Canadian provincial health officials last year fired the parent company of CGI Federal, the prime contractor for the problem-plagued Obamacare health exchange websites, the Washington Examiner has learned.
CGI Federal’s parent company, Montreal-based CGI Group, was officially terminated in September 2012 by an Ontario government health agency after the firm missed three years of deadlines and failed to deliver the province’s flagship online medical registry.
The online registry was supposed to be up and running by June 2011.
Canadian provincial health officials last year fired the parent company of CGI Federal, the prime contractor for the problem-plagued Obamacare health exchange websites, the Washington Examiner has learned. CGI Federal’s parent company, Montreal-based CGI Group, was officially terminated in September 2012 by an Ontario government health agency after the firm missed three years of deadlines and failed to deliver the province’s flagship online medical registry.
Officials at the U.S. government's Centers for Medicare and Medicaid Services awarded six technology contracts worth $87 million to CGI Federal for Obamacare website work, according to the U.S. Government Accountability Office. The CMS officials refused to say if federal officials knew of its parent company’s IT failure in Canada when awarding the six contracts.
CGI Federal built Obamacare’s Healthcare.gov, which went live Oct. 1 but has since experienced multiple technical problems, including crashes, refusal to load and sign-on, or to provide accurate information. Obamacare requires all Americans to register for health care coverage no later than six months from Oct. 1. Officials in the White House and the Department of Health and Human Services, which manages Obamacare, declined to say how many people succeeded in registering through Healthcare.gov.
CGI Federal also is the prime contractor for state health exchange websites in Colorado, Vermont, Hawaii and Massachusetts. Three of those states also reported significant website glitches. In Hawaii, health exchange officials formally apologized for the inconvenience in delays and said they did not know when the site would be available.
Only Massachusetts, which has had a state health program in operation for seven years, reported no website problems.
The IT glitches were so acute across the nation that HHS shut down the site for weekend repairs Oct. 5-6, but the problems have persisted. In Canada, eHealth, the Ontario provincial agency, scrapped its high-profile online medical registry for diabetes sufferers and treatment providers, and cancelled CGI Group’s $46.2 million contract, on Sept. 5, 2012. The company was 14 months behind schedule when it was given notice of termination by the Ontario government agency.
In the meantime, a group of other Ontario IT companies successfully replicated the registry, rendering CGI’s project obsolete. Because the contract terms stipulated payment only upon delivery of a satisfactory final product, the province has refused to pay CGI.
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