TEXAS HEALTH AND HUMAN SERVICES COMMISSION ALBERT HAWKINS EXECUTIVE COMMISSIONER

Exhibit 10.32.7

TEXAS HEALTH AND HUMAN SERVICES COMMISSION

XXXXXX XXXXXXX
EXECUTIVE COMMISSIONER

August 25, 2006

Xxxxxx XxXxxxxxx, President and CEO AMERIGROUP Texas, Inc.
0000 Xxxx Xxxx Xxxxx, Xxxxx 000 Xxxxxxxx,
Xxxxx 00000

Re: HHSC Contract No: 529-03-0002-00001-J HHSC

          Legacy # 529-03-450-J

Dear Xx. XxXxxxxxx:

Enclosed is the fully executed Contract Amendment # 12 between the Health and Human Services Commission and AMERIGROUP Texas, Inc., to modify the monthly capitation amounts for Xxxxxx County Service Area, and to extend the contract thru 12/31/06.

Should you have any questions, please contact your Health Plan Manager or myself at (000) 000-0000 or xxxxxx.xxxxx@xxxx.xxxxx.xx.xx.

Sincerely,

/s/ Xxxxx Xxxxx Xxxxx Xxxxx
Contr

Contract Manager

Enclosure

cc: Administrative Services Development, HHSC (Mail Code: BH-1500)

P. O. Box 13247 • Austin, Texas 78711 • 0000 Xxxxx Xxxxx, Xxxxxx, Xxxxx 00000

HHSC Contract# 529-03-0002-00001J

STATE OF TEXAS

HHSC Legacy # 529-03-450J

COUNTY OF XXXXXX

AMENDMENT #12
TO THE AGREEMENT BETWEEN THE
HEALTH & HUMAN SERVICES COMMISSION
AND
AMERIGROUP TEXAS, INC.
FOR HEALTH SERVICES
TO THE
MEDICAID STAR+PLUS PROGRAM
IN THE
XXXXXX COUNTY SERVICE DELIVERY AREA

     THIS CONTRACT AMENDMENT (the “Amendment”) is entered into between the HEALTH & HUMAN SERVICES COMMISSION (“HHSC”), an administrative agency within the executive department of the State of Texas, and AMERIGROUP TEXAS, INC. (“HMO”), a health maintenance organization organized under the laws of the State of Texas, possessing a certificate of authority issued by the Texas Department of Insurance to operate as a health maintenance organization, and having its principal office at 0000 Xxxx Xxxxxxxx Xxxx, Xxxxx 000, Xxxxxxxxx, Xxxxx 00000. HHSC and HMO may be referred to within this Amendment individually as a “Party” and collectively as the “Parties.”

     The Parties hereby agree to amend their Agreement as set forth herein.

ARTICLE 1. PURPOSE.

Section 1.01 Authorization.

     This Amendment is executed by the Parties in accordance with Article 15.2 of the Agreement.

Section 1.02 Effective Date.

     Except as specified below, the Effective Date of this Amendment is September 1, 2006. Upon execution by the parties, the term of this Agreement is extended through December 31, 2006, unless extended or terminated sooner by HHSC, in accordance with this Agreement.

ARTICLE 2. AMENDMENT TO THE OBLIGATIONS OF

THE PARTIES Section 2.01 Modification of Article 13, Payment Provisions

Article 13, Payment Provisions, is amended by modifying Section 13.1.2, as follows:

     13.1.2 The monthly capitation amounts for the Xxxxxx County Service Area are as follows:

HHSC Contract# 529-03-0002-00001J

    HHSC Legacy # 529-03-450J Page 1 of 2 Effective Date: September 1, 2006

		FY 2007
Member Risk Groups		Monthly Capitation Amounts
		9/1/2006 - 8/31/2007
CBA Waiver Clients-Dual Eligible
CBA Waiver Clients-Medicaid Only		***REDACTED***
Other Community Clients-Dual Eligible
Other Community Clients-Medicaid Only
Nursing Facility Clients-Medicaid Only

     Section 2.02 Modification of Article 19, Term

     Article 19, Term, is amended by modifying Section 19.1, as follows:

     19.1 The effective date of this contract is September 1, 2003. The contract will terminate on December 31, 2006, unless extended or terminated earlier as provided for elsewhere in this contract.

ARTICLE 3. REPRESENTATIONS AND AGREEMENT OF THE PARTIES

     The Parties contract and agree that the terms of the Agreement will remain in effect and continue to govern except to the extent modified in this Amendment.

     By signing this Amendment, the Parties expressly understand and agree that this Amendment is hereby made a part of the Agreement as though it were set out word for word in the Agreement.

     IN WITNESS HEREOF, HHSC and the HMO have each caused this Amendment to be signed and delivered by its duly authorized representative.

		AMERIGROUP TEXAS INC.		HEALTH & HUMAN SERVICES COMMISSION
By:
		Xxxxxx XxXxxxxxx		Xxxxxx Xxxxxxx
		President and CEO		Executive Commissioner

HHSC Contract# 529-03-0002-00001J

HHSC Legacy # 529-03-450J Page 2 of 2 Effective Date: September 1, 2006