Driscoll Health Plan CEO holds press conference over Texas Medicaid changes
June 19 2024 - 6:59PM
On Wednesday, Driscoll Health Plan CEO Craig Smith spoke to members
of the media about state Medicaid changes that could shutdown
Driscoll Health Plan. He was joined by Dr. Mary Dale Peterson,
Executive Vice President and Chief Operating Officer of Driscoll
Health System.
Since March 2024, Driscoll Health Plan has been appealing to the
state after it was denied the opportunity by Texas Health and Human
Services Commission to continue to provide Medicaid STAR and
Children’s Health Insurance Program (CHIP) coverage.
“It’s a decision by the agency that if not reversed, could
effectively mean the end of Driscoll Health Plan. As a result,
three-quarters of the children and pregnant mothers on Medicaid
across South Texas will have their health insurance disrupted. More
than 500 jobs in our part of the state could be eliminated, and
access to pediatric care and maternal care will be reduced for a
generation of individuals in need,” said Driscoll Health Plan CEO
Craig Smith.
“Even worse, Driscoll is not alone in this situation. HHSC is
also eliminating other top quality health plans, like Cook
Children’s and Texas Children’s. The ripple effect of the agency’s
drastic action will force 1.8 million children and pregnant mothers
to change their Medicaid insurance provider,” Smith said.
“I’m here to assure you, our friends and families at
Driscoll, that we will fight until the very end to continue serving
our members and our communities, because South Texas is our home,”
Smith said.
Driscoll will file a second appeal with the state this week.
If the second appeal is rejected, Driscoll is prepared to pursue
legal action against the state.
“For more than two decades, Driscoll Health Plan has been
providing Medicaid coverage throughout South Texas. Today, Driscoll
Health Plan has grown to serve 24 counties and 185,000 members,”
said Dr. Mary Dale Peterson, Executive Vice President and Chief
Operating Officer of Driscoll Health System.
Driscoll Health Plan funds dozens of health-related programs in
the community, including an annual $10 million investment into
maternal fetal medicine to guarantee coordinated care and keep
pregnant moms healthy. This has saved the state of Texas more than
$1 billion between 2008 and 2022 in reduced NICU costs. The
investment sees the employment of several full-time maternal fetal
medicine physician-specialists who provide care at clinics across
South Texas and the Rio Grande Valley.
This initiative reduced the preterm birthrate in the region from
15.1 percent to its lowest point of 9.1 percent before the
pandemic.
“To me that’s not a number. That’s all the babies that
can now have a more normal life,” Dr. Peterson said.
Other programs funded by Driscoll Health Plan focus on keeping
the community healthy, like providing vaccines and diapers to new
moms, sponsoring fun activities for kids to stay healthy and
outdoors, or helping kids get back to school with new backpacks and
school supplies. Driscoll Health Plan partners with more than 500
different organizations, ranging from other nonprofit groups with
parallel missions, to community groups, food banks, first
responders, local governments and school districts. In total,
Driscoll Health Plan generates $330 million in annual business
activity, impacting over 2,800 jobs across the state, according to
a Perryman Group study commissioned by Driscoll.
“The basis of our appeal is to illustrate that the procurement
process conducted by the state was fundamentally flawed and we
believe actually violated state statues … It did not take into
consideration past performance, any historical results, didn’t look
at the 150 quality measures that we report on every year … it
basically ignored two decades of investment,” said Dr.
Peterson.
“Perhaps the most disappointing aspect of this decision is the
fact that members and physicians and other providers were never
consulted,” said Dr. Peterson.
Driscoll Health Plan began in 1998 as an answer to the uninsured
population in South Texas. It has grown to serve a 14-county area
surrounding Nueces County and a 10-county area in the Rio Grande
Valley. The plan offers both Medicaid-managed and low-cost coverage
options for children, young adults and expecting mothers.
MEDIA: Full video of the event for press to use can be found
at this Dropbox link. Please contact Fernando Ramirez for
additional information or to arrange an interview.
###
About Driscoll: Driscoll is the premier healthcare
provider for kids in South Texas. We are a nonprofit healthcare
system that has served communities in the Lone Star State since
1953. Today, Driscoll is the fastest-growing healthcare system in
the region, offering care at the region’s only two freestanding
designated children’s hospitals: Driscoll Children’s Hospital
Corpus Christi and Driscoll Children's Hospital Rio Grande Valley,
and at specialty centers and clinics across South Texas. Our
non-profit community-based health plan, Driscoll Health Plan,
offers Texas families access to local physicians and other
lifesaving benefits.
Fernando Salvador Ramirez
Driscoll
3616312368
fernando.ramirez@dchstx.org