A dental service provider says the Idaho Department of Administration violated the state’s procurement laws in awarding a $130 million contract designed to administer dental benefits to Idaho Medicaid participants.
Officials with Oregon-based Advantage Dental filed a lawsuit against the state last week alleging that the contract is void and any money paid out to Texas-based Managed Care of North America should be returned back to the state.
The department did not immediately return requests for comment.
According to Advantage, the state awarded the contract to the Texas company earlier this year, even though the provider hadn’t submitted a required credit report or proof that the company was registered to do business in Idaho.
Furthermore, the suit contends that Advantage was unfairly disqualified from being considered because the department chose to evaluate MCNA’s application.