Mayor Vincent C. Gray announced today an agreement in principle with the Receiver overseeing the DC Chartered Health Plan that has been in receivership for the past eight months. The agreement paves the way to reimburse hospitals and the array of community based providers for the costs incurred in delivering health care services to more than 105,000 Medicaid and Alliance beneficiaries who were assigned to the DC Chartered Health Plan. Many of these providers have not received payment from DC Chartered since April 2013. The most recent figures indicate that these health care providers have not been paid more than $47 million.

“The providers that deliver critical health care services to our low-income residents are an invaluable asset in the District’s health care network,” said Mayor Vincent Gray. We have an obligation to take necessary measures to protect them and the patients they serve. I am pleased that these actions we are announcing today do just that.”

Under the plan, impacted health care providers will receive $18 million in payments on unpaid claims from the Receiver during the month of July. The balance of the claims will be paid in August by the District Department of Health Care Finance (DHCF) through an emergency grant program.