Last week the House showed strong support for the Brown Amendment to SB 7 (Medicaid managed care) by a vote of 133 to 7. The House version of SB 7 differed from the Senate version, it was returned to the Senate, the Senate refused to accept the House amendments and a conference committee was named. 

 

A proposed change to the Brown amendment that's big enough to drive a truck through--or allow PBMs and HMOs with track records of Medicaid fraud to bid on HHSC Medicaid managed care contracts. In fact, we cannot find any examples of "bad actors" barred from bidding under item #4. 

  

First thing Wednesday, call the Senate conferees and ask them to either:

 

1. Stay with the original Brown Amendment language, or
2. Eliminate the language "convicted and found liable" of a penalty or fine. This is a HUGE LOOPHOLE that enables these businesses to continue their practice of settling multimillion dollar cases to avoid admission of guilt or wrong-doing. They treat these fines as just another cost of doing business. 

 

Tell the Senators it is fiscally responsible to filter out contractors who have been assessed penalties or fines in excess of $500,000 for Medicaid fraud through monetary settlements with the government, not just convictions! 

   

Below are the Senate members of the conference committee. 

• Sen. Jane Nelson (R-Flower Mound) (512) 463-0112
• Sen. John Carona (R-Dallas) (512) 463-0116
• Sen. Bob Deuell, MD (R-Greenville) (512) 463-010   
• Sen. Juan Hinojosa (D-McAllen) (512) 463-0120
• Sen. Florence Shapiro (R-Plano) (512) 463-0108

Please let us know the result of your calls.

 

Stay tuned!

 

Richard E. Beck, RPh 

Executive Director