HP Wins $147 Million Medicaid Contract Extension with State of Delaware


Hewlett-Packard’s Enterprise Services reports that the Delaware Department of Health and Social Services (DHSS), Division of Medicaid and Medical Assistance, has signed a $147 million contract for it to implement its flagship interChange Medicaid Management Information System (MMIS).

HP is the nation’s largest provider of Medicaid and Medicare process-management services, administering $140 billion in benefits a year. It serves as the fiscal agent or principal IT provider for Medicaid in 19 states.

Under the renewed contract, HP will continue as Delaware’s Medicaid fiscal agent, while helping the state prepare for healthcare transformation. The five-year contract includes six one-year options that are not part of the base agreement and extends HP’s 24-year relationship in supporting Delaware Medicaid.

Delaware becomes the 16th state to adopt HP’s interchange Healthcare platform, which HP says gives states and their providers access to leading-edge technology aimed at cutting costs, increasing access to information, reducing implementation risk, and improving provider satisfaction. The HP interChange Platform has earned federal certification in 13 states. Two other interChange systems are under construction in other states.

HP will provide Applications Services for the design and implementation of the Delaware Medicaid Enterprise System (DMES). HP says the new system will:

  • Provide the flexibility to enable Delaware to respond quickly to federal and state legislative changes such as the Affordable Care Act and the HITECH Act.
  • Include the scalability to develop into a multi-payer system to support other state programs.
  • Drive innovation for new capabilities and services, such as Web-based, self-service tools that allow better access to information through a secure portal. Clients will be able to request eligibility, and providers will receive prior authorizations and submit claims online.
  • Provide state health managers with near-real-time healthcare trend data to identify emerging needs.
  • Reduce reliance on paper claims and documents.

HP will continue providing infrastructure and managing the DMES with Business Process Outsourcing Services during and after the implementation. This is the infrastructure DHSS, providers and clients will use for provider enrollment, claims processing, reporting, and audits. HP also will host the application and provide additional MMIS support, maintenance and disaster-recovery services.


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