TEXAS STATE EMPLOYEES UNION
EMAIL BROADCAST UPDATE TO MEMBERS May 11, 2006
Strayhorn announces audit of Accenture contract
Texas Controller of Public Accounts Carole Keeton Strayhorn announced on May 11 that heroffice will investigate the $899 million contract to operate human services eligibility call centersand provide other services. The state contract with Accenture has been heavily criticized byTSEU, advocacy groups, and numerous legislators. The criticism has increased as the disastrousroll-out of the call center plan in Travis and Hays counties highlighted the many problems withthe TAA/IEE/ Accenture/call center plan.
The investigation was requested by Sen. Eliot Shapleigh (D - El Paso) and Reps. Carlos Uresti(D- San Antonio) and Carter Casteel ( R - New Braunfels).
Following is the text of the article from the Austin American Statesman:
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Strayhorn says she'll audit state contractorAccenture under fire for CHIP, call center contracts.
By Liz AustinAUSTIN AMERICAN STATESMAN (ASSOCIATED PRESS) Thursday, May 11, 2006
At the request of three lawmakers, state Comptroller Carole Keeton Strayhorn plans toinvestigate the contractor processing applications for Texas' low-cost insurance program forchildren and running the state's new benefits eligibility system.
The contractor, Texas Access Alliance, is a group of companies led by Accenture, aBermuda-based technology consulting firm.
"The Accenture contract, to me, appears to be the perfect storm of wasted tax dollars, reducedaccess to services . . . and profiteering at the expense of taxpayers," said Strayhorn, who hopes tounseat Republican Gov. Rick Perry in November.
State Sen. Eliot Shapleigh, D-El Paso, asked her Wednesday to conduct a comprehensive auditand performance review, saying it could "shed some light on the ongoing problems that arenegatively affecting tens of thousands of Texans."
Later in the day, state Rep. Carlos Uresti, D-San Antonio, and state Rep. Carter Casteel, R-NewBraunfels, said in a letter to Strayhorn that they're "deeply concerned about the viability of theagency's plans" for its new eligibility system.
More than 30,000 children have left the Children's Health Insurance Program rolls since Dec. 1,and total enrollment has dipped below 300,000 for the first time since 2001, when the programwas in its infancy.
Advocates blame enrollment declines on the contractor, citing complaints that applications werelost, payments were not credited to the proper accounts and families have been improperly deniedbenefits.
An Accenture spokesman and Texas Health and Human Services Commission spokeswomanStephanie Goodman said they had not heard about Shapleigh's request and could not immediatelycomment.
In the past, state officials have defended the consortium, saying it did not start handlingapplications until January, after the decline began.
Technical and operational problems have also dogged the other program the consortium isrunning, forcing the state to twice delay the rollout of a new computer system that lets peopleapply for benefits such as Medicaid, food stamps and Temporary Assistance to Needy Familiesover the phone, online or in person.
Using the new system, the state planned to replace 99 of its 310 eligibility offices and 2,900 of its5,800 eligibility workers with four private call centers.
The system was unveiled in January in Travis and Hays counties and was supposed to beimplemented in 20 more Hill Country counties in late April. All 254 Texas counties are supposedto be using the new system by the end of the year.
But Health and Human Services Executive Commissioner Albert Hawkins has called for two30-day delays, saying he wants to see better training for customer service representatives at callcenters, a process to more quickly resolve complicated cases, better reporting tools to track casesand staff workload and improved data collection.
Strayhorn has been sparring with state leaders over the limits to her authority to investigate stateagencies. Attorney General Greg Abbott ruled last week that she is limited by state law toreviewing agency expenses, receipts and disbursements. ***************************************************Copies of the letters requesting the investigation will be posted on TSEU's web site.
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By Liz AustinAUSTIN AMERICAN STATESMAN (ASSOCIATED PRESS) Thursday, May 11, 2006
At the request of three lawmakers, state Comptroller Carole Keeton Strayhorn plans toinvestigate the contractor processing applications for Texas' low-cost insurance program forchildren and running the state's new benefits eligibility system.
The contractor, Texas Access Alliance, is a group of companies led by Accenture, aBermuda-based technology consulting firm.
"The Accenture contract, to me, appears to be the perfect storm of wasted tax dollars, reducedaccess to services . . . and profiteering at the expense of taxpayers," said Strayhorn, who hopes tounseat Republican Gov. Rick Perry in November.
State Sen. Eliot Shapleigh, D-El Paso, asked her Wednesday to conduct a comprehensive auditand performance review, saying it could "shed some light on the ongoing problems that arenegatively affecting tens of thousands of Texans."
Later in the day, state Rep. Carlos Uresti, D-San Antonio, and state Rep. Carter Casteel, R-NewBraunfels, said in a letter to Strayhorn that they're "deeply concerned about the viability of theagency's plans" for its new eligibility system.
More than 30,000 children have left the Children's Health Insurance Program rolls since Dec. 1,and total enrollment has dipped below 300,000 for the first time since 2001, when the programwas in its infancy.
Advocates blame enrollment declines on the contractor, citing complaints that applications werelost, payments were not credited to the proper accounts and families have been improperly deniedbenefits.
An Accenture spokesman and Texas Health and Human Services Commission spokeswomanStephanie Goodman said they had not heard about Shapleigh's request and could not immediatelycomment.
In the past, state officials have defended the consortium, saying it did not start handlingapplications until January, after the decline began.
Technical and operational problems have also dogged the other program the consortium isrunning, forcing the state to twice delay the rollout of a new computer system that lets peopleapply for benefits such as Medicaid, food stamps and Temporary Assistance to Needy Familiesover the phone, online or in person.
Using the new system, the state planned to replace 99 of its 310 eligibility offices and 2,900 of its5,800 eligibility workers with four private call centers.
The system was unveiled in January in Travis and Hays counties and was supposed to beimplemented in 20 more Hill Country counties in late April. All 254 Texas counties are supposedto be using the new system by the end of the year.
But Health and Human Services Executive Commissioner Albert Hawkins has called for two30-day delays, saying he wants to see better training for customer service representatives at callcenters, a process to more quickly resolve complicated cases, better reporting tools to track casesand staff workload and improved data collection.
Strayhorn has been sparring with state leaders over the limits to her authority to investigate stateagencies. Attorney General Greg Abbott ruled last week that she is limited by state law toreviewing agency expenses, receipts and disbursements. ***************************************************Copies of the letters requesting the investigation will be posted on TSEU's web site.
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