operate fourteen state decision support systems that assist states with data collection, fraud and abuse detection and case 

management.  We also assist states in bringing their health programs into compliance with the Health Insurance Portability and 

Accountability Act (HIPAA).   

In 2001, we were awarded a contract by the Department of Community Health of the State of Georgia ("DCH") to develop, 

implement and operate a system to administer health benefits to Georgia Medicaid recipients as well as state government 

employees. This system development project is large and complex and involves development of the first system in the 

industry that will process both Medicaid and state employee claims. The Medicaid phase of this project was implemented on 

April 1, 2003. As with any large, complex system development and implementation project certain delays and operational 

issues were encountered in this phase. The initial phase operational issues have been substantially addressed. We are 

working in collaboration with DCH and the Georgia healthcare providers to address ongoing program issues, including the 

implementation of new policy changes by DCH as well as changes required by HIPAA. We believe, based on our analysis to 

date, that the savings to the State of Georgia associated with this initial phase of the contract will exceed the savings initially 

anticipated. We are also in continuing discussions with DCH regarding claims that we and DCH have asserted against each 

other related to delays in the initial phase development. Both we and DCH have agreed to resolve the issues in a 

collaborative manner. Any final amount that we would agree to pay DCH has not been negotiated; however, the cost 

associated with delays in system implementation, including incremental transition costs incurred by DCH, have been 

properly and fully reflected in our financial results. We expect to resolve this matter over the next several months in an 

amicable fashion; however, there can be no assurance as to the ultimate outcome of this matter. 

Children and Family Services  

We are a major provider of child support and payment processing with high volume remittance processing and service center 

operations that handle 54% of the nation's payment transactions.  We also provide  locate and collection  services to find 

delinquent parents and collect past due child support and other payments.  Within the Children and Family Services area we 

provide electronic benefits transfer, which is the issuance of food stamps and cash benefits through magnetic stripe cards with 

redemption through point of sale devices (POS) and automated teller machines (ATM).  

Transportation Systems and Services 

We focus on three areas within our Transportation Systems and Services: Electronic Toll Collection, Motor Vehicle Services 

and Commercial Vehicle Operations.  Within Electronic Toll Collection we offer toll agencies a complete array of services 

including the operation of the back office customer service center as well as lane installation and integration.  We currently 

operate the E Z Pass programs in New Jersey and New York, the largest electronic toll collection program in the world.  

Within Motor Vehicle Services, we assist states in the processing of fuel tax and registration revenues.  We process more 

than 25% of state issued operating credentials and support the operations of more than 31% of the motor carriers operating in 

the United States.  Within Commercial Vehicle Operations we offer a nationwide network that electronically checks safety 

credentials and weighs trucks at highway speed, granting participating truckers authorization to bypass open weigh stations 

and ports of entry without stopping. 

Municipal Services 

We serve large cities and counties in the United States by focusing on revenue generating transactions that involve 

interfacing with citizens.  These services are focused in two areas: parking management and violations processing; and photo 

enforcement.  For our violations processing clients, we provide complete management, technical and operational support 

throughout the entire timeline of a violation, from issuance to final disposition.  In photo enforcement, we use cameras to 

photograph traffic violations and identify the registered owner of the vehicle so that the municipality can determine whether 

the citation can be mailed. 

Our Government Records Management group has been a leading provider of computerized document indexing and recording 

solutions for Recorders of Deeds, by providing computerized record management systems.   The client base of this business 

group includes nearly 500 system customers and hundreds of customers that outsource their indexing and document imaging 

needs to us. 

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