TUCSON, Ariz., Dec. 28 /PRNewswire-FirstCall/ -- The Providence Service Corporation (Nasdaq: PRSC) today commented on the landmark healthcare legislation that was passed last week by the United States Senate. The Senate Bill, which still needs to be merged with the House Bill and therefore could still undergo substantial changes, has a number of features that are expected to add funding for many of the types of home and community based social services that Providence provides to Medicaid eligible populations. While the Senate's version of the bill also implements some cuts and cost saving measures, primarily to out of home care providers and hospitals' "Disproportionate Share" programs, the cuts are not expected to affect the Company's services.
Included in the Patient Protection and Affordability Act are:
"After years of operating under the Medicaid waiver and continuing to demonstrate the value of home and community based services we are pleased that Congress is recognizing that preventative and home based care may be the best use of Medicaid dollars," said Fletcher McCusker, Chairman and CEO.
The bill will now go to a committee combined of House and Senate members to reconcile the differences in the two pieces of legislation. There could be substantial changes to the current draft and the benefits outlined above are contingent on the passage of a final bill.
The Providence Service Corporation, through its owned and managed entities, provides home and community based social services and non-emergency transportation services management to government sponsored clients under programs such as welfare, juvenile justice, Medicaid and corrections. Providence does not own or operate beds, treatment facilities, hospitals or group homes, preferring to provide services in the client's own home or other community setting. The Company provides a range of services through its direct and managed entities to over 74,000 clients through 843 active contracts at September 30, 2009, with an estimated 7.3 million individuals eligible to receive the Company's non-emergency transportation services. Combined, the Company has a nearly $1 billion book of business including managed entities.
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "believe," "demonstrate," "expect," "estimate," "anticipate," "should" and "likely" and similar expressions identify forward-looking statements. In addition, statements that are not historical should also be considered forward-looking statements. Readers are cautioned not to place undue reliance on those forward-looking statements, which speak only as of the date the statement was made. Such forward-looking statements are based on current expectations that involve a number of known and unknown risks, uncertainties and other factors which may cause actual events to be materially different from those expressed or implied by such forward-looking statements. These factors include, but are not limited to the global credit crisis, capital market conditions, and other risks detailed in Providence's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the fiscal year ended December 31, 2008. Providence is under no obligation to (and expressly disclaims any such obligation to) update any of the information in this press release if any forward-looking statement later turns out to be inaccurate whether as a result of new information, future events or otherwise.
SOURCE The Providence Service Corporation
|SOURCE The Providence Service Corporation|
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