GO
Loading...

Nevada to cut ties with Xerox on health exchange: Report

Source: Nevada Health Link

Nevada's health-care exchange is cutting ties with Xerox, the contractor who botched the building of its Health Link website, and will partner with the federal system for the upcoming year, the Las Vegas Review Journal reported Tuesday.

The state exchange will keep its autonomy and its member-based funding.

Members of the Silver State Health insurance Exchange Board on Tuesday voted unanimously to become a "state-supported" exchange for the upcoming year and said it had lost faith in the contractor's ability to fix ongoing problems with its Nevada Health Link website.

The change to a new system could cost as much as $57 million in addition to the $72 million contract the exchange already had with Xerox, the report said.

Exchange officials have applied for federal grants to cover the cost. A Xerox spokeswoman said the board's decision was extremely disappointing.

"We have engaged the full breadth of Xerox’s resources and have brought in external experts to meet that goal,” the company said in a statement.

Click here to read the full report the Las Vegas Review Journal.

Contact Health Care

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    To learn more about how we use your information,
    please read our Privacy Policy.
    › Learn More