Mayo Clinic Rejects Iowa Medicaid Managed-Care Contracts

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DES MOINES, Iowa (AP) -- Iowa residents with Medicaid health coverage won't be able to routinely use the Mayo Clinic when the state shifts the $4 billion program to private management next week.

The Des Moines Register reports that the three managed-care companies that will run the state's Medicaid program told lawmakers this week that they haven't been able to negotiate contracts with Mayo's well-known hospital system, located just across the border in Rochester, Minnesota.

Amerihealth's top executive in Iowa, Cheryl Harding, told legislators that her firm has signed contracts with three Mayo-affiliated primary care clinics in Iowa, but not with the main medical center in Rochester. UnitedHealth and Amerigroup also said they haven't obtained such contracts.

The three managed-care companies say they'll continue trying to persuade Mayo to sign contracts to give routine care for the 560,000 Iowa residents on Medicaid.