The lawsuit claims Gov. Reynolds and the state’s Department of Human Services director are responsible for the shift that allegedly left thousands of beneficiaries in Iowa without home care assistance. Disability Rights Iowa, an advocacy group, organized the lawsuit and is calling on a federal judge to order the state to halt the alleged cuts.
Iowa transitioned its $4 billion Medicaid program to private insurers under former Republican Gov. Terry Branstad in April 2016. Three private insurers — AmeriHealth Caritas Iowa, Amerigroup Iowa and UnitedHealthcare of the River Valley —manage the program.
The lawsuit claims the former governor and former state Human Services Director Charles Palmer said beneficiaries’ coverage would not change for a least two years under the transition, according to the report. However, plaintiffs argue within months some beneficiaries began receiving less home assistance.
The plaintiffs’ first legal step will be to seek class-action designation for the case. As of Tuesday afternoon, Brenna Smith, a spokesperson for Gov. Reynolds, said the governor’s office has not reviewed the lawsuit.
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