Attorney General's News Release

Oct. 8, 1998

Nixon accepting applications for board of directors for health care foundation created under agreement with Blue Cross

Jefferson City, Mo. — Attorney General Jay Nixon announced today that his office is accepting applications for the board of directors of the Missouri Foundation for Health, a new public health care foundation to be formed as part of the tentative settlement reached last month with Blue Cross and Blue Shield of Missouri, which is based in St. Louis.

Members of the board will direct the spending of foundation funds to identify and address the unmet health care needs of the uninsured and underinsured in eastern and southern Missouri. The foundation, the largest public health care foundation in state history, will be funded through the sale of securities now owned by Blue Cross.

"We welcome the applications of those qualified Missourians who want to be a part of this historic opportunity, which will address the health care needs of the underserved in Missouri for generations to come," Nixon said.

Nixon and Department of Insurance Director Jay Angoff had successfully challenged the 1994 reorganization of Blue Cross, saying that the creation of a for-profit managed care subsidiary exceeded Blue Cross' authority under Missouri nonprofit law. The agreement to establish the foundation was first reached in principle this spring, and it is now awaiting approval by Cole County Circuit Judge Thomas Brown.

If approved, the agreement will resolve all state claims against Blue Cross. To obtain an application for the Missouri Foundation for Health's Board of Directors, write to Attorney General's Office, P.O. Box 899, Jefferson City, MO 65102.

Inquiries from consumers should be directed to consumer@ago.mo.gov or 1-800-392-8222 (from within Missouri) or 573-751-3321 (outside Missouri).

All media inquiries should be directed to Press Secretary John Fougere.

E-mail      Phone: 573-751-8844         Fax: 573-751-5818