The Maryland Department of Health and Kaiser Permanente struck a deal Wednesday that will keep more than 100,000 Marylanders on Medicaid from having to change providers next year, WYPR has learned.

Last week, the MDH said it may have to drop Kaiser as a Medicaid managed care organization due to a breakdown in contract negotiations.

Now, Kaiser will join eight other MCOs to provide coverage to Marylanders on Medicaid.

“The agreement supports historic changes that increase MCO accountability and responsibility, while focusing on the Moore-Miller Administration’s efforts to achieve health equity and improve health outcomes for Marylanders,” said Chase Cook, spokesman for MDH.

Gene Ransom, the CEO of the Maryland State Medical Society, said the deal is a win for Marylanders despite the drama.

“I think whenever you have a situation where a new administration comes in, this is really their first shot to take and make changes to the MCO contracts. There’s always a little bit of tension as you make changes, right?” he said.

MDH is imposing new requirements on its MCOs for 2025. It is not clear if those requirements had anything to do with the contract breakdown.

Those requirements include collecting data to improve standards of health equity and meeting national standards for equity.

MCOs must also meet certain staffing requirements to ensure quality and oversight and all MCOs must have 14 leadership positions including a health equity director.

Maryland Medicaid will also begin covering prerelease services for incarcerated youth.

WYPR is a media partner of The Baltimore Banner.