Centene May Move Out of Missouri Over Medicaid Expansion

Centene CEO Michael Neidorff has threatened to shift the company base from Missouri over the state’s failure to fund a voter-approved Medicaid expansion. Centene is among the largest employers in the state. Neidorff said it made no sense for his company to be headquartered in a state that doesn’t support his business.

1. North Carolina Calling?: Calling Missouri an “embarrassment,” the CEO hinted at setting up a new corporate headquarters in North Carolina. Neidorff told a healthcare industry publication that Republican Governor Mike Parson and the GOP-controlled state Legislature’s failure to approve funding for expansion of Medicaid renewed his desire to relocate.
2. ‘Why am I in this state?’ “As the largest provider of Medicaid in the United States and a Fortune 42 company I have to ask myself, ‘Why am I in this state?” Neidorff said. “This is a state that frowns on this business — what am I doing here? It’s an embarrassment.”
3. Decision After Voting: Lawmakers left the capital city without funding the constitutionally mandated Medicaid expansion, despite Parson including the money in his budget blueprint and a handful of Republicans breaking ranks to push for the funding. Senate Democrats proposed an amendment during the debate over the budget to fund the Medicaid expansion at the same level Parson proposed. But the proposed change failed on a 20-14 vote, with four of 24 Republicans siding with Democrats.
4. People’s Choice: Senator Dan Hegeman, R-Cosby, who chairs the Senate Appropriations Committee, sided with the Republicans, saying voters would have made a different decision if they had more information about the state budget and the future “unknown” reliability of the federal government. 
5. Decision to Attract Lawsuit?: Medicaid expansion would provide 275,000 Missouri residents with coverage, and lawmakers said the decision to drop the initiative may result in a lawsuit. “Without a revenue source of funding authority from the General Assembly, we are unable to proceed with the expansion at this time,” Parson said.