Aug 10, 2011 9:10 AM by Lauren Wilson & AP

2 companies protest La Medicaid contract choices

BATON ROUGE, La. (AP) - Three companies have protested Louisiana's choice of other companies to run managed care networks for $2.2 billion of the state's Medicaid program.
Aetna Better Health and Coventry Health Care of Louisiana Inc. filed protests Monday, said Lisa Faust, spokeswoman for the Department of Health and Hospitals.
She said that on Friday, state Health and Hospitals Secretary Bruce Greenstein ruled on a protest filed July 27 by Louisiana Physicians Connection, upholding the decision announced two weeks ago.
Both Aetna Better Health and Coventry said they have found scoring inconsistencies and want information submitted in the accepted contract proposals, and state Department of Health and Hospital records about the scoring, made public.
Three of the five companies that won contracts have sued Louisiana to block full public disclosure of their proposals. The state district court in Baton Rouge was hearing a request Tuesday for a temporary order against such disclosure, Faust said.
Twelve companies competed for the contracts. Monday was the deadline for filing protests.
The statewide "coordinated care networks" - similar to insurance - are expected to cover about 875,000 children and others treated through Medicaid.
Louisiana Healthcare Connections Inc., Amerihealth Mercy of Louisiana Inc. and AmeriGROUP Louisiana Inc. were chosen to run networks that will be paid a monthly fee for each Medicaid recipient, and will negotiate payments with health providers.
UnitedHealthcare of Louisiana Inc. and Community Health Solutions of America Inc. were named to run programs in which they coordinate patient care and share in savings created by cutting costs or improving preventive care. In those programs, the state will continue to pay doctors, hospitals and other Medicaid providers directly.


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