Navigation Links
AMERIGROUP Successful Bidder in DC RFP
Date:4/2/2008

Company Evaluating Business in Light of Unresolved Audit Issues

VIRGINIA BEACH, Va., April 2, 2008 /PRNewswire-FirstCall/ -- On March 10, 2008, AMERIGROUP DC was notified that it was one of four successful bidders in the reprocurement of the District of Columbia's Medicaid managed care business. The contracts for this award were approved by City Council on March 22nd and AMERIGROUP DC had been engaged in final preparations for a start date of May 1, 2008.

Yesterday, the Company notified the District that it was suspending its participation in readiness review activities related to the new contract award, due to questions the District has raised regarding the calculation of rates.

For the past few weeks, the Company has been engaged in a dialogue with the District's Office of the Attorney General in its review of these questions, which were raised in connection with an audit completed in May 2007. On March 28, the District filed a complaint in D.C. Superior Court alleging that AMERIGROUP DC submitted a report to its regulators in which it misclassified or improperly included certain administrative costs as healthcare costs.

"We believe that the allegations advanced in the complaint are without merit and based upon a fundamental misunderstanding of well-established rating and regulatory requirements and, in any event, are not material to rate calculations," said James W. Truess, Executive Vice President and Chief Financial Officer. "In the normal course of business, these kinds of issues are resolved through direct communications between a vendor and the regulatory agencies with oversight responsibility."

"We are concerned that the complaint also calls into question the appropriateness of rates in the new contract," Truess continued. "While we remain hopeful that we can resolve these questions quickly, we cannot proceed with the FY 2009 contract while they remain outstanding."

AMERIGROUP Community Care of the District of Columbia currently serves about 38,000 financially vulnerable D.C. residents who are enrolled in Medicaid and has operated in the District for nine years.

About AMERIGROUP Corporation

AMERIGROUP Corporation (NYSE: AGP), headquartered in Virginia Beach, Virginia, improves healthcare access and quality for the financially vulnerable, seniors and people with disabilities by developing innovative managed health services for the public sector. Through its subsidiaries, AMERIGROUP Corporation serves more than 1.7 million people in the District of Columbia, Florida, Georgia, Maryland, New Jersey, New York, Ohio, South Carolina, Tennessee, Texas and Virginia. For more information, visit http://www.amerigroupcorp.com.

CONTACTS:

Investors: Julie Loftus Trudell

AMERIGROUP Corporation

SVP, Investor Relations

(757) 321-3597

News Media: Kent Jenkins, Jr.

AMERIGROUP Corporation

SVP, External Communications

(757) 769-7859


'/>"/>
SOURCE AMERIGROUP Corporation
Copyright©2008 PR Newswire.
All rights reserved

Related medicine news :

1. Texas Senator Kirk Watson Honored as Champion for Children by the AMERIGROUP Foundation
2. AMERIGROUP Updates 2008 Guidance to Reflect Yesterdays Federal Reserve Action
3. AMERIGROUP Corporation to Present at the Lehman Brothers Global Healthcare Conference on March 20
4. Texas Senator Robert Duncan Honored as Champion for Children by The AMERIGROUP Foundation
5. AMERIGROUP Reports Q4 Net Income of $31.1 Million or $0.57 Per Diluted Share; Full-Year Net Income of $116.5 Million or $2.16 Per Diluted Share
6. Texas Senator Tommy Williams Honored as Champion for Children by the AMERIGROUP Foundation
7. AMERIGROUP Foundation Announces Winners of Word About Health Contest
8. AMERIGROUP Names Linda Whitley-Taylor as Executive Vice President, Associate Services
9. AMERIGROUP Community Care of Georgia Wins New Health Plan Accreditation from NCQA
10. AMERIGROUP Foundation Awards $100,000 to Grady Health System Foundation in Atlanta
11. AMERIGROUP Community Care Provides Doctors Office Makeover in Houston
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:6/24/2016)... ... ... a crisis. Her son James, eight, was out of control. Prone to extreme mood shifts ... upset him, he couldn’t control his emotions,” remembers Marcy. “If there was a knife ... and say he was going to kill them. If we were driving on the ...
(Date:6/24/2016)... ... 24, 2016 , ... Global law firm Greenberg Traurig, P.A. announced that 20 ... by their peers for this recognition are considered among the top 2 percent of ... honors as members of this year’s Legal Elite Hall of Fame: Miami Shareholders ...
(Date:6/24/2016)... (PRWEB) , ... June 24, 2016 , ... Comfort Keepers® ... American Cancer Society and the Road To Recovery® program to drive cancer patients to ... and other adults to ensure the highest quality of life and ongoing independence. ...
(Date:6/24/2016)... ... 2016 , ... People across the U.S. are sharpening their pencils and honing ... contest in which patients and their families pay tribute to a genetic counselor by ... Society of Genetic Counselors (NSGC) Annual Education Conference (AEC) this September. , In ...
(Date:6/24/2016)... ... 24, 2016 , ... The Haute Beauty Network, affiliated with ... as a prominent plastic surgeon and the network’s newest partner. , Dr. ... handsome men, look naturally attractive. Plastic surgery should be invisible.” He stands by ...
Breaking Medicine News(10 mins):
(Date:6/24/2016)... FRANCISCO, Calif. , June 24, 2016 /PRNewswire/ ... ), a biopharmaceutical company developing novel therapeutics for ... unmet needs, today announced the closing of its ... of common stock, at the public offering price ... in the offering were offered by GBT. GBT ...
(Date:6/24/2016)... , June 24, 2016 The Academy of ... recommendations that would allow biopharmaceutical companies to ... entities that make formulary and coverage decisions, a move ... of new medicines. The recommendations address restrictions ... appear on the drug label, a prohibition that hinders ...
(Date:6/24/2016)... -- According to a new market research ... Safety Pen Needles), Needle Length (4mm, 5mm, 6mm, 8mm, ... Purchase (Retail, Non-Retail) - Trends & Global Forecasts to ... for the forecast period of 2016 to 2021. This ... 2021 from USD 1.65 Billion in 2016, growing at ...
Breaking Medicine Technology: