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State terminates MedRide contract after failure to comply with regulations

By 02/12/2025 | updated 12 months ago

The Colorado Department of Health Care Policy and Financing terminated its contract with MedRide, a Colorado Springs-based emergency Medicaid transportation company.

The reasons for the Monday termination include MedRide’s failure to complete required background checks for drivers, provide valid proof of insurance, and ensure proper vehicle safety inspections and registrations, according to a news release Tuesday.

“HCPF’s top priority is the safety of Health First Colorado members,” said Health Care Policy and Financing Executive Director Kim Bimestefer in the release. “MedRide failed to comply with the program requirements that have been clearly communicated over the past year in order to achieve these critical priorities.”

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MedRide, though, is disputing the termination, claiming that the office cannot officially terminate the contract as it has been with the state attorney general for the past several days, according to spokesperson Andy Boian Tuesday evening. 

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The update comes on the heels of the organization’s Medicaid transportation services being suspended by the department Friday after it found deficiencies within the documentation on ride claims of over 52 miles, according to documents released by the state. 

Colorado Medicaid suspends contract with MedRide

A non-emergency medical transportation (NEMT) provider, MedRide’s suspension came after months of attempting to comply with a revalidation and credentialing process set forth by the department, according to a Monday news release from the organization. MedRide, though, claimed that the department continued to shift goalposts of the process.

“The Medicaid patients are the ones who are truly hurt the most by this process,” said Greg Harriman, MedRide’s president and owner, in the release. “Our focus remains on resolving this issue quickly, so we can continue to provide this service to those who need it most.”

In addition to failing to comply with the requirements set forth by the department, MedRide also failed to comply with a corrective action plan agreed to in November, according to the state’s release.

The action plan included several requirements MedRide needed to agree to in order to receive the “7 million” in claims the department was holding in review. Among the requirements was confirmation that MedRide would finalize all credentialing and revalidation paperwork by Feb. 1 and that the organization would submit clean claims without the initial deficiencies.   

“MedRide is one of the largest Medicaid transportation providers in the state, but we have over 130 other providers as well,” said Marc Williams, spokesman with HCPF. “There are plenty of other providers to pick up access where needed.”

Private pay rides were advertised as available on MedRide’s website Tuesday.

All NEMT providers were required to undergo revalidation and credentialing by the department after a 2023 audit uncovered an alleged fraud scheme wherein providers intentionally carried patients long distances to drive up Medicaid reimbursements.

“We have been trying to be revalidated for nine months,” said Boian. “All can be remedied easily if they would engage with the discussion.”

MedRide filed a temporary order challenging the initial suspension on Thursday evening, but complied with a directive to suspend all rides on and after Friday, according Boian. The organization has a fleet of more than 300 vehicles that offer both ambulatory and wheelchair transportation, according to the release.

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Michael Braithwaite michael.braithwaite@gazette.com

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