Molina Healthcare
Encyclopedia
Molina Healthcare is a managed care
company headquartered in Long Beach
, California
, United States
. In 2009 it was ranked as one of several Fortune 500
companies based in California; out of the California companies it was 69th in rank.
The company is now run by Dr. Molina’s son, J. Mario Molina, MD
, who is also a physician. He is the current president and CEO of the company. John Molina, Mario’s younger brother, is the current CFO of Molina Healthcare. The two took over the Molina’s operations after their father died in 1996 and continued to expand the company. C. David Molina’s daughter Martha Bernadett, MD is also a part of Molina Healthcare. Since receiving two Robert Wood Johnson Foundation
awards in 2002, Dr. Bernadett has served as the Executive Vice President of Research and Innovation at Molina Healthcare. She founded the Molina Institute for Cultural Competency, Book Buddies and the Molina Foundation, a non-profit organization to promote access to education and health care to reduce disparities.
, Southern California
and Washington. Molina Medical Group (MMG) also runs state-owned clinics in Fairfax County, Virginia
. The clinics were opened to provide quality health care to underserved, needy populations. MMG plans on opening clinics in Florida
and New Mexico
in late 2011.
since it became a health maintenance organization (HMO) in 1985. From 1985 to 1997, the company was only in California.
As of June, 30 2011, Molina Healthcare had over 1.6 million members in its health plans. The health plans are operated by the respective subsidiaries in its states, each of which is a licensed HMO.
. In its stock market debut, Molina sold 6.6 million shares at $20.30, making the company the third-best first day gainer of 2003. Molina Healthcare was the first company from Inc. Magazine’s Inner City 100 list to go public.
market in 2006. The company currently offers Medicare health plan options in eight states: California, Florida, Michigan, New Mexico, Ohio, Texas, Utah and Washington.
’ health information management business in December 2010 to create Molina Medicaid Solutions (MMS). MMS has Medicaid Management Information Systems (MMIS) contracts with Idaho
, Louisiana
, Maine
, New Jersey
and West Virginia
.
state court. Both companies are accused of discriminating against American workers who claim they were fired and replaced with H-1B workers. The companies are accused of violating numerous federal and state labor laws. In July, the U.S. District Court, Central District of California ruled that there were no federal claims, which the plaintiff’s attorney had acknowledged in his Declaration in Support of (the plaintiff’s) Motion to Remand. Molina has expressed confidence it will “win in court because specific allegations have been examined and found false.” http://www.computerworld.com/s/article/9218349/Fired_IT_workers_file_lawsuit_claiming_H_1B_workers_replaced_them
Managed care
...intended to reduce unnecessary health care costs through a variety of mechanisms, including: economic incentives for physicians and patients to select less costly forms of care; programs for reviewing the medical necessity of specific services; increased beneficiary cost sharing; controls on...
company headquartered in Long Beach
Long Beach, California
Long Beach is a city situated in Los Angeles County in Southern California, on the Pacific coast of the United States. The city is the 36th-largest city in the nation and the seventh-largest in California. As of 2010, its population was 462,257...
, California
California
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...
, United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
. In 2009 it was ranked as one of several Fortune 500
Fortune 500
The Fortune 500 is an annual list compiled and published by Fortune magazine that ranks the top 500 U.S. closely held and public corporations as ranked by their gross revenue after adjustments made by Fortune to exclude the impact of excise taxes companies collect. The list includes publicly and...
companies based in California; out of the California companies it was 69th in rank.
History
Molina Healthcare was founded in 1980 by C. David Molina, an emergency room physician in Long Beach, CA. He had seen patients use the emergency room for a sore throat or the flu. As a result of his emergency room work, Dr. Molina established his first primary care clinic with the goal of serving the lowest-income patients, who get health care paid for by government programs, and to help those who were uninsured or non-English speaking.The company is now run by Dr. Molina’s son, J. Mario Molina, MD
MD
- Science :* Doctor of Medicine, from the Latin Medicinæ Doctor * Macular degeneration, a condition characterized by progressive thinning and atrophy of the macula area of the retina* Mahalanobis distance, a distance measure introduced by P. C...
, who is also a physician. He is the current president and CEO of the company. John Molina, Mario’s younger brother, is the current CFO of Molina Healthcare. The two took over the Molina’s operations after their father died in 1996 and continued to expand the company. C. David Molina’s daughter Martha Bernadett, MD is also a part of Molina Healthcare. Since receiving two Robert Wood Johnson Foundation
Robert Wood Johnson Foundation
The Robert Wood Johnson Foundation is the United States' largest philanthropy devoted exclusively to health and health care; it is based in Princeton, New Jersey. The foundation's mission is to improve the health and health care of all Americans...
awards in 2002, Dr. Bernadett has served as the Executive Vice President of Research and Innovation at Molina Healthcare. She founded the Molina Institute for Cultural Competency, Book Buddies and the Molina Foundation, a non-profit organization to promote access to education and health care to reduce disparities.
Clinic Expansion
The first Molina Medical clinic was opened in Long Beach, CA in 1980. Since then, 15 clinics have opened in Northern CaliforniaNorthern California
Northern California is the northern portion of the U.S. state of California. The San Francisco Bay Area , and Sacramento as well as its metropolitan area are the main population centers...
, Southern California
Southern California
Southern California is a megaregion, or megapolitan area, in the southern area of the U.S. state of California. Large urban areas include Greater Los Angeles and Greater San Diego. The urban area stretches along the coast from Ventura through the Southland and Inland Empire to San Diego...
and Washington. Molina Medical Group (MMG) also runs state-owned clinics in Fairfax County, Virginia
Fairfax County, Virginia
Fairfax County is a county in Virginia, in the United States. Per the 2010 Census, the population of the county is 1,081,726, making it the most populous jurisdiction in the Commonwealth of Virginia, with 13.5% of Virginia's population...
. The clinics were opened to provide quality health care to underserved, needy populations. MMG plans on opening clinics in Florida
Florida
Florida is a state in the southeastern United States, located on the nation's Atlantic and Gulf coasts. It is bordered to the west by the Gulf of Mexico, to the north by Alabama and Georgia and to the east by the Atlantic Ocean. With a population of 18,801,310 as measured by the 2010 census, it...
and New Mexico
New Mexico
New Mexico is a state located in the southwest and western regions of the United States. New Mexico is also usually considered one of the Mountain States. With a population density of 16 per square mile, New Mexico is the sixth-most sparsely inhabited U.S...
in late 2011.
Becoming an HMO
Molina Healthcare has focused on government-sponsored health care programs such as SCHIP and MedicaidMedicaid
Medicaid is the United States health program for certain people and families with low incomes and resources. It is a means-tested program that is jointly funded by the state and federal governments, and is managed by the states. People served by Medicaid are U.S. citizens or legal permanent...
since it became a health maintenance organization (HMO) in 1985. From 1985 to 1997, the company was only in California.
Expansion outside of California
- 1997: Molina Healthcare acquired HealthReach Family Health Care and entered the states of UtahUtahUtah is a state in the Western United States. It was the 45th state to join the Union, on January 4, 1896. Approximately 80% of Utah's 2,763,885 people live along the Wasatch Front, centering on Salt Lake City. This leaves vast expanses of the state nearly uninhabited, making the population the...
and MichiganMichiganMichigan is a U.S. state located in the Great Lakes Region of the United States of America. The name Michigan is the French form of the Ojibwa word mishigamaa, meaning "large water" or "large lake"....
. - 2000: Molina Healthcare entered the state of Washington.
- 2004: Molina Healthcare acquired Health Care Horizons from Dialog Groups Inc. and enters the state of New Mexico.
- 2005: Molina Healthcare became a health plan in OhioOhioOhio is a Midwestern state in the United States. The 34th largest state by area in the U.S.,it is the 7th‑most populous with over 11.5 million residents, containing several major American cities and seven metropolitan areas with populations of 500,000 or more.The state's capital is Columbus...
. - 2006: Molina Healthcare entered the state of TexasTexasTexas is the second largest U.S. state by both area and population, and the largest state by area in the contiguous United States.The name, based on the Caddo word "Tejas" meaning "friends" or "allies", was applied by the Spanish to the Caddo themselves and to the region of their settlement in...
. - 2007: Molina Healthcare entered MissouriMissouriMissouri is a US state located in the Midwestern United States, bordered by Iowa, Illinois, Kentucky, Tennessee, Arkansas, Oklahoma, Kansas and Nebraska. With a 2010 population of 5,988,927, Missouri is the 18th most populous state in the nation and the fifth most populous in the Midwest. It...
. - 2008: Molina Healthcare entered FloridaFloridaFlorida is a state in the southeastern United States, located on the nation's Atlantic and Gulf coasts. It is bordered to the west by the Gulf of Mexico, to the north by Alabama and Georgia and to the east by the Atlantic Ocean. With a population of 18,801,310 as measured by the 2010 census, it...
. - 2010: Molina Healthcare entered WisconsinWisconsinWisconsin is a U.S. state located in the north-central United States and is part of the Midwest. It is bordered by Minnesota to the west, Iowa to the southwest, Illinois to the south, Lake Michigan to the east, Michigan to the northeast, and Lake Superior to the north. Wisconsin's capital is...
.
As of June, 30 2011, Molina Healthcare had over 1.6 million members in its health plans. The health plans are operated by the respective subsidiaries in its states, each of which is a licensed HMO.
Going Public
Molina Healthcare filed with the Securities and Exchange Commission for an initial stock offering in December 2002 and went public in July 2003 with a stock offering of $102 million. The shares were priced at $17.50, and Molina raised approximately $124 million in the initial public offeringInitial public offering
An initial public offering or stock market launch, is the first sale of stock by a private company to the public. It can be used by either small or large companies to raise expansion capital and become publicly traded enterprises...
. In its stock market debut, Molina sold 6.6 million shares at $20.30, making the company the third-best first day gainer of 2003. Molina Healthcare was the first company from Inc. Magazine’s Inner City 100 list to go public.
Entering Medicare Market
Molina Healthcare entered the MedicareMedicare
Medicare may refer to any of several publicly funded health insurance programs:*Medicare *Medicare *Medicare - See also :*Medicaid*Medicare Australia*Medicare Resources - China*Medicare Rights Center - United States...
market in 2006. The company currently offers Medicare health plan options in eight states: California, Florida, Michigan, New Mexico, Ohio, Texas, Utah and Washington.
Entering MMIS Market
Molina Healthcare acquired UnisysUnisys
Unisys Corporation , headquartered in Blue Bell, Pennsylvania, United States, and incorporated in Delaware, is a long established business whose core products now involves computing and networking.-History:...
’ health information management business in December 2010 to create Molina Medicaid Solutions (MMS). MMS has Medicaid Management Information Systems (MMIS) contracts with Idaho
Idaho
Idaho is a state in the Rocky Mountain area of the United States. The state's largest city and capital is Boise. Residents are called "Idahoans". Idaho was admitted to the Union on July 3, 1890, as the 43rd state....
, Louisiana
Louisiana
Louisiana is a state located in the southern region of the United States of America. Its capital is Baton Rouge and largest city is New Orleans. Louisiana is the only state in the U.S. with political subdivisions termed parishes, which are local governments equivalent to counties...
, Maine
Maine
Maine is a state in the New England region of the northeastern United States, bordered by the Atlantic Ocean to the east and south, New Hampshire to the west, and the Canadian provinces of Quebec to the northwest and New Brunswick to the northeast. Maine is both the northernmost and easternmost...
, New Jersey
New Jersey
New Jersey is a state in the Northeastern and Middle Atlantic regions of the United States. , its population was 8,791,894. It is bordered on the north and east by the state of New York, on the southeast and south by the Atlantic Ocean, on the west by Pennsylvania and on the southwest by Delaware...
and West Virginia
West Virginia
West Virginia is a state in the Appalachian and Southeastern regions of the United States, bordered by Virginia to the southeast, Kentucky to the southwest, Ohio to the northwest, Pennsylvania to the northeast and Maryland to the east...
.
Labor Litigation
In April, 2011 a lawsuit was filed against the company and its outsourcing firm Cognizant Technologies in CaliforniaCalifornia
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...
state court. Both companies are accused of discriminating against American workers who claim they were fired and replaced with H-1B workers. The companies are accused of violating numerous federal and state labor laws. In July, the U.S. District Court, Central District of California ruled that there were no federal claims, which the plaintiff’s attorney had acknowledged in his Declaration in Support of (the plaintiff’s) Motion to Remand. Molina has expressed confidence it will “win in court because specific allegations have been examined and found false.” http://www.computerworld.com/s/article/9218349/Fired_IT_workers_file_lawsuit_claiming_H_1B_workers_replaced_them