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Health and Family Services Cabinet
Oakwood’s Medicaid Funding to Continue During Appeal

Press Release Date:  Friday, October 07, 2005  
Contact Information:  Vikki Franklin or Gwenda Bond (502)564-6786  

Oakwood’s Medicaid Funding to Continue During Appeal
State Officials Working to Ensure Residents’ Health, Safety

FRANKFORT, Ky. (Oct. 7, 2005) Federal Medicaid reimbursement to Oakwood will continue while the Cabinet for Health and Family Services (CHFS) files an appeal of its funding termination, the Centers for Medicare and Medicaid Services (CMS) has informed CHFS. The appeal is of CMS’ decision to terminate the funding effective Sept. 14 with reimbursement continuing for 30 days.

“The management and staff at Oakwood have been working night and day to begin substantial changes that will protect the health, safety and welfare of the residents at Oakwood,” said John Burt, Ed.D., commissioner of the Department for Mental Health and Mental Retardation Services (MH/MR). “Oakwood still faces substantial challenges in the days and weeks ahead to make the changes that both the Cabinet and the federal government feel are necessary to improve the quality of life for the residents.”

The federal government can, but is not required to, continue funding during an appeal. During this appeal period the facility will be subject to additional reporting and monitoring requirements to demonstrate continued progress on Oakwood’s improvement plans. The appeal is not a contract extension and federal Medicaid funding may be terminated by CMS at any time if it determines that the health or safety of Oakwood residents is at risk.

“This is encouraging news for the residents, family members, guardians, local community and the Cabinet. The necessity to achieve real and measurable progress at Oakwood is greater than ever. The quality of life and safety of the residents must continue to improve,” said CHFS Secretary James W. Holsinger, Jr., M.D. “The Cabinet is committed to nothing less.”

Holsinger has also sent a letter to Oakwood management ordering the implementation of actions to bring the facility into compliance. 

Located in Somerset, the Communities at Oakwood serves approximately 300 people with mental retardation and is operated by MH/MR within CHFS.



Last Updated 10/11/2005