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New Minneapolis Medicaid facility stalled amid provider purge

Accord Health Services' new 61-bed recuperative care facility on Nicollet Avenue in Minneapolis cannot accept patients because its Medicaid validation remains incomplete amid a statewide provider re-verification purge.[1]

The 18,000-square-foot, multi-level facility was slated to open this fall for people experiencing homelessness who need a step-down setting after hospital stays.[1] Staff say the incomplete validation has triggered a spike in calls from patients and referral sources seeking placements the site cannot yet provide.[1] The operator says state regulators have deemed recuperative care "high risk" and likened the fraud sweep to catching "dolphins" while looking for "sharks." FOX 9

Minnesota dropped more than 3,400 Medicaid providers last week during a reverification effort meant to curb fraud and protect roughly $2 billion in federal funding.[1] The purge has strained the provider network and complicated Medicaid validation for new programs like Accord's, delaying patient placements until state approvals are finished.[1]

  1. FOX 9
Health Business & Economy
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📌 Key Facts

  • Accord Health Services is opening an 18,000‑square‑foot, multi‑level recuperative care facility with 61 beds on Nicollet Avenue in Minneapolis this fall.
  • The facility is designed for people experiencing homelessness who need a step‑down setting after hospital stays, but it cannot take patients yet because its Medicaid validation is incomplete.
  • Minnesota dropped more than 3,400 Medicaid providers last week during a reverification effort to curb fraud and protect roughly $2 billion in federal funding, triggering a spike in calls to the new facility from patients and referrers looking for care.
  • The operator says recuperative care has been deemed 'high risk' by the state and likens the fraud sweep to catching 'dolphins' while looking for 'sharks.'

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