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2015 Year in Review No. 9: State Discussing Future of Medicaid Management Information System

The California Medicaid Management Information System (CA-MMIS), one of the largest IT projects in state government, appears to be in flux after the project’s vendor reported in September that it’s unlikely to finish the system entirely.

With 2015 coming to a close, Techwire is counting down its Top 10 news stories of the year. Check back Monday, Dec. 28 and Tuesday, Dec. 29 as we unveil the people, projects and events that made news during the year gone by.

Story No. 9: The California Medicaid Management Information System (CA-MMIS), one of the largest IT projects in state government, appears to be in flux after the project’s vendor reported last week that it’s unlikely to finish the system entirely. Xerox, the primary contractor working on the $1.7 billion case management system, announced on Oct. 13 it is “probable that it will not fully complete the implementation of the platform” in California and Montana. Xerox said it’s taking a $240 million after-tax charge in its 2015 third-quarter results to reflect “estimated settlement costs and other impacts from these changes.” The California Department of Health Care Services (DHCS) is the sponsor of CA-MMIS. According to a state project update, DHCS directed Xerox to meet a Sept. 21 go-live deadline for Release 2 of CA-MMIS after the state agreed to delay the original deadline that was set in June. The update said Xerox had requested a further delay past September, but the state did not approve it.

Read the full story here (Insider).