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MAP Act would expand Medicaid fraud unit staffing and subpoena powers; committee sends bill to judiciary
Summary
House File 2,354 (MAP Act) would add staff to the Medicaid Fraud Control Unit, align subpoena authority with county attorneys for financial records and raise penalties for large-scale medical-assistance fraud. The committee voted to re-refer the bill to the Judiciary Committee.
House File 2,354, titled the MAP Act in committee testimony, was presented March 27 to expand the Minnesota Medicaid Fraud Control Unit's capacity and tools. Nick Wanke (recorded in the transcript as the unit director) told the committee the unit — funded largely by a federal grant that covers 75% of costs and subject to federal program limitations — currently employs 32 people and has recovered and secured restitution totaling approximately $53 million over the last five years. The unit asked the state to fund additional staff to meet workload demands tied to a larger Medicaid program.
Wanke testified the federal Office of Inspector General (HHS-OIG) calculates recommended staffing based on the size of a state’s Medicaid budget; the unit's recommended staffing was 41 positions, implying nine additional staff (one attorney, seven investigators and one support staff). Because federal grant rules reimburse the majority of unit costs, the state share would be comparatively small — Wanke testified the state cost would be about 2.25 full-time equivalents of the requested nine positions because of the federal match.
The MAP Act also would expand subpoena authority for the Attorney General's Office in Medicaid fraud investigations to permit acquisition of certain financial records that the office currently cannot compel in some circumstances. The bill would align the AGO’s investigative tools more closely with county attorneys when pursuing similar investigations. The bill also brings penalties for medical assistance fraud into alignment with other theft statutes, including a maximum penalty (identified by the sponsor) of up to 20 years in prison and fines up to $100,000 for thefts of $35,000 or more.
Wanke noted the unit's audit history and conviction record compared with similarly sized states and said additional staff and tools would enable the unit to continue recovering taxpayer funds and prosecuting provider fraud. Committee discussion supported the bill's intent; Chair Cleavorn moved that House File 2,354 as amended be referred to the Judiciary Committee and members approved the referral.
