Massachusetts starts over on its troubled health exchange website
Massachusetts will stop trying to fix its deeply flawed health insurance website and instead buy new software to help its residents enroll in coverage, officials there said Monday. But the state will also prepare to join the federal insurance marketplace by the next enrollment period, which starts in November, in case the new system is not working in time.It must be a difficult pill to swallow for the state, given that it had a functioning system prior to revamping its site to comply with the new federal law. And that’s spurred some sharp criticism.The decision follows months of problems with enrollment through the state website, which Massachusetts set up in 2006 under its landmark health insurance law. The site worked well until it was revamped last year to comply with the Affordable Care Act, President Obama’s health care law. The state had put CGI, the company that also helped design the initially problem-plagued federal exchange, in charge of the overhaul.
Massachusetts announced in March that it was dropping CGI, but it is still negotiating the terms of ending its $69 million contract, of which the state has paid $17 million. The state received $174 million from the federal government to overhaul its health insurance website and has spent about $57 million so far, including the amount paid to CGI, according to Glen Shor, the state’s secretary of administration and finance.Sarah Iselin, a health insurance executive whom Gov. Deval Patrick appointed to oversee fixes to the website, said the new “dual-track” plan would cost a little more than $100 million through 2015. But she said it was too soon to know whether the state would seek more federal money; that will depend partly on whether the state ends up owing CGI more money.













