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FOR IMMEDIATE RELEASE
April 17, 2003
Contact: James Bernsen (512) 463-0630
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House passes Delisi Medicaid Fraud Bill
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AUSTIN -- Representative Rep. Dianne White Delisi, District 55, secured final passage today of House Bill 1743, a comprehensive bill aimed at reducing fraud in the state Medicaid program.
The bill is projected to save the state $66 million over five years, and will save the federal government an additional $86.8 million. To put the savings into perspective, the funds could allow for further coverage of 25,000 children under the state’s Child Health Insurance Program.
"Fraud doesn’t just hurt the taxpayers - it takes money directly from the hands of the most needy people in our society,? Delisi said. ?This bill is also about accountability in a very big part of our state’s budget."
In 2002, Texas recovered only $17 million through Medicaid fraud control efforts. At the same time, New Mexico - with a tenth as many residents - recovered $21 million. House Bill 1743 in particular focuses on the Medicaid vendor contracts, which involve hundreds of millions of dollars.
"I wish I could say that Texas’ low-rate of fraud recovery is indicative of less fraud in our state," Delisi said. "But unfortunately, that isn’t the case. By taking a more pro-active approach to identifying fraud, we can ensure that Medicaid is more accountable and more efficient for the people of Texas."
"Texas agencies need to be vigilant concerning contracts and reporting, but the Attorney General and the Health and Human Services Commission need statutory investigative authority," Delisi said. "They don’t have that now. This bill gives state agencies the tools they need to fight the rampant fraud that exists in the Medicaid program."
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