Our Voices Arkansas

The Voices of Grassroots Conservatives Across Arkansas

Jan 15, 2014

Does HP in Conway Make You Think “Medicaid”?

Eh, nope. What about you? Medicaid expansion is on our minds these days, with the upcoming Legislative session scheduled to vote on re-authorizing funding for the private option Medicaid expansion under Obamacare. So, on Monday, we learned something we never heard from our Mayor or City Council a while back — when they were promoting...

by OurVoicesAR

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medicaidEh, nope. What about you?

Medicaid expansion is on our minds these days, with the upcoming Legislative session scheduled to vote on re-authorizing funding for the private option Medicaid expansion under Obamacare.

So, on Monday, we learned something we never heard from our Mayor or City Council a while back — when they were promoting HP, “the computer company” bringing jobs to Conway.

On Monday, Arkansas Business wrote about how Hewlett Packard growth in Conway is “linked to Medicaid,” a $46.8 million part of HP’s business that we didn’t really know about until now.

hp-conwayGiven all the upheaval in the Medicaid program due to Obamacare, this puts a different light on HP’s future expansion (maybe this year) in Conway, as the company says Medicaid is the part of their business that’s growing.

Using federal dollars to buy private insurance for the working poor is Arkansas’ novel approach to expanding Medicaid under the federal Affordable Care Act.

But in some ways the Medicaid industry is already privatized:  Much of the work — in around 40 of 50 states — that’s involved in processing Medicaid claims is done by for-profit companies.

The biggest player in Medicaid processing is Hewlett-Packard Co. of Palo Alto, Calif., and Arkansas is one of its customers, to the tune of $46.8 million in the current fiscal year.

What’s more, Arkansas is also a beneficiary of HP’s work in health care:  This year, the company will open a regional development center in Conway, where it already has a customer service and tech support facility.

The new center will provide support for its commercial and state health care portfolio across the country, eventually hiring up to 200 employees there.

HP’s work in health care goes dates back to the 1960s, and that segment has grown to become a significant revenue source for the tech juggernaut that is known mainly for computers and printers…

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