Disabled Iowans upset about privatized Medicaid seek to sustain lawsuit against DHS leader

The departure of a controversial Medicaid management company from Iowa strengthens disabled residents’ legal claims against a top state official and should not lead to their federal lawsuit’s dismissal, their lawyers contend.

The advocacy group Disability Rights Iowa is suing Iowa’s Department of Human Services director on behalf of six disabled Iowans who say the state’s 2016 shift to private management of its Medicaid system has led to illegal cuts to services. State lawyers earlier this month asked a federal judge to dismiss the lawsuit because all six plaintiffs have their care overseen by AmeriHealth Caritas, a national company that is dropping out of the Iowa program. The state lawyers contend the plaintiffs haven’t shown they would be harmed by having their care overseen by one of the other two managed-care companies helping run the program.

Disability Rights Iowa lawyers filed a response this week. They have focused their lawsuit on Department of Human Services Director Jerry Foxhoven, not the managed-care companies, because they say it is the state’s responsibility to ensure Medicaid members are provided services they need to stay out of nursing homes or other institutions.

“There is no evidence that (Foxhoven) or any of the remaining managed care companies intends to come into compliance with constitutional or statutory due process or to restore (the plaintiffs’) services or budgets,” the plaintiffs’ response says. “… In other words, their injuries continue despite AmeriHealth Caritas ending its contract with defendant.”

Read more: http://www.desmoinesregister.com/story/news/health/2017/11/17/disabled-iowans-upset-privatized-medicaid-seek-sustain-lawsuit-against-dhs-leader/875621001/