CMS Selects Palmetto GBA to Administer Medicare Program in F...(re Part A helps cover fees from hospital...),Health

The Medicare Modernization Act of 2003 mandated creation of the MACs to increase efficiency and improve service by giving beneficiaries and providers a single point of contact for the Medicare program.

In 2007, Palmetto GBA was selected as the MAC for Jurisdiction 1, which includes California, Hawaii, Nevada, American Samoa, Guam and the Northern Mariana Islands.

"We are honored with our selection to serve beneficiaries, physicians and other health care providers in two of the new MAC jurisdictions," Palmetto GBA President Bruce Hughes said. "We appreciate and value the confidence CMS has placed in Palmetto GBA to serve the people with Medicare and those who provide care for them in Jurisdictions 1 and 11."

The competitive selection of the new MACs was made on a "best value" basis, CMS said in a statement. Primary consideration was given to the technical quality of the companies' proposals. CMS conducted a technical and past performance evaluation, performed a cost realism analysis, and assessed overall cost reasonableness for each award.

About Palmetto GBA

Based in Columbia, S.C., Palmetto GBA is a wholly owned subsidiary of BlueCross BlueShield of South Carolina. Palmetto GBA's principal business is providing administrative services for the Medicare health benefit program. The company has offices in South Carolina, Georgia, Ohio and Illinois. Palmetto GBA and BlueCross BlueShield of South Carolina are independent licensees of the Blue Cross and Blue Shield Association.