Health Care Authority Releases Regional Service Area Awards in 2012-2013 Managed Care Procurement
For Immediate Release: 02/07/2012
Contact: Doug Porter, Director, Health Care Authority, 360-725-1040
Heidi Robbins Brown, Deputy Director, Health Care Authority 360-725-1040
Preston Cody, Assistant Director, Health Care Authority, Health Care Services 360-725-1786
OLYMPIA – The Health Care Authority announced today (February 7, 2012) the regional service areas tentatively assigned to the five health plans selected earlier as apparently successful bidders on a proposal to provide managed care for up to 800,000 Medicaid clients and Basic Health subscribers.
However, the service area awards will not be finalized until the agency and the health plans reach final agreement on new contracts – targeted for the end of February.
The five apparently successful bidders, all managed care plans, were identified as Amerigroup, Community Health Plan of Washington, Coordinated Care Corporation, Molina Healthcare of Washington and UnitedHealthcare Community Plan.
The number of counties tentatively awarded to the bidders varied considerably.
Only Coordinated Care Corporation, also known as Centene, was listed with all 39 counties in the state, although United HealthCare was listed in every county except Clark, and Molina’s list omitted only four counties: Island, Jefferson, Klickitat and Wahkiakum.
Amerigroup was listed with 22 counties: Columbia, Douglas, Garfield, Grays Harbor, Island, Jefferson, King, Kitsap, Kittitas, Lewis, Mason, Pierce, San Juan, Skagit, Snohomish, Spokane, Stevens, Thurston, Walla Walla, Whatcom, Whitman and Yakima.
Community Health Plan listed 28: Adams, Asotin, Benton, Chelan, Cowlitz, Douglas, Ferry, Franklin, Grant, Grays Harbor, Island, King, Kitsap, Kittitas, Lewis, Okanogan, Pacific, Pend Oreille, Pierce, San Juan, Skagit, Snohomish, Spokane, Stevens, Thurston, Walla Walla, Whatcom and Yakima. (*)
“Our next steps will be to finalize the contracts, a step the Health Care Authority intends to complete by the end of February and begin the transition process.” said Preston Cody, Assistant HCA Director for the Division of Health Care Services. The contracts take effect July 1, 2012, and extend through 2013.
The Washington State contracts drew national attention since health plans across the country are eyeing the increased enrollment anticipated by Medicaid programs once national health care reform raises eligibility standards, effective January 1, 2014.
In Washington State, Medicaid expects to start adding up to a half million new clients at that point, most of them childless adults not currently covered by the program. Under the Affordable Care Act of 2009, almost all of the additional cost of their care will be picked up by the federal government.
The Joint Procurement contract is expected to save money for the state since it leverages the state’s purchasing power by consolidating the regular Medicaid managed care program, called Healthy Options, with the state’s Basic Health Plan, which provides coverage for the working poor. Other populations in this procurement include new Healthy Options clients such as foster children and blind and disabled Supplemental Security Income (SSI) recipients.
The Healthy Options program currently provides fully capitated, managed care services for approximately 700,000 Temporary Assistance to Needy Families (TANF), TANF-related Children’s Health Insurance Program (CHIP) clients, which is about 60% of Washington’s total Medicaid/CHIP population.
HCA also intends to add about 100,000 Medicaid clients who are eligible for Supplemental Security Income (SSI) but not Medicare under the new contracts at this time. Basic Health currently provides subsidized health coverage for approximately 41,000 low-income adults.
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FOR ADDITIONAL BACKGROUND, CONTACT:
The Health Care Authority does not discriminate and provides equal access to its programs and services for all persons without regard to race, color, gender, religion, creed, marital status, national origin, sexual orientation, age, veteran’s status or the presence of any physical, sensory or mental disability.
(*) Community Health Plan’s tentative assigned list was updated March 1, 2012