Sec. 4. (a) A contract to administer any part of the Medicaid program may be for an original term of not more than four (4) years.
(b) At the option of the office, the term of the contract may be extended for a term of not more than two (2) additional years.
(c) An extension may be granted for a contract that is in effect.
This particular statute was primarily written to address the agency's contract for processing Medicaid claims. The State has contracted with EDS for many years to perform that service. The statute, however, applies to any contracting by the Office of Medicaid Policy and Planning. If I understand the privatization contract, it applies to several welfare programs, including the Medicaid program. At least the portion of the contract applying to Medicaid eligibility and other Medicaid administration responsibilities, on its face, would be covered by this statute. According to the Star article, the administration claims the Attorney General, from whom Simpson is seeking a legal opinion, has already signed off on the contract.