ValueOptions didn’t file complaint with the feds

Company protesting the awarding of state’s behavioral health services contract to OptumHealth says it also hasn’t been subpoenaed in the case

ValueOptions New Mexico, which has been loudly protesting the recent awarding of the state’s behavioral health services contract to another company, says it didn’t initiate the federal investigation into the procurement process.

In addition, ValueOptions says it hasn’t been subpoenaed in the case.

“We did not file a complaint with federal investigators, nor have we received a subpoena,” said the company’s director of public affairs and communications, Patrick Killen. “As a matter of policy, we do not comment on investigations in process.”

In April, a federal grand jury subpoenaed documents related to the state’s pending shift from ValueOptions to OptumHealth New Mexico, a subsidiary of United HealthCare. The state awarded the massive contract in January to OptumHealth over ValueOptions, which has held the contract for four years.

ValueOptions is challenging that in court, alleging that the state changed its scoring system to favor OptumHealth. State officials say there was no impropriety in the scoring process.

Both companies gave big to Gov. Bill Richardson’s 2008 presidential campaign and in other ways.

ValueOptions’ administrative protest is pending in court, and Killen said ValueOptions hopes for an “expedited resolution.” OptumHealth is scheduled to take over July 1.

I asked if there’s a chance that the court action or investigation might lead to the state not having a behavioral health services provider in place on that date. Here’s what Killen said:

“We have found serious fault with the state’s proposal evaluation process and believe that a stay is in the best interest of New Mexico and its behavioral health care consumers,” Killen said. “Regardless of the outcome, however, the state will have a behavioral health services provider in place on July 1 — ValueOptions just believes firmly that we are the best qualified to provide the services New Mexico needs.”

Meanwhile, the state has to respond to the subpoena it received from the federal grand jury next week. State officials have declined to comment on the investigation.

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