D.C. to Pay $18M to Unpaid Medicaid Bills

Washington, D.C., healthcare officials announced they are nearing a plan to pay hospitals and physicians some of the $47.5 million they’re owed in Medicaid bills after a health insurer went into receivership last year, according to a report by the Washington Post.

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D.C.’s Director of the Department of Health Care Finance Wayne Turnage said an “agreement in principle” had been reached with D.C. Chartered Health Plan, which formerly held the district’s Medicaid contract before its owner was alleged to have improperly handled company finances in an effort to support D.C. Mayor Vincent Gray’s campaign. The plan calls for the federal and local governments to pay an $18 million settlement to Chartered’s receiver, which will go toward paying down its $47.5 million in unpaid debt to providers.

At a hearing Thursday, members of the provider community applauded the district’s step toward meeting unpaid bills, saying as the money trickles in they will be able to pay utility bills to remain open.

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