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Maine House OKs Bill to Cancel Consultant Contract

| March 25, 2014


AUGUSTA, Maine (AP) – Maine lawmakers have given initial approval to a bill that would cancel the state’s nearly $1 million contract with a consultant examining its Medicaid program.

The House voted 80-60 Tuesday in favor of nixing the contract with the Alexander Group, which was hired by the Department of Health and Human Services to study whether the state should expand Medicaid under the federal health care law and address other issues in the program.

The bill needs further votes in the House and Senate.

Democrats say the state’s awarding a no-bid contract was inappropriate and have criticized the group’s analysis that Medicaid expansion would cost the state $800 million over the next decade.

Republicans say that the group is extremely qualified to do the review and have called the bill politically motivated.

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