Pafford Not Pulling Out of Territory, Government Paying Money Owed

Pafford Medical Services isn’t pulling out of the territory and the money owed by the government to the company — approximately $34 million — should be paid in a matter of days, according to officials.

There are more details in between, but speaking by phone Thursday, Health Commissioner Justa Encarnacion said that’s the bottom line, as rumors that more than 100 medical professionals across the islands had abruptly left circulated and began making headlines. The Pafford contract was also broached as a topic of concern by senators Wednesday as Gov. Juan F. Luis Hospital executives appeared in the well and explained that a separate contract with the company would be executed directly by Health as the previous one — which covered services rendered during a state of emergency — approaches its expiration date.

Encarnacion said with the state of emergency, which was declared during the COVID-19 pandemic, the buildup on payment was the result of an internal audit process triggered by the use of federal funds, which includes determining whether the initial contract was “cost reasonable.” As a gauge, Health looked at similar contracts executed by other jurisdictions and found the one with the territory to be on par.

The contract covered about 155 employees that provided nursing, medical, and emergency medical services support across government agencies, including the territory’s hospitals.