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Thursday, Nov 12 2015

Full Issue

As Furor Over Medicaid Managed Care Grows In Iowa, Officials Postpone Public Forum

The state has signed contracts to move the program to managed care, but hospitals are suing to stop the transfer and patients are asking the federal government to block the change.

Massive disruptions Tuesday to a public conference call about Iowa鈥檚 plan to privatize its Medicaid program has caused the federal government to postpone another one that was scheduled for Thursday. The two-hour calls are designed to give Iowans a chance to voice concerns about the program's planned privatization to the Centers for Medicare and Medicaid Services, better known as CMS. ... The state's Medicaid privatization effort has been the subject of multiple challenges, including allegations that the Branstad administration engaged in unethical and possibly illegal competitive bid practices. The Iowa Hospital Association has also filed a lawsuit, challenging the change as illegal. The CMS on Tuesday launched the first of four 鈥渓istening sessions鈥 where more than 500 people jammed the lines and, at times, spoke over each other in an attempt to ask questions. (Clayworth, 11/11)

Private companies set to take over management of Iowa鈥檚 Medicaid program on Jan. 1 acknowledge concerns about the speed of the shift, but say they are confident they鈥檒l be ready. UnitedHealthcare is one of four national companies that have signed contracts to manage the $4.2 billion program, which covers health-care for 560,000 poor or disabled Iowans. Three of those companies joined Iowa Medicaid leaders Tuesday in a meeting with Des Moines Register writers and editors. (Leys, 11/11)

Dozens of angry Iowans gave federal administrators an earful Tuesday about the state鈥檚 plan to hire four private companies to manage its Medicaid program. 鈥淲e as the common people are begging you 鈥 please slow this down on behalf of our loved ones,鈥 a Coralville woman with three disabled children said during a call with federal officials who will decide whether to approve the shift. (Leys, 11/11)

Iowa hospital leaders want a judge to slam the brakes on the state鈥檚 shift to private management of its Medicaid program. The hospitals say in a new lawsuit that the controversial move would illegally take money from a trust fund to which they contribute. They also say it would deprive them of rewards the state promised them for participating in recent programs to make Medicaid patient care more effective and efficient. (Leys, 11/10)

Meanwhile, Medicaid insurers from other states are looking at a key issue about health and costs.

Medicaid health insurers are meeting in Washington this week, and one issue at the top of the industry鈥檚 agenda is taking a look at social factors that many Medicaid directors believe drive up E.R. and hospitalization rates for a small number of patients. There鈥檚 a growing sense among states, which employ the insurers, that providing better care to some 5 percent of patients overall 鈥 a group that accounts for half of medical spending 鈥 is essential to lowering program costs long-term. (Gorenstein, 11/11)

This is part of the Morning Briefing, a summary of health policy coverage from major news organizations. Sign up for an email subscription.
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