(The Center Square) — New York Republicans have requested a meeting with a top Trump administration official to discuss allegations of fraud and waste in New York’s $124 billion Medicaid program.
In a letter to U.S. Centers for Medicare and Medicaid Administrator Mehmet Oz, the Senate Republican Conference praised the federal agency for its investigation of the state’s “out of control” Medicaid programs and said it wants to “partner” with federal authorities to root out fraud, waste and abuse in the health care system.
“We are encouraged to see the federal government taking the lead in ensuring New York controls the costs of its Medicaid program and identifies and prevents fraud,” they wrote.
The GOP lawmakers, led by Senate Minority Leader Rob Ortt, ticked off a list of recent fraud cases highlighted by federal and state audits and news reports, including $2.6 billion in Medicaid payments to people who may not live in New York, an estimated 3 million individuals on New York’s Medicaid rolls that are ineligible for benefits and $196 million in improper Medicaid transportation payments.
“We believe the best way to strengthen the State’s Medicaid program, and ensure resources are available to those that truly need them, is to root out waste, fraud and abuse,” they wrote. “We welcome the opportunity to meet with you to discuss these issues further and explore ways the state and federal government can work together to restore accountability to New York’s Medicaid program.”
Last week, Oz announced that he has launched an investigation into potential fraud in the Medicaid system and demanded “detailed information” about the state’s fraud prevention and integrity efforts, citing the “explosive growth” in the number of workers serving elderly New Yorkers in home care and personal care programs, among other concerns.
New York’s average spending on each Medicaid beneficiary is $12,528 — 36% higher than the national average, he said, pointing out that the state’s Medicaid program costs $90 billion a year, second highest in the nation.
“The data is clear, New York far outspends other states on its Medicaid program on a statewide and per beneficiary basis,” Oz wrote to Hochul and other state leaders,” Oz wrote to Gov. Kathy Hochul.
The Hochul administration has defended its efforts to crack down on fraud and waste in the Medicaid program and accused the Trump administration of unfairly targeting democratic states while it cuts funding for federal healthcare programs.
More than 6.8 million New Yorkers — 34% of the state’s population — are currently covered by Medicaid, which is jointly funded by the state and federal government. President Donald Trump recently declared a “war on fraud” and has threatened to cut off federal funding for Democrat-run states if they do not provide proper oversight of Medicaid, food stamps, and other public benefit payments. The crackdown follows allegations that a group of Somali immigrants defrauded Minnesota taxpayers of more than $1 billion through the state’s Medicaid program.
