KHPA layoffs begin

An undisclosed number of people (fewer than 20, officials said) were laid off from the Kansas Health Policy Authority on Thursday and today in preparation for the agency’s merger with the Kansas Department of Health and Environment.

The merger was part of a series of executive reorganization orders issued by Gov. Sam Brownback earlier this year.

The Legislature had the opportunity to reject the merger but did not and now administration officials are beginning the downsizing they promised would come.

KDHE spokesperson Miranda Myrick said the layoffs would be the last from the KHPA side of the consolidated agency, but that further staff reductions would come on the KDHE side sometime before the agencies’ merger is finalized July 1.

Myrick said KDHE’s proposed layoff plan is awaiting approval or revision by the Department of Administration, but she could not say how many layoffs would be coming or when. About 35 total layoffs are expected.

She said no layoffs were from staff administering Medicaid, the State Employee Health Plan or the State Self Insurance Fund.

The administration has said the merger of the two agencies would produce an expected $3 million in savings. After the merger is complete, the health policy authority will become the Division of Health Care Finance within KDHE.

Watch this space for other developments in this story.