The state signed a deal Friday with information technology giant CGI to build and implement Vermont’s $118 million health insurance exchange, called Vermont Health Connect.
The two-year contract is for $36 million with a second two-year option to re-up, which would bring the cost of CGI’s services to $51 million.
CGI, the Canadian-based multinational firm, is headquartered in Montreal and is building the IT capacity for the U.S government’s federal insurance exchange and data hub. The company is also building exchanges for Colorado, Hawaii and Massachusetts.
Mark Larson, commissioner of the Department of Vermont Health Access, who is overseeing this project, said that CGI’s vast resources and experience will help the state meet its massive IT goals under tight deadlines.
“They are a very well qualified vendor, and I think they’ll give us the resources we need to be able to have the exchange up and running on Oct. 1,” said Larson.
Larson said the company’s primary responsibilities will include completing the design and development of the exchange and connecting it to state and federal data systems to allow users to know what tax credits and government benefits they qualify for.
On the consumer end of the exchange, CGI is contracting out to Exeter Group Inc. based in Boston.
“Exeter already has a product that includes the front-end user experience that they will be tailoring for Vermont,” said Larson.
Linda Odorisio, U.S. spokeswoman for CGI, said the firm is very excited to work with Vermont.
“We are very pleased to be able to work with the great state of Vermont as well as the other states we support.”
Asked whether CGI was confident it could have the exchange up and running by Oct. 1, 2013, she said, “We’re working in partnership with the state for all of us to meet that goal.”
