A Lesson from New York
December 6, 2011 - by
Up north in the land of the Yankees, about a decade ago New York hired Computer Services Corporation to process its Medicaid payments. But there was a hitch, according to the New York State Comptroller: The corporation’s computer system was “so inefficient and unable to detect deception” it’s allowed hundreds of millions in bogus payments. Plus, CSC was 33 months late and $166 million over budget implementing its system. And, auditors said, CSC used obsolete computer programs that “caused more than $500 million in losses due to fraud, waste and abuse.”
Three years ago North Carolina hired the same corporation to manage its Medicaid billings and, now, they’re two years behind schedule and $200 million over budget. So how did a corporation – which might be expected to pull the wool over the eyes of hapless Yankees – fool us Southerners too?
It hired Lanier Cansler – who was then a lobbyist – to help it get the state contract.
And now the same Lanier Cansler heads Governor Perdue’s Department of Health and Human Services – which handles Medicaid payments.
A Lesson from New York
December 6, 2011/
Up north in the land of the Yankees, about a decade ago New York hired Computer Services Corporation to process its Medicaid payments. But there was a hitch, according to the New York State Comptroller: The corporation’s computer system was “so inefficient and unable to detect deception” it’s allowed hundreds of millions in bogus payments. Plus, CSC was 33 months late and $166 million over budget implementing its system. And, auditors said, CSC used obsolete computer programs that “caused more than $500 million in losses due to fraud, waste and abuse.”
Three years ago North Carolina hired the same corporation to manage its Medicaid billings and, now, they’re two years behind schedule and $200 million over budget. So how did a corporation – which might be expected to pull the wool over the eyes of hapless Yankees – fool us Southerners too?
It hired Lanier Cansler – who was then a lobbyist – to help it get the state contract.
And now the same Lanier Cansler heads Governor Perdue’s Department of Health and Human Services – which handles Medicaid payments.