Source: By Deborah Yetter, The Courier-Journal (KY), Tuesday, December 18, 2007
A state audit found no evidence of savings in the state Medicaid program promised by the administration of former Gov. Ernie Fletcher, who claimed Medicaid reform as one of his top accomplishments in his failed re-election bid.
…… Luallen, a Democrat, said her office waited until after the Nov. 6 election to release the audit so it would not become an issue in the governor’s race.
……. Medicaid spends about $300 million a year on three private contractors to process claims, manage information, operate a call system for members and operate its prescription drug program. But until recently they operated with little oversight or accountability.
In July, Medicaid hired an outside company, Accenture, to monitor the three other outside contractors — even though Texas fired that company last year for poor performance on a contract.
…….. State Sen. Ernesto Scorsone, a Lexington Democrat on the Health and Welfare Committee, said he’s concerned about the growth in outside contractors for the Medicaid program listed in the audit report.
“I think the only winners are the outside vendors who have made money off the state,” he said.