Univita companies to lay off 1,002 after losing Medicaid contract

Aug. 01--Just over 1,000 workers are being laid off after Univita of Florida abruptly told insurers this week that it would no longer provide home care products to Medicaid patients in the state.

The most layoffs -- 591 -- are coming from Univita's headquarters in western Miramar or at a nearby satellite office, according to notices filed with the state.

Plans to dismiss 217 workers were filed in a separate notice to the state by Southeast Homecare, a Fort Lauderdale company that is managed by Univita, according to state corporation records. Southeast Homecare offers nursing care, physical therapy, occupational therapy, speech pathology, medical social and home health aide services throughout Florida

Univita Homecare Solutions, a pharmacy running out of Univita's headquarters, informed the state of plans to lay off 120.

A fourth outlet, Univita Health, which provides comprehensive nursing, equipment and other medical care, told the state it will lay off 74.

The layoffs, totaling 1,002, have already taken place or will be completed by Aug. 12, according to the four filings.

A woman answering the telephones at Univita's headquarters on Friday said only marketing director Robert Alonso could comment. He did not return a phone call. Despite repeated requests for interviews, no executive at Univita has spoken about the company deciding not to provide the home care products to Medicaid patients.

Univita lost its HMO contracts after it told insurers it would no longer provide home health durable medical equipment or intravenous therapy for the state's Medicaid patients, said Shelisha Coleman, a spokeswoman for the Florida Agency Health Care Administration. The state agency then sent out an email on Tuesday afternoon, telling subcontractors that Univita wouldn't be overseeing the distribution of HMO home care products. Providers were told in the email that "effective immediately, Univita will no longer process new prior authorization requests."

Many vendors have since complained that Univita hadn't been paying them for two or more months.

On Friday, Coleman, of the Florida Agency Health Care Administration, said that subcontractors who hadn't been paid by Univita for providing Medicaid services "should contact the health plans directly to ensure they get paid."

In another email, she said her agency "is working with the health plans to ensure a smooth transition and that there is no lapse in service or equipment issues for Medicaid enrollees."

In 2011, the Florida Legislature created the Statewide Managed Care Program for qualified Medicaid recipients to get their health care from a managed care plan, including prescriptions, medical equipment, doctors' visits and hospitalization. It was gradually set up throughout the state.

Last year, more than 500,000 South Floridians on Medicaid, including children, began their enrollment in the managed care program.

Researcher Barbara Hijek contributed to this report.

[email protected] or Twitter @donnagehrke

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