EAU CLAIRE, WI (WTAQ) - Long-term care providers in western Wisconsin are about to get $6 million that a former administrator never paid to them before going out of business.
Eau Claire County Circuit Judge Michael Schumacher has allowed the state to loan the $6 million to a court-ordered receiver that’s handling obligations of the former Community Health Partnership.
The Eau Claire group administered long-term care to the elderly under Wisconsin’s Family Care program, which is designed to keep lower-income seniors from going to nursing homes. But the group fell behind on its payments – and it went out of business at the end of last year.
Thomas Cook, who heads a rehab trade group, says the court action will resolve financial concerns for the long-term care providers he represents. He says many had to borrow money to keep paying their employees.
Cook said the state’s new health secretary, Kitty Rhoades, played a role in resolving the matter.
The old Community Health Partnership administered the Family Care program for about 2,700 recipients in Eau Claire, Chippewa, Dunn, Saint Croix, and Pierce counties.
A new administrative firm took over on January 1st, with a goal of running a more financially-sustainable service.