Beshear Vetoes Medicaid Prompt Pay Bill

Apr 5, 2013

Gov. Steve Beshear has vetoed a bill sponsored by House Speaker Greg Stumbo that would require prompt payment in the Medicaid managed care system.  The governor was expected to veto the bill, claiming it would cost the state too much money.

Greg Stumbo
Credit Kentucky Legislative Commission

But in turn, Beshear says he will implement the spirit of the bill, including allowing the Department of Insurance to investigate late payment claims. Beshear also promised the administrative side of the managed care system would work better.

Many health care providers have complained about late payments, and Doctor Sheila Schuster, Executive Director of the Kentucky Mental Health Coalition, says providers are disappointed in the veto.

"I would be disappointed that he vetoed the bill, I will say I'm cautiously optimistic if they can put some things into place but to date we have not seen those things put into place," she says.

Stumbo says he and other lawmakers will monitor the progress of the changes to make sure prompt pay problems are resolved.