WASHINGTON — After more than a year of controversy and uncertainty, a last-minute deal may save the future of healthcare for 250,000 Medicaid recipients in D.C.
The city’s current Medicaid contract is set to expire September 30, 2021. Last year, Medstar was awarded a lucrative contract to offer care to D.C.'s Medicaid patients. But a judge said the way the hospital group got that contract was flawed and ordered Mayor Muriel Bowser to re-evaluate the bidding process.
That never happened. Instead, the Mayor issued an emergency order asking the Council to approve the contract anyway.
So WUSA9 wanted to know how the contract dispute would affect the District’s 250,000 Medicaid patients.
“It's a matter of fact, 80% of the Medicaid recipients live East of the River and 75% are black,” said Ambrose Lane, from the DC Health Alliance Network. The Health Alliance Network and the NAACP filed a civil rights complaint with the US Department of Health and Human Services.
Lane said Medstar threatened to remove some Medicaid insurance providers, Amerihealth and Carefirst, from their network. That would mean people who normally receive their care from Medstar hospitals would be cut off. But Medstar said they only used that as a negotiating tactic and never intended to cancel anyone's care.
In a statement Medstar spokesperson Marianne Worley said, “It is outrageous that given MedStar Health’s unwavering history of caring for all patients in the District of Columbia, anyone would suggest anything to the contrary. Our intent has never been to cancel contracts and leave the District’s most vulnerable residents without care.”
Health officials say the system is not broken.
“Procurement is often complicated and messy process and it's not unique to the District,” said Deputy Mayor Wayne Turnage of the DC Department of Health and Human Services, “The Mayor has taken the appropriate action and by in large Council members are people of good will."
On Thursday, Ward 7 Councilmember Vince Gray sent a letter to some of his colleagues on the Council who disapproved the Medstar contract to reverse course before the deadline and ensure Medicaid healthcare service is not interrupted. The letter was signed by 8 Councilmembers, the Mayor and Deputy Mayor Turnage.
“I'm optimistic we can reach a deal with the Mayor so we can maintain stability while a new contract is being done,” said Council Chairman Phil Mendelson. Now Mendelson said he is willing to put the controversy behind him and move forward striking a deal with the Mayor to ensure service continues.
“Starting the process all over again with new contracts and the process better be right,” said Mendelson.