Oklahoma’s managed Medicaid plan hit a legal roadblock on Tuesday, as the Oklahoma Supreme Court deemed the program legally invalid.
Under the Stitt Administration’s managed care plan, Oklahoma would shift $2 billion in Medicaid funding to four private insurance companies, which would then coordinate care for most of the state’s Medicaid enrollees. Those contracts have been awarded, and enrollment is slated for the fall.
The plan, named SoonerSelect, has many opponents, including most of the state’s medical trade groups. Those groups filed a lawsuit against the state’s Medicaid agency in February, arguing the executive branch didn’t have the legislative authority it needed to implement the program.
The Oklahoma Supreme Court issued a ruling on Tuesday evening, agreeing with those medical groups, stating the program and its contracts to the insurance companies are legally invalid.
It’s unclear for now what effect this will have on the managed care plan’s implementation and on the insurance companies that have already secured contracts for services.
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