The Payment Error Rate Measurement (PERM) program measures improper payments in Medicaid and the Children’s Health Insurance Program (CHIP). Beginning in August 2017, the PERM Review Contractor, CNI Advantage, LLC, will contact all Medicaid and CHIP providers whose claims were selected for the first quarter of Federal Fiscal Year (FFY) 2017 (October 1 -December 31, 2016) to request medical records for these claims. The purpose of this Alert is to remind you that, if selected, you must comply with the medical records request. In an effort to reduce the PERM error rate for this cycle, the Agency for Health Care Administration will send a letter to inform providers of their selection and the importance of submitting the requested medical records to the Review Contractor within the 75-day timeframe. Shortly after receiving this letter, selected providers will receive a call from a CNI Advantage, LLC representative to verify the contact person and location to mail and/or fax the medical records request containing the sampled claim. The medical records request will then be sent to that contact person.