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FOR IMMEDIATE RELEASE : October 15, 2008


State selects new company to manage Medicaid claims system

Affiliated Computer Services to take over current system while designing a new one for Alaska

(Anchorage, Alaska) ─ The Alaska Department of Health and Social Services announced today that Affiliated Computer Services Inc. will take over the state’s medical assistance operations effective Nov. 1, 2008.

This new $27 million contract allows Affiliated Computer Services to take over Medicaid Management Information System (MMIS) operations from First Health Services Corporation, a Virginia-based company that has been running Alaska’s MMIS system since 1987. The takeover will make a later transition to the state’s new Medicaid claims processing system even more streamlined.
“Their willingness to assume this early takeover fits very well with our vision and further ensures we will be on time and on budget,” said Bill Streur, Health and Social Services Deputy Commissioner for Medicaid and Health Care Policy.

As of Nov. 1, Affiliated Computer Services will process Medicaid and medical assistance claims, as well as run the Medicaid recipient help line and other services. Despite this change, Alaska health-care providers will continue to submit claims using the same mailing addresses. They will use the same phone number for inquiries (907-644-6800 or the in-state toll-free number, 800-770-5650), and the same Web site for information about billing and training ( ).

Affiliated Computer Services, a Texas-based Fortune 500 company, is currently under a contract signed in the fall of 2007 to develop a new Medicaid Management Information System designed to enhance state capabilities and customize it to process claims for Alaska Medicaid and Alaska’s other medical assistance programs.

The new system, which also will be operated by Affiliated Computer Services, will begin in the summer of 2010 and will provide more options for health-care providers, allowing them to submit and track payment claims through a secure and interactive Web site. Medicaid recipients also will have access to a new Web site to learn more about health-care benefits and to find Medicaid providers in their area.