HP has signed a $135 million contract to provide technology services to the Alabama Medicaid Agency, which is seeking to cut costs and comply with new federal regulations.
a move that further expands its state government and health care portfolio, Hewlett-Packard
has signed an eight-year,
$135 million technology services contract with the Alabama Medicaid Agency. The
contract allows the state to keep costs low while meeting new HIPAA (Health
Insurance Portability and Accountability Act) regulations, improving health care
delivery, and increasing access to medical records.
contract, which HP announced Aug. 24, continues a 30-year relationship with the
Alabama agency. Medicaid is a program that pays health care costs for low-income
families and the disabled.
2008, HP implemented interChange, the state's new MMIS (Medicaid Management
Information System), which the federal government certified earlier this
year. The agency handles health care for more than 900,000 residents annually.
In 2009 alone, HP processed nearly 32 million Medicaid claims for health care
providers in the state.
the expected enrollment increases and regulatory changes, Alabama requires a
system that efficiently meets providers' as well as recipients' needs so the
agency can focus on our main objectives: managing our budget, improving quality
and reducing fraud and abuse," Carol Steckel, commissioner of Alabama
Medicaid Agency, wrote in a statement.
on our long relationship, HP will help us maintain a quality Medicaid program
and support improved health outcomes for our recipients while allowing us to be
good stewards of taxpayer dollars," Steckel added.
main goal will be to implement system enhancements to help the agency
with new federal HIPAA 5010 requirements. The company will also produce
several Web-based features to modernize the state's health care
provider enrollment, which will reduce costs and eliminate the handling of more than
50,000 pieces of paper.
secure Website on which patients will remotely access health records, update
information and check eligibility.
prescriptions sent directly from physicians to pharmacies.
support the maintenance of high-performance and scalable infrastructure, HP
will migrate the agency's storage to an HP StorageWorks 4400 Enterprise Virtual
Array (EVA4400) storage area network Tier-1 environment. With assistance from
the HP Migration Competency Center, the core interchange application server
will be moved to HP-UX.
and the Alabama Medicaid Agency are delivering a flexible, technically advanced
system and streamlined processes to meet the agency's need to conserve state
funds while improving service for health care providers and Alabama's Medicaid
recipients," said Barbara Anderson, vice president, State and Local Health
and Human Services, HP Enterprise Services, in a statement. "HP's 40-plus
years of Medicaid and health care technology experience converge to develop and
provide quality service delivery that will continue meeting the state's
Alabama contract is part of a larger health care initiative by HP. In August, the
company signed a $200 million federal contract
to provide application
support and maintenance services for Medicare Part B claims processing. HP is
competing with several other high-profile IT services providers, including
Dell, which recently purchased Perot Systems, and IBM's Global Services