|By Beth Musgrave, Lexington Herald-Leader|
|McClatchy-Tribune Information Services|
"The reality is providers aren't getting paid," said Sen.
The amount of money owed to hospitals has doubled since the state moved more than 500,000 people to managed care in
Kentucky Medicaid Commissioner
The companies have submitted plans of correction to the
If the companies develop a pattern of non-compliance or fail to improve, the department would take "proper administrative action, up to and including fines," said
In documents to the
The company's most recent quarterly report showed that it had paid 97.1 percent of all non-contested or "clean" claims within 30 days, according to a letter from
None of the managed care companies testified at Tuesdays' committee meeting, but some legislators hammered Kissner on the managed care companies' performance, saying the
"The process is taking too long," said Denton, R-
Kissner said the
"We are following what is set out in statute," he said.
Despite the payment problems, the move to managed care has helped stem rising costs in the
As of October,
However, Kissner said he was not clear on how the possible termination of Kentucky Spirit's contract with the state would effect the overall
Kentucky Spirit and the state are fighting a court battle after the company said earlier this year that it would terminate its contract a year early. Kentucky Spirit has alleged that the state provided incorrect cost information at the time the contract was bid. The state counters that Kentucky Spirit intentionally underbid the contract so it could get a toe hold in the Kentucky Medicaid market.