SAO Cover Letter
The State Auditor’s Office contracted with the actuarial firm Milliman, Inc. to evaluate the actuarial
soundness of the rates and analyze key factors that affect the rates. Milliman concluded that, overall,
the Commission followed methods to produce actuarially sound fiscal year 2024 capitation rates and did
not identify a program-wide pattern of over- or under-funding or material issues. However, Milliman made
several recommendations to improve the actuarial process and mitigate the risk of future unsoundness.