Statement on Governor Reynolds’ Creation of New “Task Force”

DES MOINES, IA – Today, nominee for governor Rob Sand issued the following statement on the creation of a new “task force” started by Governor Kim Reynolds related to Medicaid services – which she and Governor Terry Branstad transitioned to a privatized system ten years ago.

“If the insiders who run state government cared about uncovering Medicaid fraud, they would reverse the privatization of Medicaid, which has been nothing but bureaucratic red tape and headaches for Iowa patients, providers, and pocketbooks. This ‘task force’ features no perspectives from patients or providers, yet includes representatives from MCOs. Like everything else that marks the Reynolds administration, this is just another example of her serving powerful insiders and special interest groups over Iowa families.”

Before privatization, Iowa had one of the most efficient Medicaid systems in the country. After the system was privatized, Rob’s office found a nearly 900 percent increase in illegal denials of care, meaning people were wrongfully being kicked off of their health insurance, creating bureaucratic red tape and headaches for patients and providers alike. In just ten years, five different managed care companies have cycled through Iowa’s Medicaid program. None have lasted the full decade, forcing families to navigate repeated disruptions and paperwork changes, forcing providers to hire extra staff to chase payments, and making hospitals have to take out loans to cover unpaid bills — all adding up to worse care and higher costs for everyone. As governor, Rob will reverse the privatization of Medicaid.

Governor Reynolds also signed SF478, the most pro-corruption bill in Iowa history, that gutted the powers of the Auditor’s Office and its ability to uncover waste, fraud, and abuse of tax dollars, further highlighting her disinterest in uncovering fraud.