http://journalstar.com/news/local/kvc-child-welfare-contract-amended-to-provide-more-money/article_38750350-86f0-5fbf-ab1d-82d64290d65a.html#ixzz1jqGrWu58
Another change made to the child welfare contract with KVC Behavioral Healthcare will cost the state $1.8 million more this year.
Department of Health and Human Services CEO Kerry Winterer told a committee of senators Thursday that without the payment for increased costs, the state’s lead contractor would have given its 90-day notice and left the state.
Health and Human Services Committee member Sen. Bob Krist of Omaha said by any other definition KVC’s threat was extortion.
“If you’re telling me that KVC told us that they were going to take their pail and bucket and go home unless they got some more money, then they have essentially grown to a position within this structure where they are extorting money from this government,” he said.
Winterer said the additional money was for services for state wards that Medicaid no longer was paying for, and for more kids than anticipated who were brought into the system in the Lincoln area.
Winterer said he did not consider the added money negotiated with KVC to be the result of extortion. The money will be used to pay Nebraska service providers.
