Hearing in Des Moines aimed at forcing a delay in new Medicaid system in Iowa starting January 1st.

A new system of managing Iowa's Medicaid patients is scheduled to go into effect on January 1st.  But Democrats in the state legislature are hoping a public hearing scheduled for 10:00 a.m. Monday will create enough momentum to stop the planned start of the new program.

The Health Care Policy Oversight Committee will meet at 10:00 a.m. Monday in the old Supreme Court chamber at the statehouse in Des Moines to discuss concerns about the future of the Medicaid program in the state.

Medicaid--a joint federal and state program--covers health care for more than 560,000 poor or disabled Iowans.  Governor Terry Branstad earlier this year announced a plan to switch to a privatized administrative system, saying it would save the state $51 million in the first six months.

Critics of the change fear it will result in inferior care as the four private management companies seek to maximize their profits.  The state awarded contracts Amerigroup Iowa, AmeriHealth Caritas Iowa, UnitedHealthcare Plan of the River Valley and WellCare of Iowa in August. The governor has defended the plan, stating the change is necessary to lower increased Medicaid costs.

Several companies who were not awarded contracts have claimed there were improprieties in the selection process.  Iowa's 42,000 health care providers have complained about the lack of information the four companies have given them about reimbursement rates and their fears that their reimbursements will be lowered further.  And Medicaid recipients have complained it's been difficult to select one of the four companies as their provider, since they don't know whether local health care providers have signed a contract with the firm.