Kentucky awards $170 million Medicaid deal to EDS

The commonwealth of Kentucky has awarded a $170 million contract to EDS Corp. to provide a new Medicaid management information system, the company announced today. The five-year, nine-month contract includes two one-year options.

EDS will provide a complete suite of Medicaid fiscal agent services, including system development and maintenance, financial services, claims adjudication, decision support and data warehouse, call center services, mail room, data entry and provider training. The company currently manages Medicaid programs in 19 states.

The new system will allow Medicaid providers to submit claims in a variety of electronic formats, such as secure Internet connections, and deliver more timely and accurate claims adjudication.

The system, which will serve 691,000 Medicaid recipients and 35,000 health care providers, will be based on EDS’ interChange Health System, which has been installed in a number of other states.

William Welsh is the deputy editor of Government Computer News’ sister publication, Washington Technology.

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