Governor Vetoes House Speaker's Medicaid Bill

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Gov. Steve Beshear has vetoed a bill sponsored by House Speaker Greg Stumbo that would have set up a process to resolve payment disputes between medical providers and Medicaid managed care organizations.

The measure would have set up an appeals process in the Department of Insurance to speed up resolution of payment disputes.

Beshear told reporters at a Capitol press conference the bill could have led to excessive costs to state government and interfered with contracts with doctors, hospitals and the managed care groups.

Stumbo had proposed the legislation because of complaints that Medicaid payments weren't always being made promptly. Beshear said a review found that most clalims over the past year had been approved and paid.

Both Beshear and Stumbo are Democrats.

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