Starting in July, Eastpointe Human Services will no longer exist as it is currently.
The managed care organization that assist those with behavioral and mental health needs, intellectual and developmental disabilities and substance abuse issues, currently serves a dozen counties, including Sampson. Eastpointe announced in a prepared statement Friday that it has executed a letter of intent to consolidate operations with Cardinal Innovations Healthcare, based in Kannapolis, effective July 1, 2017.
The consolidated organization would operate as Cardinal Innovations Healthcare.
“Over the next few weeks, we will be negotiating a binding definitive agreement to consolidate with Cardinal Innovations,” Sarah N. Stroud, chief executive officer of Eastpointe, stated.
The definitive agreement requires approval by the Eastpointe Area Board and the Secretary of the N.C. Department of Health and Human Services and Eastpointe officials said more details would be released as parties worked through the “specifics of an agreement.” Stroud touted the proposed consolidation as key to Eastpointe’s services.
“This anticipated consolidation is a key component to Eastpointe’s long-term strategy as a MCO (managed care organization),” Stroud stated. “Eastpointe’s leadership determined that it is best to align Eastpointe and its 12-county service area with Cardinal Innovations because of our shared belief that Medicaid reform should provide access, choice and integrated care for complex populations.”
Days before that consolidation was announced, the Sampson County Board of Commissioners was offered information at its regular meeting of the Nash County Board of Commissioners’ intention to withdraw from the Eastpointe LME/MCO and its request to join Trillium Health Resources Governing Board. A letter from Trillium, which serves 24 counties, and resolutions from the Nash commissioners and Trillium supporting the move were provided to Sampson commissioners.
During that meeting prior to Eastpointe’s announcement, when asked about the issue by board chairman Clark Wooten, County manager Ed Causey said staff could extend an invite to members of Eastpointe to come talk with the board.
“The people I want to hear from is Nash County,” said Wooten. “It really boils down to the fact that they disengaged themselves from Eastpointe. I’m interested in the circumstances.”
“We would be glad to inquire,” Causey replied.
Upon Eastpointe’s consolidation announcement, Stroud said members, communities and providers remain a “top priority” and noted that services would not wane. “We also recognize the strong value that Cardinal Innovations places on Eastpointe, including its members, employees, counties and other stakeholders,” Stroud stated.
Richard Topping, chief executive officer of Cardinal Innovations, said he looked forward to the consolidation.
“Cardinal Innovations pioneered North Carolina’s unique specialty managed care model and we welcome the opportunity to consolidate with Eastpointe and together positively impact the health and well-being of the great people in eastern North Carolina,” said Topping.
The proposed consolidation of Eastpointe and Cardinal Innovations will serve 32 North Carolina counties with approximately 3.8 million citizens and more than 1.1 million enrolled members.