AUSTIN (KXAN) — Central Well being introduced Tuesday it’s suing healthcare firm Ascension Texas, alleging Ascension is “failing to satisfy its contractual obligations” in offering healthcare companies to residents from lower-income backgrounds in Travis County.
Based on the discharge, Central Well being started its contractual relationship with Ascension in 2004. In 2013, Ascension dedicated to proceed offering at minimal “the present ranges of healthcare companies,” which included each hospital and specialty care. The contract renewal utilized to sufferers enrolled by way of Central Well being’s Medical Entry (MAP) program, or healthcare protection for uninsured Travis County residents from decrease earnings backgrounds.
Central Well being officers cited a 21% decline in sufferers between 2013 and 2022, down 8,000 sufferers, the discharge states.
“We’re out of choices,” mentioned Mike Geeslin, President & CEO of Central Well being, within the launch. “Ascension’s persistent failures to honor its contractual commitments left Central Well being with no selection however to file a lawsuit to carry Ascension accountable for not offering sufficient, equitable healthcare companies for folks with low earnings in Travis County. Their practices have triggered actual hurt to the folks we serve.”
An Ascension spokesperson acknowledged KXAN’s request for remark and mentioned an announcement will likely be out there shortly. We’ll replace this story as soon as that assertion has been obtained.
The lawsuit alleges decreased ranges of healthcare companies supplied in each common and specialty areas. The lawsuit claims Ascension breached its contract with Central Well being within the following methods:
- Failure to supply “agreed-upon healthcare companies to low-income Travis County residents,” together with each common and specialty care
- Failure to supply healthcare companies to MAP sufferers, Charity Care sufferers on “a nondiscriminatory foundation”
- “Improperly billing” Charity Care sufferers for healthcare companies
- Failure to supply obligatory studies that Central Well being must “monitor, on behalf of Travis County residents, Ascension’s compliance with efficiency requirements”
As a part of the lawsuit, Central Well being is in search of a termination of its contractual agreements with Ascension, in addition to the choice to buy Dell Seton Medical Middle. Per the discharge, Ascension was “permitted to affiliate with the Central Well being-supported Dell Medical Faculty at The College of Texas at Austin,” as a part of the creation of Dell Seton Medical Middle.