On April 29, 2021, the Centers for Medicare and Medicaid Services (CMS) gave notice to Golden State Medicare Health Plan ("Golden State") that CMS has made a determination to immediately impose intermediate sanctions on Medicare Advantage Prescription Drug (MA-PD) Contract Number: H2241. The sanctions will consist of the suspension of enrollment of Medicare beneficiaries into Golden State’s contract. These intermediate sanctions will go into effect at 11:59 p.m. EDT, April 30, 2021.
From the CMS notification letter:
On April 27, 2021, the Department of Managed Health Care of the State of California (DMHC)
filed an "Order to Cease and Desist Accepting New Enrollees", which states that Golden State has failed to comply with certain financial requirements of the state of California pursuant to the KnoxKeene Act. As a result, DMHC stated that "effective May 1, 2021, [Golden State] shall immediately cease and desist from offering contracts or accepting new applications from any new enrollees or subscribers who are not currently in contract with Golden State."
The sanction will remain in effect until CMS receives notification from the State of California that Golden State can successfully operate under good standing and that the order has been removed, thereby, allowing Golden State to accept new enrollments.
Read the CMS notice:
https://www.cms.gov/files/document/goldenstatesanction04292021.pdf