BOISE, Idaho (AP) — Idaho's new, problem-plagued Medicaid claims processing system may cost taxpayers millions of dollars, according to a report released Tuesday by legislative auditors who concluded that neither Idaho health officials, the software company nor Medicaid providers were adequately prepared for the switch last year.
After California-based Molina Medicaid Solutions took over the $106 million contract in May 2010, problems handling Idaho's roughly $1.4 billion in annual Medicaid claims emerged almost immediately. That delayed thousands of payments to private providers who rely on the payments to provide services to the poor and disabled.
To help keep them in business, the Department of Health and Welfare advanced these providers a total of $117 million in interim payments in July and August.
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