Judge rules Birmingham must re-do health insurance bidding process

Source: MGN Online
Source: MGN Online

BIRMINGHAM, AL (WBRC) - The city of Birmingham must re-do its bidding process for a health insurance provider for its employees.

United Healthcare sued the city this summer, claiming the city violated state open bidding laws when it first awarded United the contract, then took it back, re-bid it, and ended up awarding it to Blue Cross Blue Shield of Alabama.

Judge Michael Graffeo's ruling filed Friday says the city has six months to re-bid the healthcare contract correctly under open bidding laws, decide on a winner, and award the contract.

[Read the full lawsuit here.]

Blue Cross Blue Shield will continue providing health insurance during that time so there's no disruption to the city's more than 4,000 employees.

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