VA and CMS Award Claims Processing Contracts to CNSI

The health IT company won its second and third federal contracts of the year.

The Department of Veterans Affairs Financial Services Center (VA-FSC) awarded Maryland-based healthcare technology company CNSI a 5-year, $44 million contract to update its claims processing platform.

In yesterday’s announcement, the company said it will replace the VA’s existing commercial-off-the-shelf claims processing system and help to migrate existing and potential VA-FSC customer information into the new centralized platform.

In a statement, CNSI President Adnan Ahmed said his company had revolutionized healthcare information technology by developing “the nation's first completely automated real-time and cloud-based Medicaid Management Information System,” and said that his team was honored to be able to apply their expertise on behalf of American veterans.

The contract is the third with a federal agency that the company has won in recent months. Earlier this year, it received a $166 million contract from the Department of Labor Office of Workers’ Compensation. A Texas-based competitor, BillSmart Solutions, LLC, unsuccessfully protested that contract to the Government Accountability Office.

In October, the Centers for Medicare and Medicaid Services (CMS) also linked with CNSI, awarding the company a 4.5 year, $35 million contract to engineer, develop, maintain, and support a next-generation Encounter Data Processing System (EDPS) for Medicare Part C claims.

The system will be tasked with processing tens of millions of encounters weekly and making reimbursement adjustments in a timely manner, which the company describes as “a monumental technological task.” In the 5 years prior, CNSI had worked as a subcontractor on the CMS’s existing EDPS system. The company says that experience informed the development of the new architecture, which will be hosted on the Amazon Web Services cloud.

"The EDPS is a critical piece of public health infrastructure…I'm excited to see CNSI meet — and exceed – CMS' expectations for the next generation EDPS," Ahmed said of the deal.