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Magellan Counties to Increase Monitoring
October 1, 2002

At the recent meeting of the Medical Assistance Advisory Committee (MAAC), Joan Erney, Director of the Bureau of Operations and Quality Management for the Office of Mental Health and Substance Abuse Services (OMHSAS), announced that counties in HealthChoices regions who had contracted with Magellan Behavioral Health have submitted "back up" plans. These plans were required following recent reports of Magellan's financial difficulties.

The six counties that currently contract with Magellan (Bucks, Chester, Delaware, Montgomery, Lehigh, and Northampton) have been required to develop plans for enhanced financial monitoring. Erney also indicated that OMHSAS was increasing their level of monitoring. Additionally, counties were to prepare "Transition Plans" detailing contingency plans should a change in MCO be necessary.

Erney emphasized that Magellan was still in compliance with all requirements.

PCPA requests that any members experiencing any problems in claims payment provide details to Rebecca May Cole at the Association.

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