Judy Mohr Peterson has been named head of the state Medicaid program amid continuing problems with a new online eligibility system estimated to cost taxpayers as much as $144 million.

Mohr Peterson, who will start her job as administrator of the state Department of Human Services Med-QUEST Division on July 1, is an expert in Medicaid, the government health insurance program for low-income residents, and the federal Affordable Care Act, also known as Obamacare, DHS said in a press release.

She fills a position left vacant since February when DHS ousted former state Medicaid director Kenny Fink, who led program since 2008. In an internal memo to staff, Fink said he had been “asked to resign,” but didn’t provide further details.

Fink oversaw implementation of the troubled Kolea eligibility system that opened in October 2013 to accommodate expanded Medicaid enrollment under Obama­care. 

Kolea has come under fire after widespread complaints by community health centers that for more than a year the online system has constantly frozen up, frequently lost applicant information, didn’t update eligibility in a timely manner and couldn’t upload documents required for verification.

Lawmakers have criticized Medicaid officials for concealing the problems with the Kolea system and for how much DHS has spent on the faulty technology.

Mohr Peterson served as Oregon’s state Medicaid director since September 2009 and has 18 years of experience in public health. 

“Dr. Peterson’s leadership as Medicaid director in Oregon is ideal for Hawaii as we consider innovations within our own Medicaid programs,” said Gov. David Ige in a press release. “I expect she will work closely with DHS Director Rachael Wong to reshape the culture of government and improve services for our keiki, kupuna and all Hawaii people.”

Mohr Peterson began her career with Medicaid in 1997 first managing various sections of the Oregon Medicaid agency and later the Oregon Health Authority. She previously evaluated and reported on children’s mental health in Texas and received her master’s and doctoral degrees in anthropology from the University of Texas at Austin. 

“Health care services work best when they are focused on the people we serve,” Mohr Peterson said in the release. “I look forward to working with Hawaii communities to help bring new innovations for better health, better care and lower costs for everyone.”

Hawaii was one of the first states to implement Medicaid expansion under Obamacare. DHS said the net effect was a 10 percent increase (29,836) in enrollment between September 2013 and April 2014. More than 320,400 residents currently receive health care coverage under the more than $2 billion Medicaid program, funded by the federal and state governments.