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Inspector general tells welfare committee audits found millions in Medicaid waste and possible savings
Summary
Steve Anderson, inspector general in the attorney general's office, told the Committee on Welfare Reform that audits and investigations identified millions in waste and overpayments in Medicaid and related programs, and recommended fixes including technology updates, staffing and policy changes that could yield multimillion-dollar savings.
Steve Anderson, inspector general in the attorney general's office, told the Committee on Welfare Reform on Jan. 27 that audits of Medicaid programs and related services have identified large sums the state can save or recover.
Anderson said his office's audit work lists a $16,000,000 entry described as "waste" in a TransMed-related item and that an interim audit identified roughly $36,000,000 in annual savings if people who lack required functional assessments are moved from costly waiver capitation payments to standard Medicaid. "We could save $36,000,000 a year by making that one simple change," Anderson said.
Why it matters: capitation for waiver participants can be far higher than the cost of standard Medicaid services. Anderson told lawmakers the capitation payment for some…
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