ST. PAUL, Minn. (AP) – Minnesota stands to receive more than $35 million from four health plans that voluntarily agreed to cap profits from care provided to people in public programs. The federal government is in line for a similar rebate.
The $73 million in all being turned back to the government stems from a negotiated agreement by Gov. Mark Dayton’s administration and four large managed care companies, including HealthPartners and Medica. They agreed to limit profits on certain programs to 1 percent.
Human Services Commissioner Lucinda Jesson says the money won’t arrive until July and after audits are completed. That could make it tougher for lawmakers to tap into the windfall as part of budget deliberations this session.
The managed care companies are in the final year of three-year contracts with the state.
(Copyright 2012 by The Associated Press. All Rights Reserved.)