Covering Louisiana

Apr 2, 2013 7:02 PM by AP/PHOTO COURTESY OF MGN ONLINE

Medicaid contractor objects to cancellation

BATON ROUGE, La. (AP) - The company whose nearly $200 million Medicaid contract with the state has been cancelled says it didn't do anything improper to get the work.

CNSI sent a letter to the state Department of Health and Hospitals this week objecting to the contract termination. Gov. Bobby Jindal's administration scrapped the contract after details leaked about a federal investigation into the contract award.

CNSI attorney Kathryn Harris wrote to DHH seeking to discuss the contract, saying the state hasn't provided any factual basis for the cancellation.

Jindal's health secretary Bruce Greenstein is resigning amid the ongoing investigation.

Greenstein once was an executive at CNSI, though he's denied any involvement in the contract award. But he acknowledged that a change he pushed in the bid solicitation made CNSI eligible for the Medicaid contract.

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