Cardinal Innovations Healthcare

Charlotte-based Cardinal Innovations Healthcare and its ousted former CEO Richard Topping have agreed to a settlement and dropped their respective lawsuits, according to a recent court filing. Cardinal will pay Topping $500,000, Topping’s attorney said Wednesday.

Alliance Health on Dec. 1 will start managing behavioral health care for people in Mecklenburg County who use Medicaid or who don’t have health insurance. This comes one year after the county voted to cut ties with its previous management organization, Cardinal Innovations Healthcare.

Mecklenburg County has received state approval to split from Cardinal Innovations Healthcare, after more than a year of accusing Cardinal of poor service.

Mecklenburg County commissioners approved a budget Tuesday night that includes withholding $56 million from Charlotte-Mecklenburg Schools. Separately, the commissioners voted to cut ties with Cardinal Innovations Healthcare.

Cabarrus and Union counties have received state approval to cut ties with Cardinal Innovations Healthcare. Cardinal coordinates behavioral health care for Medicaid recipients in 20 North Carolina counties. At least four other counties — Mecklenburg, Forsyth, Stanly and Orange — have also taken steps to drop Cardinal.

North Carolina's 2.36 million Medicaid recipients are in for a big change next July, when the state's Medicaid system will be transformed into a managed care program run by private health companies. Right now only behavioral and mental health care is managed by companies like Cardinal Innovations Healthcare. Controversy over Cardinal Innovations could raise questions about whether North Carolina will be ready to embark on transformation.

Cardinal Innovations Healthcare coordinates behavioral health care for Medicaid recipients in 20 North Carolina counties. On Tuesday, at least five of those counties -- Mecklenburg, Union, Cabarrus, Stanly and Orange -- were planning to or were in the process of cutting ties with the company.

Mecklenburg County is preparing to cut ties with Cardinal Innovations Healthcare. Leaders in Union and Cabarrus counties ended their relationships with the company last month.

Mecklenburg County is preparing to cut ties with Cardinal Health Innovations, the company that coordinates behavioral health care for the county’s Medicaid recipients.

Cardinal Innovations Healthcare has until Nov. 9 to respond to accusations of poor service from leaders in Mecklenburg and Forsyth counties.