Farley Calls on HHS to Conduct Top to Bottom Review - Chele Farley for US Senate >

Farley Calls on HHS to Conduct Top to Bottom Review of State Medicaid Programs - $1.3 Billion Vanished!

FOR IMMEDIATE RELEASE:  June 14, 2018

U.S. Senate candidate Chele Farley (R, C, Reform)  today called on the federal department of Health and Human Services to immediately conduct a top to bottom review of state Medicaid programs to ensure the integrity of the program and protect New York taxpayers.

According to an audit by New York Comptroller Tom DiNapoli, between January 1, 2012 and Sept. 1, 2017, New York State paid out $1.28 billion for unnecessary duplicate coverage. The audit found more than $691 million in premiums were paid because the state didn’t know the Medicaid recipients had third-party coverage.

“New Yorkers endure the highest tax burden in America and are sending $48 billion more to Washington than we get back, the least state government can do is not squander the aid we do get with sheer incompetence,” said Farley.

New York Medicaid claim costs totaled approximately $58 billion. According to DiNapoli, the federal government funds 55.3% of New York’s total claim costs, the state funds 29.0% of claims and New York’s localities fund the remaining 15.7%. The main role of State Office of the Medicaid Inspector General is to ensure that improper payments are not made.

Farley added, “What is deeply troubling is that this has gone on for many years and was completely missed by the State Office of the Medicaid Inspector General.  Clearly the state needs more oversight.”

To add insult to injury, DiNapoli also found that $1.17 billion of the $1.28 billion of premiums paid during the audit period of Jan. 1, 2012 to Sept. 1, 2017, are not recoverable.

"New Yorkers deserve better than to have over a billion dollars of their tax dollars wasted. If we are going to make the case that we need more of our tax dollars returned to New York, it starts with prudently managing and spending the funds we already receive," concluded Farley.