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Branstad wants care companies to help run Medicaid program

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January 21st, 2015 by Ric Hanson

DES MOINES, Iowa (AP) – Gov. Terry Branstad’s administration says he wants to hire a privately managed care company or set of companies to help run Iowa’s Medicaid program. Branstad spokesman Jimmy Centers says more coordinated care would better serve patients and lower costs. The Des Moines Register reports the system could be implemented by the start of 2016.

Branstad’s office projects the state would save more than $50 million in the first six months of the program. Additional information is not available about how those savings would be reached. Rep. Dave Heaton, a Republican from Mount Pleasant, is co-chairman of the main legislative committee overseeing health care programs. He says Branstad has the authority to make the change without a vote in the Legislature.

More than 560,000 Iowans are covered under Medicaid.