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Medicaid agency requests $2 million increase for non‑emergency medical transportation contract; committee approves

3063770 · April 14, 2025
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Summary

The Department for Medicaid Services asked for an additional $2 million for its non‑emergency medical transportation contract after reporting a rise in trips; the committee approved the amendment and asked for trip and distance data.

The Department for Medicaid Services notified the Contract Review Committee on May 1 that rising demand for non‑emergency medical transportation (NEMT) required a $2 million increase to an existing memorandum of agreement.

Lisa Lee, commissioner for the Department for Medicaid Services, and Justin Derringer, director for the Division of Health Care Policy, said Medicaid provided more than 2,000,000 NEMT trips last year and that trip volume can fluctuate month to month. The department described the increase as necessary to keep the contract actuarially sound and to ensure providers are paid.

Committee members asked for more detailed operational data. Senator Meredith requested average trip distances and operational metrics that could show whether expanding local primary care capacity would reduce transportation demand; officials said they receive routine reports from the Transportation Cabinet showing distance, mileage, vehicle types used and complaint statistics and agreed to share the latest annual report with the committee.

Representative Rorx asked about wait times and scheduling; agency staff said trips are normally scheduled by calling the broker 72 hours in advance, with a 24‑hour option for urgent but nonemergency needs, and that the contract requires complaint tracking for late pick‑ups.

On a motion to approve the MOA amendment, the committee voted in favor and the contract increase was approved to allow Medicaid’s NEMT brokers to continue services without interruption.