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State of Tennessee Awards $170 Million Medicaid Management Contract to EDS, an HP Company


PALO ALTO, Calif., EDS, an HP company, today announced it has signed a four-year, $170 million contract with the state of Tennessee to update and manage the state’s Medicaid Management Information System, helping to ensure healthier outcomes for its residents.

The contract extends the 14-year relationship between EDS and TennCare, the state agency that oversees Medicaid services for more than 1.2 million Tennesseans. The base contract runs through June 30, 2013, and includes a one-year option.

EDS has operated the TennCare Management Information System for the state since 1995. In 2002, the state awarded EDS a contract to implement the EDS interChange system, replacing its legacy system.

”We are pleased to continue our partnership with EDS,” said Darin Gordon, director at TennCare. “We look forward to our continued working relationship and the implementation of enhanced computer systems and improved business practices.”

The contract calls for EDS to refresh the TennCare system with new computer hardware and software. In addition, EDS will implement a suite of powerful new business intelligence tools to help the state better analyze its health care data and develop and implement new programs.

System management, maintenance and enhancement services as well as mailroom, data entry, suspense resolution, and scanning and indexing functions will continue to be provided by EDS.

“Tennessee’s health care leaders deserve credit for recognizing the power of technology to help the state reach its long-term health goals,” said Barbara Anderson, vice president of State Health and Human Services at EDS, an HP company. “By upgrading the agency’s technology and integrating an array of important new technology tools, EDS is helping TennCare achieve its health vision for Tennesseans.”

EDS, as the fiscal agent or primary IT provider to 22 Medicaid programs, is the nation’s largest provider of Medicaid process management services, processing about 1 billion Medicaid claims and administering about $100 billion in benefits a year.

About EDS

EDS, an HP company, is a leading global technology services provider, delivering business solutions to its clients. EDS founded the information technology outsourcing industry nearly 50 years ago. Today, EDS delivers a broad portfolio of information technology, applications and business process outsourcing services to clients in the manufacturing, financial services, healthcare, communications, energy, transportation, and consumer and retail industries, and to governments around the world.

About HP

HP, the world’s largest technology company, simplifies the technology experience for consumers and businesses with a portfolio that spans printing, personal computing, software, services and IT infrastructure. More information about HP (NYSE: HPQ) is available at


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