Archived Story

Legislation targets Medicaid fraud

Published 11:55pm Wednesday, August 31, 2011

State Sen. John Proos recently co-sponsored legislation in the Michigan Senate to crack down on Medicaid fraud.

John Proos

“Thousands of Michigan residents rely on Medicaid for health care. Weeding out fraud in the system will ensure those who need and deserve these benefits get them and those who don’t are held accountable,” said Proos, R-St. Joseph. “Stopping misuse and fraud will save taxpayers millions of dollars and help us invest in areas important to all of us, such as education and infrastructure.
Senate Bills 598 and 599, known as the “Inspector General” bills, would establish the office of Medicaid fraud in both the state human services and community health departments.  This office would be responsible for conducting oversight of program accounting and efficiency and would report on whether funds are being spent as they are intended.
“The need for this reform was illustrated in last year’s state auditor general report, which found more than $4 billion in questionable spending, including $2.1 million in suspicious payments and $500 million in inappropriate expenditures,” Proos said. “Throughout the past several years, these departments have continually been cited. This is the first step to implementing the report’s recommendations in order to prevent out-of-control government spending from reoccurring.”
The bills will be formally introduced Sept. 7 and referred to a Senate panel for consideration.

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