JACKSONVILLE, Fla. — Action News Jax’s Ben Becker has learned that the Duval DOGE Committee is expected to release a 21-page report on Tuesday that clears the city’s telehealth provider of fraud allegations after months of facing accusations by some city council members, but raises concerns about cost and effectiveness.
According to a sub-committee draft obtained by Becker ahead of the meeting, there was no evidence that Telescope Health, which operates the HealthLink Jax program for uninsured residents, committed Medicare or Medicaid fraud or improperly steered patients to specific hospitals.
However, the report does conclude that the company exaggerated the financial benefits of its services and failed to demonstrate a meaningful return on taxpayer investment.
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$2 Million Cost, ‘No tangible financial benefit’
The committee found that the city’s contract with Telescope Health, costing more than $2 million annually, does not provide a tangible financial benefit to taxpayers. The findings suggest similar services could be delivered at no cost through alternative providers such as RightSite Health. It already operates within Jacksonville through a partnership with JFRD, which connects non-emergency calls that come in through the city’s 911 service to ambulatory, in-network care. Unlike Telescope, RightSite’s services are currently offered to the city at no charge. Telescope Health allows patients to directly access care through a hotline, primarily serving uninsured residents
City council hired former general counsel Jason Gabriel to produce the report, allowing him to bill the city up to $40,000.
No improper hospital steering found
The report also addressed concerns about potential conflicts of interest involving hospital referrals. While Baptist Health System holds a minority ownership stake in Telescope Health, the committee found no evidence that patients were improperly directed to emergency rooms affiliated with that system. Data reviewed showed that while some patients advised to seek emergency care did go to Baptist hospitals, the pattern did not indicate inappropriate steering.
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Councilman defends investigation
Rory Diamond, who first raised concerns about the telehealth contract, defended the probe.
“No allegations were made that were defamatory. Not in the slightest,” Diamond said. “We wanted to investigate credible concerns, and that’s exactly what government is supposed to do.”
He added that the findings confirm taxpayer money was not being used effectively.
“We’re misspending $2 million of taxpayer funds. We found out we’re misspending it… and now we can save it going forward.”
Recommendations moving forward
The committee is expected to propose several next steps, including:
- A formal cost-benefit analysis of continuing the Telescope Health contract
- Expanded use and training for RightSite services within JFRD
- Increased oversight and auditing of telehealth utilization
- Public education efforts to boost awareness of available services
- A six-month follow-up report from auditors on costs, usage, and outcomes
The report also calls for a review by the Office of General Counsel and ethics office of potential conflicts involving dual employment of Dr. Bradley Elias, who is JFRD’s Medical Director and is listed as an emergency medical specialist in Baptist Medical Center’s emergency rooms.
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Telescope Health response
Telescope Health argued in November, “These erroneous accusations distract from Healthlink JAX’s mission to make care accessible to all Duval County residents. Telescope Health has faithfully managed more than 6,800 calls with Healthlink JAX patients and redirected more than $11.1 million in healthcare system costs since the service began in October 2024. We will continue to serve the Jacksonville community with the utmost integrity,” Telescope Health’s CEO, Dr. Matthew Thopson, said in an emailed statement.
Telescope provided a statement on Monday saying it has not seen the final report.
“Telescope Health remains committed to transparency, cooperation, and the work we do to expand access to healthcare services in Jacksonville. We respect the Council’s role in reviewing public programs and will continue to engage constructively when given the opportunity. Telescope Health is aware that a report related to the Jacksonville City Council’s review has been released to members of the media. Telescope Health, however, has not been provided an opportunity to review the report or provide any comments thereupon. We believe it is important that any public discussion of DOGE’s investigation be based on the full record and a fair process. Once the report is provided to us, we will respond as necessary.”
What happens next
The Duval DOGE Committee will meet on Tuesday at 11 a.m.
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