Health News
Health secretary tells legislators Medicaid budget has been balanced by moving all beneficiaries to managed care
The switch to managed care organizations has fixed Kentucky's Medicaid shortfall, with Janie Miller, secretary of health and family services, calling the budget "balanced." She said the projected savings from moving to managed care will take care of the $97 million funding gap caused by a lack of anticipated federal funding.
The Courier-Journal's Deborah Yetter notes that the shortfall was the most contentious issue for the legislature this year, with Gov. Steve Beshear wanting to plug the hole by moving to managed care and Senate Republicans wanting to make across-the-board budget cuts. After a special session, Beshear got his way and 560,000 Medicaid members are slated to move into managed-care organizations starting Oct. 1. Those in the Louisville region have been in one, Passport, for several years. Passport has a one-year contract with the state; Coventry Health Care Inc., Centene Corp. and WellCare Health Plans Inc. have three-year contracts. "They have every incentive to be successful," Miller said. "They are making a huge investment in this state."
Asked by skeptical legislators how the savings can be assured, Miller said they are guaranteed by the contracts. "To achieve savings, Medicaid will pay each company a fixed rate of about $345 per month per person. In turn, the company will be responsible for all costs of the person's health care," Yetter reports. "It's got a lot of potential," said state Rep. Jimmie Lee, D-Elizabethtown. "I have faith that if it's managed right, it could work." (Read more)
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Feds Ok Managed-care Medicaid; Firms Advertise For Enrollees
The move to managed care for Kentucky's Medicaid patients is one step further to being implemented. The federal Centers for Medicaid and Medicare Services have approved the state's plan to have three managed-care organizations provide care for...
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Move To Managed Care On Track For Oct. 1, Secretary Says
Despite a recent request to delay by an advisory council, and a low number of signups by hospitals so far, the move to managed care for Kentucky's Medicaid patients should be completed by Oct. 1. "We are prepared to proceed with an Oct. 1 timeframe,"...
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State Awards Medicaid Managed-care Contracts To 4 Firms, Including Passport; Networks To Be Established By Oct. 1
In an effort to save $1 billion in the next three years, and fill a hole in the current state budget, Gov. Steve Beshear announced Thursday that Kentucky's Medicaid program will be run by four companies, including the beleaguered Passport Health Plan....
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Legislators Question If Medicaid Is Ready For Managed Care
"State lawmakers on Thursday questioned whether the state has the resources and expertise to oversee moving the $6 billion Medicaid program to private, for-profit managed care companies," Beth Musgrave of the Lexington Herald-Leader reports. Staff of...
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Bidders To Manage Medicaid Unknown; Contracts July 1?
It is not known who bid on taking over the work, but Kentucky is advancing plans to turn Medicaid over to managed-care organizations. The move, which will allow the organizations to take over the day-to-day operations of Medicaid in the state, is meant...
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