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Oklahoma pulls Planned Parenthood from Medicaid funds

Suzette Gutierrez Cachila May 09, 2016 04:55 AM EST

Oklahoma is ending two Planned Parenthood contracts on June 29, becoming the second state to pull the organization from Medicaid funds.

Oklahoma Republican Governor Mary Fallin makes remarks before the opening of the National Governors Association Winter Meeting in Washington, in this February 22, 2014 file photo. | Reuters/Mike Theiler

The contracts that will be terminated are Planned Parenthood of Central Oklahoma and Planned Parenthood of Arkansas and Eastern Oklahoma. Both have already been informed about the state's decision.

"My decision in February was made based upon what I firmly believe to be the best interests of this agency going forward," Nico Gomez, CEO of Oklahoma Health Care Authority, said. Because the contracts will be terminated by the end of June, Medicaid members still have a chance to look for alternatives, Gomez added.

In November 2015, Gov. Mary Fallin asked the Health Care Authority Board to cut Planned Parenthood from Medicaid because of issues of "overbilling" and "alleged potential fraud."

"Research strongly suggests that Planned Parenthood and its Oklahoma and national affiliates regularly, whether intentionally or negligently, engage in a pattern of practices resulting in the overbilling of state Medicaid programs," Fallin addressed the agency in a letter. "Numerous False Claims Act whistleblower lawsuits around the country have also alleged potential fraud by Planned Parenthood affiliates."

The governor mentioned that figures from the comprehensive Program and Integrity Review from October last year showed that about one in seven bills bore incorrect codes, costing the state more than $300,000 in payments to the two Planned Parenthood sites, which in turn caused state taxpayers to pay more than they should.

Fallin emphasized that cutting Planned Parenthood from Medicaid will not necessarily affect the availability of women's health care in Oklahoma, where there are more than a hundred clinics providing women's health care.

Oklahoma's announcement comes at the heels of Kansas' declaration to cut Planned Parenthood from Medicaid, particularly for its Kansas and Mid-Missouri and St. Louis sites. The organization has responded by filing a federal lawsuit against Kansas the day after they were informed of the state's decision.

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