DATE:

September 27, 2005

TO:

All Workers' Compensation Practitioners

FROM:

Jack Nolish, Chief Magistrate

Pursuant to MCLA 400.106, effective November 24, 2004, and the interagency agreement incident thereto, the Michigan Department of Community Health, Casualty Unit, (Medicaid) is or will be supplied with information about:

• All contested cases pending that were filed on or after 11/24/2004.
• All claims being paid voluntarily or incident to order.
• Injuries reported to the Agency even if a Notice of Dispute is filed and no benefits are paid.

Medicaid will match this information with their list of clients being paid or previously paid Medicaid benefits. For matches, they will obtain a copy of the 104 Application for Mediation or Hearing. They will be intervening in pending cases (104C) and will be sending letters to Plaintiff’s counsel of record. If such forms are filed, the Agency will send the appropriate notice. They are taking the position that the Medicaid lien has priority over any other claim on a Worker’s Compensation case including Medicare and Office of Child Support.  MCLA 400.106(5)

Medicaid is also reviewing data that was supplied prior to the computer system problem, going back to 11/04 including cases that have been closed through redemption or other means. By way of example, they have reviewed 104’s filed in 2/05 and discovered that they had matches in 336 of 1,436 cases. Of these 366 cases they have not received contact regarding 194 (53%). They intend to contact all of those counsel regarding the outcome or pendancy of such cases.

Medicaid has also indicated that they will seek reimbursement pursuant to the personal liability of counsel provisions of MCLA 400.106(4) through the Attorney General’s office. Also note that those enforcement provisions call for the assessment of attorney fees on the collection effort.

You are well advised to make sure that Medicaid is put on notice of any case. Suggestions have been made that a copy of the 104A be sent to Medicaid whenever a case is filed. Such information, or any other request, can be sent/faxed to:

Michigan Department of Community Health Casualty Unit

3423 N. Martin Luther King Jr. Blvd.

P.O. Box 30435

Lansing, MI   48909

Fax:   517/346-9876

Please include: Name, DOB, SS#, Date of Injury, Type of Accident, Injury