Hatchett Questions Medicaid Payments See the audit report for Full Details |
Edward B. Hatchett, Jr. |
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(Frankfort - April 10, 2003)
Kentucky's Medicaid Program has erroneously paid over $1.8 million on behalf of deceased patients and has reimbursed providers of oxygen-related medical equipment more than $727,000 beyond Medicare limits, according to two audits released by State Auditor Ed Hatchett. "This is close to $3 million the state could really use right now," explained Hatchett.
The audit, Medicaid Payments Made on Behalf of Deceased Participants, uncovered more than 7,000 payments totaling over $360,000 were made for deceased clients during Fiscal Year 2002 alone. In addition, the Department of Medicaid Services estimates that the office paid out other erroneous payments of $1.5 prior to Fiscal Year 2002, resulting in $1.8 million lost to taxpayers. "Some premiums were paid up to eight years after participants' deaths," said Hatchett. "and 79% of the premiums we identified were paid to one provider, Passport Health Plan, on behalf of 300 deceased former participants." The audit, Partnership audit of Medicaid Payments for Oxygen Related Durable Medical Equipment and Supplies, was a collaborative effort between the offices of the Auditor of Public Accounts and the Federal Office of the Inspector General for the Department of Health and Human Services covering a 24-month period ending December 31, 2000. This audit found that Kentucky's Medicaid program reimbursed providers an excess $727,000 beyond Medicare limits for oxygen-related supplies. Hatchett attributed this error to the agency's failure to update reimbursement limits. "Overpaying providers and paying premiums for the dead prevent the funds from going to those who truly need them," complained Hatchett. |
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