PIERRE, S.D. (AP) - South Dakota officials say development of a
new Medicaid management system is far behind schedule because of a
dispute between the state and the company hired to do the work.
The state signed a contract in 2008 with Client Network Service
Inc. to develop a new $72 million computerized system for managing
the program that pays medical expenses for low-income people.
State Social Services Secretary Kim Malsam-Rysdon told a
legislative committee Monday that the state ended the contract in
October 2010 because the work was behind schedule and of poor
quality.
The state and the company then wound up in court. But
Malsam-Rysdon says the state and the company have been in mediation
in an attempt to solve problems and get the project moving again.
(Copyright 2012 by The Associated Press. All Rights Reserved.)
AP-NY-01-09-12 1744EST
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