Tuesday, Jan. 3, 2006
Contact: Spence Jackson, 573-751-0290
Nixon Deceives Missourians on MTM Contract
Attorney General Makes False Claims on State’s Settlement with Company that Bilked Taxpayers
JEFFERSON CITY–Attorney General Jay Nixon issued a false statement on Dec. 30 claiming the Blunt administration did not take the "sound advice" of the attorney general’s office regarding a recent settlement with Medical Transportation Management (MTM). Nothing could be further from the truth.
The fact is that attorneys for the Office of Administration (OA) and the Department of Social Services (DSS) had several discussions with MTM and Nixon’s deputy chief of staff to discuss payment disputes that began during the Holden administration.
OA’s general counsel went to great lengths to keep Nixon’s office, OA’s attorney of record, up to speed on its discussions with MTM. The attorney general’s office repeatedly told OA that MTM had valid claims against the state dating back to June 2004 that it could likely recover in court and that a settlement was the state’s best option.
When OA’s general counsel asked if Nixon’s September settlement with MTM reduced the claims the company had against the state the attorney general’s office replied clearly that it did not.
"It is unimaginable that Attorney General Nixon would make such a charge after his office advised us that the payment to MTM was necessary because of his flawed settlement with the company," Blunt said.
Before Blunt’s Office of Administration took action, MTM was operating under a horribly written contract entered into during the Holden administration. The contract was so poorly written and administered that it was impossible to tell exactly what service taxpayers were being billed for. The new contract negotiated by the Blunt administration will save taxpayers nearly $15 million per year.
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