Concerns Grow Over Medicaid Home Care Program
State lawmakers are pressing for more transparency as new evidence emerges regarding the oversight of Governor Kathy Hochul’s administration in managing an extensive $11 billion Medicaid home care initiative.
Officials from Public Partnerships LLC (PPL) recently informed a state senator that the company had been inaccurately sworn under oath last month, claiming there was no engagement with state officials despite having received a draft of the law that featured the company’s name.
“There’s something not right here,” State Senator Stephen Rhodes (R-Nassau) remarked in response to PPL’s revelations concerning their role in processing payments for the enhanced Consumer Directed Personal Assistance Program (CDPAP).
“Families deserve clarity about these interactions. Who was in the loop? Did they have any influence over the drafting and selection process? And if they did, did some of her donors benefit from it?” Rhodes added, emphasizing the need for answers.
PPL’s vice president of government relations, Patty Byrnes, refuted claims of communication between the company and the Department of Health (DOH) before the budget was finalized. However, previous letters obtained indicated this was “not accurate.”
“There had been general discussions with DOH staff when New York was exploring the transition to a single financial intermediary program,” the letter noted.
State Senate Committee on Inquiry Chair Jim Scorfes (D-Orange) co-chaired a hearing last month, alongside Health Committee Chair Gustavo Rivera (D-Bronx), and committed to further investigation.
“All of these statements and testimonies raise more questions,” Scorfes stated.
PPL has been cooperative in the investigation thus far, but Scorfes indicated that issuing subpoenas is not off the table.
Governor Hochul’s team has not refuted claims of prior communications with PPL while modifying CDPAP legislation, which could have integrated the company’s interests directly into state law.
Rivera expressed concern over the transition of hundreds of financial intermediaries responsible for processing payment subsidies, emphasizing that this could negatively impact both patients and care workers.
“Senator Skoufis and I are clear that the way PPL has managed this transition is not acceptable, and they must ensure New Yorkers receive consistent and fairly compensated home care,” Rivera asserted.
Recent admissions from PPL complicate matters for the Hochul administration, which is already grappling with the consequences of these changes.
During a recent CDPAP hearing, health committee member Jim McDonald denied any prior contact with PPL before the bidding process, stating, “There’s a lot of noise in New York.” He maintained trust in his team’s honest requests for proposals.
A representative for Governor Hochul did not address PPL’s claims but reiterated that there was no prior contact between her office and the company before last year’s budget was finalized.
“After the legislation passed, the transition to a single financial intermediary went through a standard procurement process at DOH, and the contractor was only known after this process was completed,” the spokesperson clarified.
PPL has chosen not to provide further commentary.
A spokesman for the Department of Health contended that Commissioner McDonald was unaware of any communication between his staff and PPL prior to the procurement process. “As Commissioner McDonald stated to Senate leaders, he had no knowledge of any talks that occurred prior to this process,” the spokesman said.
