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Okla. Medicaid program to end contracts with two Planned Parenthood affiliates

Oklahoma's Medicaid program on Wednesday announced that it is ending its contracts with two Planned Parenthood affiliates in the state, the AP/Sacramento Bee reports (Murphy, AP/Sacramento Bee, 5/4).

Courts in several other states have blocked efforts to defund Planned Parenthood (Women's Health Policy Report, 11/20/15). Last month, the Obama administration issued a letter to states cautioning them that ending Planned Parenthood's Medicaid funding could violate federal law (Women's Health Policy Report, 4/20).

Background

Gov. Mary Fallin (R) last year asked the Oklahoma Health Care Authority (OHCA) to end contracts with Planned Parenthood of the Heartland (PPH) and Planned Parenthood of Central Oklahoma (PPCO) based on preliminary findings from an OHCA audit of the organizations. According to the audit, one affiliate had a billing error rate of about 20 percent while the other had a billing error rate of about 14 percent. The review did not find any improper use of state funding.

At the time, OHCA CEO Nico Gomez said that the investigation was ongoing and he would follow the governor's request if further investigations confirm the earlier findings.

PPH officials said, "The findings of these audits are a normal part of the process in reviewing health care reimbursement," adding, "Often, it is simply a matter of submitting additional documentation that supports the request for full Medicaid reimbursement." The organization said Fallin's call was "premature and incredibly disappointing" (Women's Health Policy Report, 11/20/15).

Latest developments

Gomez said the agency notified two affiliates -- PPCO and Planned Parenthood of Arkansas and Eastern Oklahoma (PPAEO) -- in February (AP/Sacramento Bee, 5/4). PPH entered into a management contract with PPAEO in July 2011, making PPAEO a PPH subsidiary ("Our History," Planned Parenthood of the Heartland, accessed 5/5). Gomez said the contracts were terminated under a "without cause" provision that allows either party to end the agreements.

The Planned Parenthood affiliates provide services including contraception, testing and treatment for sexually transmitted infections, vaccinations and screenings for cervical and breast cancer. According to the AP/Bee, PPCO and PPAEO provide care for several thousand low-income state residents. The affiliates do not offer abortion care in the state.

The current contracts will remain active through June 29.

Tamya Cox, an attorney for PPH, said, "Our doors remain open for the people who choose Planned Parenthood for their health care, including patients covered by Medicaid" (AP/Sacramento Bee, 5/4).

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