Maine Mangles Medicaid – Charges CIO

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Allan Holmes, for CIO Magazine just posted a scathing and detailed autopsy of the disastrous Medicaid Claims System project run by CSNI and launched in January of 2005. Requirements elicitation failures combined with incompetent vendor selection and project mismanagement lead to a $30,000,000 oops for the state of Maine, jeopardizing its credit rating. The system failed to process 300,000 claims in the first 3 months of operations, causing many health care providers to close their doors – and presumably causing citizens of Maine to go without needed services. Maine is the only state in the union (as of April 2005) not complying with federal HIPAA regulations.