New Mexico denies allegations of bias in awarding Medicaid contracts: 3 things to know

New Mexico officials rejected claims its selection of managed care insurers to run its Medicaid program was biased, the Santa Fe New Mexican reports.

Here are three things to know about the allegations.

1. In a recent lawsuit filed in the First Judicial District Court in Santa Fe, N.M., Molina Healthcare alleged the state health department used a consultant with a possible conflict of interest during the application process. Molina claimed the consultant has a multibillion-dollar contract with a sister company of Western Sky Community Care, which won a contract to manage some of New Mexico's Medicaid recipients.

2. Republican Gov. Susana Martinez's administration called the accusations false. The "allegations are both overblown and inaccurate," the Arizona Human Services Department said in a court filing Thursday, obtained by the Santa Fe New Mexican.

3. New Mexico's multibillion-dollar Medicaid program covers 850,000-plus beneficiaries. New Mexico chose Blue Cross Blue Shield of New Mexico, Presbyterian Health Plan and Western Sky Community Care to manage Medicaid beneficiaries. UnitedHealthcare and Molina, both in the last year of their five-year contracts to manage the program, lost bids to retain their roles beginning in 2019. They are appealing the decisions.

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