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10 Westchester County companies halting Medicaid ambulette transportation services, citing unfair reimbursement

Nearly a dozen companies in Westchester County shut down Medicaid transportation
Nearly a dozen companies in Westchester County shut down Medicaid transportation 02:13

YONKERS, N.Y. -- About a dozen companies responsible for critical medical transportation services across Westchester County shut down Friday.

This after it says the New York state Department of Health isn't fairly reimbursing them.

Ambulettes may not be for emergencies, but they're crucial for Medicaid patients, like Yonkers resident Darryl Thomas, who uses a wheelchair and is on dialysis. He uses the service seven days a week.

"It would be a disaster if this should go away," he said.

The 10 companies under United Transportation Providers of Westchester County Inc. are stopping Medicaid transportation because they say the state isn't paying them enough. In a rate study, the state Department of Health says the average trip costs $70, but companies are being reimbursed about $53.

"We're not even asking for profit. We're asking for our cost. Just reimburse the cost," said Arun Zachariah, vice president of Medtrips.

Zachariah's not seeing a future in his business. Companies like his say they've been getting the same amount of money from the state for the past 20 years.

"So we don't have any right here. We are scared. We are always being scared. We are working under threat," Zachariah said.

"Most of our passenger cars are not equipped to do that, even if we would like to transport our loved ones," Sen. Jamaal T. Bailey said.

State and local lawmakers have been pushing for change for years. Since 2019, at least 35 ambulette companies across the New York metro area have shut down. Public transportation isn't an option for these Medicaid patients on a fixed social security income, like New Rochelle resident BT Hooper.

"Just give them the reimbursement ... So they can pay insurance. Because if they can't pay insurance, then that means that their team is gonna have to come out-of-pocket," he said.

Some companies are operating fully out-of-pocket to stay loyal to their clients. An assembly bill on this has been introduced, but it's still in its early stages.

In a statement, the Department of Health told CBS New York:

"The Department's Medicaid Transportation program is committed to ensuring Medicaid members across New York State can get to and from their medical appointments at no cost. The Department's transportation broker, Medical Answering Service (MAS), has identified transportation service providers in nearby counties and verified that they are available to complete both current and upcoming trips for Medicaid participants within Westchester County. People in Westchester county in need of Medicaid transportation services should contact MAS directly to arrange for appropriate transportation, either by calling (866) 883-7865 or through the online option here."

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