Medicaid managed care organization Kentucky Spirit has officially exited the commonwealth, leaving health officials with approximately 125,000 members to transfer to other MCOs.

The move occurred in the early morning hours Saturday after the Kentucky Court of Appeals had previously denied the state’s emergency motion for a mandatory injunction to keep Kentucky Spirit from leaving.

A judge has ordered Kentucky Spirit to pay for preventative care that local health departments across the state provide to school children.

The Courier-Journal reports Franklin Circuit Judge Phillip Shepherd issued the ruling Tuesday.

The Medicaid-managed care provider stopped paying for such services last summer, saying it wasn't obligated to cover the care under its contract with the state.

  The Hopkins County Board of Health may learn in two weeks whether they'll settle an ongoing dispute with a Medicaid Managed care Organization.  Board Director Jack Morris said a judge will decide in two weeks whether Kentucky Spirit is liable for the $190,000  owed to the Health Department for services provided in state schools. Kentucky Spirit claims it didn’t understand the obligations despite signing a binding three-year contract with the state. Board Chairman Dr. Tristan Linesberry said the organizer’s position is an untenable situation.

The Hopkins County Health Department is continuing to wait for over $300,000 of reimbursement from one of the Commonwealth’s three managed-care organizations. 

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Weeks after their announced departure from Kentucky’s Medicaid managed care system, operator Kentucky Spirit and the state are still locked in a legal battle.

Struggling Medicaid operator Kentucky Spirit has followed through and is suing to end its contract with the state.

Kentucky Spirit announced last week it was leaving the commonwealth, because it could not operate without massive losses.  Now, it is suing in Frankfort courts to make it official.

As the fallout continues from the announced departure of statewide Medicaid operator Kentucky Spirit, many other Medicaid operators are already looking to take their place.

Kentucky Spirit announced last week they would break their contract with the state early. State officials say they won’t re-open those statewide contracts to replace Kentucky Spirit until the current contracts expire.

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Governor Steve Beshear says he’s disappointed that one statewide Medicaid operator has announced it is leaving the state.

Kentucky Spirit, part of Centene Corporation from Missouri, announced today that they would terminate their operations next July, before their contract is up.

Kentucky lawmakers continue to chastise three of the state's Medicaid Managed Care organizations for mismanagement.

Representatives of Kentucky Spirit, Wellcare of Kentucky and Coventry Cares appeared before the program review committee today. Legislators wanted to know whether they had solved problems brought up by health care providers in a January committee meeting.

The MCOs all said the problems were mostly solved and that operations were improving every day. But independent pharmacists and mental health care providers disagreed.

Officials with Kentucky's Medicaid managed care organizations say they're on track to resolve any problems with reimbursements to doctors and pharmacists.