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Feb 15, 2012 9:50 AM by Sharlee Barriere

Federal Agency Approves Medicaid Contract

A proposed $185 million contract with a firm to handle Louisiana's Medicaid claims processing has been approved by the federal government's health agency.

The Advocate reports (http://bit.ly/zeQRsm ) state health agency officials have been waiting for months for the U.S. Center for Medicare and Medicaid Services to agree to Louisiana's deal with CNSI, the Maryland company that won the bid. CNSI at one time employed Bruce Greenstein, the head of the agency that would oversee the work contracted by the state.

Under the contract, CNSI would handle the claims and pay the invoices for health-care services provided under Medicaid, the government's health insurance program for the poor. Louisiana's Medicaid program serves some 1.2 million people, mainly children, the elderly and developmentally disabled.

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