State Auditor finds more money, more questions with new managed care companies

03/01/2012 07:17 AM

The three managed care companies Kentucky hired last fall have collected more than $700 million from the state to pay for medical care for the poor and disabled but have only paid $400 million worth of bills to doctors, hospitals and providers, the state auditor found.

Auditor Adam Edelen said his office hasn’t “yet gotten an explanation” from the providers as to why they are sitting on that much cash.

“We’re actually raising more questions than answers,” he said.

Edelen said he believes the managed care approach can work for Kentucky but the state’s Health and Family Services Cabinet needs to strengthen its oversight and the managed care companies need to do a better job in communicating with health care providers and paying their bills quicker.

Watch Edelen answer questions from Pure Politics about his findings:

Edelen also said he’s forming a new Medicaid unit to more consistently monitor the $6 billion federal-state program that serves more than 820,000 poor and disabled Kentuckians.


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