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Maximus was fined $156,000 for performance failings in 2005

The B.C. government’s health information manager, Maximus BC, was penalized $156,000 for performance failures in 2005. Although the company took several months to get fully up to speed after signing its controversial contract in November 2004, the health ministry says its performance has much improved since then and it was never fined again.

After this reporter's five year legal effort, the B.C. government was ordered by the B.C. Information and Privacy Commissioner in June to reveal the full text of its contract with Maximus BC Health Inc. for the delivery of MSP and PharmaCare services. It also had to disclose any fines imposed on Maximus regarding its performance level.

(See this previous Hook item.)

The ministry had argued, unsuccessfully, that the revelation on fines might harm its future negotiating position for similar contracts, and so cause the government financial harm (FOIPP Act section 17).

The numbers on "service level credits to the province" are contained in letters from Leslie Wolfe, executive contract manager of Health Ministry's insurance office, to Maximus BC president Richard Mason:

May 2005 invoice - $23,500

• MSP enrolments, processed within 20 business days (required was 70%, actual was 27%)

• MSP enrolments, processed within 40 business days (required was 96%, actual was 69%)

• Provider average speed to answer (required was under 1 minute, actual was 3.13 minutes).

June 2005 invoice - $32,250

• MSP enrolments, processed within 20 business days (required was 70%, actual was 12%)

• MSP enrolments, processed within 40 business days (required was 96%, actual was 55%)

• MSP premium assistance applications processed within 20 business days (required was 60%, actual was 15%)

July 2005 invoice - $100,375

• MSP enrolments, processed within 20 business days (required was 70%, actual was 34%)

• MSP enrolments, processed within 40 business days (required was 96%, actual was 62%)

• Beneficiaries average speed to answer (required was under 3 minutes, actual was 7.12 minutes).

In July 2005 it was noted that failures had occurred in several consecutive months, so the fine was multiplied by 1.5 times, but progress was later made. Maximus BC also failed to provide enough statistical data and explanations, and these errors were later remedied.

All of Maximus BC’s performance reports for its Service Level Requirements (SLRs) can be read at the Ministry of Health Services' website. There it is noted that Health Insurance BC (HIBC), which is managed by Maximus BC, "has met or exceeded all 27 SLRs in April, May and June of this quarter."

Stanley Tromp is an investigative journalist in Vancouver.


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