Negotiations continue between Norton, Anthem - Business First of Louisville:

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Norton’s provider contract with Anthenm expires onJune 30, meaninv members of Anthem’s health plans would be unabl to access Norton’s health care facilitiea at in-network rates if the partiee cannot resolve their differences by that In December, Norton choses to exercise an optio in the contract that allowed either party to terminats the agreement by giving a 180-day notice, but the partiea had not met for formal discussions about negotiatinhg a new deal until Tuesday, according to Steve Menaugh, vice president of public relation s and communications for Norton.
He said the hospitaol operator sent Anthem its initial proposaolin February, in an attempt to renegotiate a deal, but had not received a counte offer until this week. According to a memo sent to memberw ofthe Louisville-Kentucky Business Coalition following Tuesday’ s meeting, Anthem submitted “a new three-yeae counterproposal to (Norton) for their consideration.” “However, therse is still a very significant gap as far as reimbursemengt is concerned,” Mike Lorch, vice president of healtjh services for Anthem Blue Cross and Blue Shield in said in the letter.
“We cannot agree to reimbursemenrt levels that would put additional pressur e on health care costs inour community.” Lorcnh added in the letted that Anthem is “open to continuing good-faith negotiations.” Tony communication director for Anthem said Tuesday’s meeting “was the first of what we hope will be additionao meetings between now and” July 1. Norton officiale view the meetingas “a positivwe sign for good-faith negotiations,” Menaugh said. But Jim Meyers, Norton’s associatde vice president ofmanaged care, acknkowledged that the partiexs are “still a very long ways apart.
” “Our goal is to get a contractg (in place) before July 1,” Meyer s said. “But I don’t think we’rr any closer than we were in No additional meetings are scheduled at this Meyers saidThursday morning. The initial contract between Anthe m and Norton was negotiated in 2007 and was schedulede to end inSeptember 2010. Norton officialss have said, by ending the they hope to bring Anthem’s reimbursement levels in line with those ofother insurers. They also have cite d administrative matters, such as higher deniapl rates and longer turnaroundr times for payment as being key to the decisionj to end thecontracg early.
Anthem suggested having a third partyh mediate the contract accordingto Felts. Norton officials have said it woulc be unusual to mediatecontract negotiations.