- Associated Press - Monday, September 22, 2014

JUNEAU, Alaska (AP) - The state has filed an administrative complaint alleging unfair or deceptive practices by the vendor it hired to implement a new Medicaid payment system.

The claim against Xerox State Healthcare LLC was filed with Alaska’s commissioner of Administration following failed mediation.

It seeks compensatory, punitive and other damages and an order requiring a plan from Xerox by Oct. 15 to resolve problems with the system.

Xerox spokeswoman Jennifer Wasmer says the system is working and where there are concerns, Xerox has been “working diligently with the state to address them.”

The system has been plagued by problems since going live last year. The state said the department was aware of problems but believed Xerox assurances that the system was operational and there was a plan to resolve remaining issues.

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