Modivcare, a Colorado-based company that provides transportation for Medicaid patients in Maine, has filed for Chapter 11 bankruptcy protection.
State Sen. Mike Tipping said he already had concerns about Modivcare's services in Maine. Now, he's heard from local providers that contract with the company, who said they're not sure they'll be paid for rides they've already provided.
Tipping said the state needs to reassess the contract with Modivcare.
"We're about to undermine our transportation infrastructure in rural Maine and give this huge contract to this out of state company, and they just went bankrupt," Tipping said. "So this is the chance to reassess that."
Zoe Miller with the Moving Maine Network said she doesn't know how the filings will impact ride services but said it does create even more uncertainty.
"We know that the current approach to delivering MaineCare transportation isn't working well for the people of Maine or for the state," Miller said. "And so, you know, we think this emphasizes that the state should go back to the drawing board and find a way to do MaineCare, transportation better."
In a statement, Modivcare said the Chapter 11 process will create a stronger more sustainable organization and expects no interruption to service.
A spokesperson for Maine's Department of Health and Human Services said the state is aware of the filings and monitoring the situation closely.
Modivcare contracts with the Maine Department of Health and Human Services in several counties to transport Medicaid patients to medical appointments.
