(AP) - The state agency responsible for New Jersey's Medicaid program is continuing the development of a computer-based program aimed at reducing the backlog of applicants.

Speaking Monday at an Assembly budget hearing, acting Human Services Department Commissioner Elizabeth Connolly said she's awaiting a May analysis of the system from KPMG.

The report will cost $850,000. Xerox is then expected to help develop a new process, known as Consolidated Assistance Support System.

The development comes after the state ended a $118 million contract with Hewlett-Packard last year over missed deadlines. It also comes after Gov. Chris Christie unveiled a plan to overhaul Medicaid, Medicare and Social Security.

Since Christie expanded Medicaid under the Affordable Care Act, some 400,000 state residents have become insured. But another 7,000 sit on waiting lists.