns:
“We cannot effectively deliver programs and services if they don’t have the backing of the public’s trust. In order to restore that trust we are pumping the brakes on 14 programs that were created to help the most disadvantaged among us, yet have become the target of criminal activity.” – Governor Tim Walz
While we support efforts to protect taxpayer dollars and to ensure the integrity of healthcare service delivery, this pause poses a serious threat to ethical providers like us. In fact, our organization was fully audited by DHS in October 2024, among all other EIDBI providers in the state, and found to be compliant. We have consistently demonstrated integrity in billing and service delivery.
Why This Matters
• Payments may be delayed up to 90 days, leaving providers without reimbursement for services already delivered.
• For us, this means risk of service termination, staff layoffs, and even closure if we cannot cover payroll and operating costs.
• In 2024, we paid $1.1 million in payroll, supporting over two dozen jobs and providing essential care to families.
Our Proven Impact
• MN Early Intensive Developmental and Behavioral Intervention (EIDBI) Average Program Length: 3 years
• River City Therapy Center (RCTC) Applied Behavior Analysis (ABA) Program: 1.71 years (42% faster) with 80% success rate (graduated versus referred for higher levels of care)
• RCTC Multi-Systemic Therapy (MST) Program: 0.49 years (600% faster) with 75% success rate (graduated versus referred for higher levels of care)
• Combined Programs: Average 1.21 years (321% faster) with 78% success rate
We are a community staple, delivering outcomes faster and more effectively than statewide averages, while maintaining high success rates.
How You Can Help
We are working to secure lines of credit to keep our doors open, but we need your help to bridge this gap. We are asking for donations to support payroll during this 90-day period so we can:
• Continue serving vulnerable families
• Preserve local jobs
• Ensure ethical providers remain strong
Please donate today: https://campaigns.donately.com/t005/landing?account_subdomain=rivercitytherapycenter&campaign_id=cmp_d5826721e6db
Your support ensures that our staff can keep working and our clients can keep receiving the care they need. Help us bridge the gap and continue the work that matters most.
Thank you for standing with us during this challenging time. Together, we can ensure that our community continues to thrive.
With Gratitude,
Kylie Balaun, M.S., LBA, BCBA
Executive Director
River City Therapy Center