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HRD-85-56 1 (1985-08-23)

handle is hein.gao/gaobabfhe0001 and id is 1 raw text is: 
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BY THE US GENERAL ACCOUNTING OFFICE



Report To The Honorable Albert Gore, Jr.

United States Senate







CHAMPUS Has Improved Its Methods For

Procuring And Monitoring Fiscal Intermediary

Services To Process Medical Claims


In October 1982, Blue Shield of California was
awarded the Southeastern regional contract to
process medical claims submitted by beneficiaries
and health care providers under the Civilian Health
and Medical Program of the Uniformed Services
(CHAMPUS),

GAO and CHAMPUS reviews of this and other
related procurements pointed out weaknesses in
the process. When these matters were brought to
CHAMPUS' attention, corrective actions were
taken that should improve the procurement pro-
cess. Therefore, GAO is not making recommen-
dations in this report.

Blue Shield of California began operations in May
1983 under the Southeastern contract at a low
level of performance and, as of June 1984, still was
not meeting most critical CHAMPUS performance
standards. As a result, CHAMPUS issued a new
solicitation seeking offerors for the regional con-
tract and in January 1985 awarded the contract to
another fiscal intermediary.





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                                                         AUGUST 23,1985
                                  5 x q /2,7 911b

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