California overbilled Medicaid $500 million to provide care for undocumented immigrants - and now Trump is cracking down
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California overbilled Medicaid $500 million to provide care for undocumented immigrants - and now Trump is cracking down
"The Centers for Medicare and Medicaid Services is scouring payments covering health care for immigrants without legal status to ensure there isn't any waste, fraud or abuse, according to public records obtained by KFF Health News and The Associated Press. While acknowledging that states can bill the federal government for Medicaid emergency and pregnancy care for immigrants without legal status, federal officials have sent letters notifying state health agencies in California, Colorado, Illinois, Minnesota, Oregon and Washington that they are reviewing federal and state payments for medical services, such as prescription drugs and specialty care."
""If CMS determines that California is using federal money to pay for or subsidize healthcare for individuals without a satisfactory immigration status for which federal funding is prohibited by law," according to a letter dated March 18, "CMS will diligently pursue all available enforcement strategies, including, consistent with applicable law, reductions in federal financial participation and possible referrals to the Attorney General of the United States for possible lawsuit against California.""
CMS has launched reviews of Medicaid payments in at least six Democratic-led states that provide comprehensive coverage to low-income and disabled immigrants without permanent legal status. Federal officials sent letters to state health agencies in California, Colorado, Illinois, Minnesota, Oregon and Washington notifying them that payments for services such as prescription drugs, specialty care, emergency care and pregnancy care are under review. California self-reported at least $500 million in overcharges for health care delivered to immigrants without legal status, prompting potential enforcement and a threatened lawsuit. CMS described the probes as efforts to protect Medicaid’s fiscal integrity and warned of reduced federal funding and legal referrals. The reviews occur amid broader federal and congressional moves to cut taxpayer spending on immigrant health care.
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