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ACS assumes operations as new fiscal agent for California Medicaid Management Information System

Affiliated Computer Services has now fully assumed responsibility for the California Medicaid Management Information System after an 18-month transition from the former fiscal agent, the California Department of Health Care Services announced today.

ACS, awarded the 10-year, $1.6 billion contract in 2010, took operational responsibility of the system in October and processes 800,000 provider claims each day at an average of $330 million in weekly payments, according to a DHCS press release. The 18-month transition moved control from former fiscal agent, Electronic Data Systems/Hewlett Packard, whose service was acknowledged by DHCS leaders.

The state project team and ACS deserve credit for a "Herculean effort," said DHCS CIO Chris Cruz in an email. Cruz also thanked Project Director Vicky Sady, along with the executive sponsors who helped make it a success.

The California Medicaid Management Information System processes payments to doctors, pharmacies and other providers in the Medi-Cal fee-for-service program, according to DHCS. The completion of a long and complex transition to ACS as the new Medi-Cal claims processing fiscal agent will improve service delivery and efficiency for the 7.6 million Medi-Cal beneficiaries, according to the department.

Completing the fiscal agent transition will allow DHCS to move to the next step in transitioning to the new Health Enterprise system, which will allow greater flexibility with claim payments and maximize federal funding.