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BOISE -- XpressFlex, a company that manages health spending accounts for some local employers, including the Boise and Nampa School Districts, has closed. Now thousands are left wondering if they will ever get their money back.

About 800 employees at the Boise School District are enrolled in the XpressFlex plan. The money in this plan helps them pay their medical bills and is not subjected to taxes.

A lot of people elect to shelter their funds from taxes because of the high cost associated with health care, because of child care costs, and for that matter medical supplies. It may go for something as simple as your contact lens solution, Boise School District spokesman Dan Hollar said.

According to Hollar, the School District has worked with XpressFlex for ten years, and never with any problems. No warning signs whatsoever. This came out of the blue, we've never had a problem with this company up until now, and this is a big problem.

XpressFlex is headquartered in Boise, but its owner Wayne Davis, told us he's out of town.

By phone, he said his company and his clients are victims of another company's doing.

Last summer, he filed a lawsuit against Data Processing Service, a business that handled financial transactions for XpressFlex. According to Davis, DPS is hanging on to nearly four million dollars worth of unfinished transactions and without that money, he couldn't make ends meet, forcing him to close. He says he's confident he'll win his case in court, scheduled to begin in September, and can then pay everyone back. The Boise School District says it is owed nearly $280,000.

We're asking questions, we've engaged legal counsel and we'll be moving forward, Dan Hollar said.

Boise and Nampa school districts say they've been forced to make decisions quickly, and they are trying to get other health account providers on board.

Emails to the attorney for Data Processing Service were not returned.

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