SENATE DEMS PASS MEASURE TO GO AFTER FRAUD CASES

Measure seeks to move beyond anecdotes and fight actual abuse

AUGUSTA — In a vote of 21-14, the Maine Senate gave initial approval to a measure that would put pressure on the LePage administration to act on and fight fraud and misuse of public tax dollars.

“The GOP had an opportunity today to back up what they say with actions but instead they punted. If there is so much concern about fraud, then this bill is the perfect solution,” said Senator Margaret Craven of Lewiston who serves as the Senate Chair of the Health and Human Services committee. “When push comes to shove, they’d rather use it as campaign issue than actually hold folks accountable for their misuse.”

LD 1829, sponsored by State Representative Drew Gattine of Westbrook, creates a comprehensive, transparent reporting system to track, deter, and prevent both individual and health care provider fraud in programs administered by the Department of Health and Human Services. It also promotes more effective management and stewardship of program funds.

“Fraud from anyone is unacceptable and we should fight it. But we must first move beyond anecdotes and stereotypes and actually fight against those who misuse taxpayer dollars,” said Senator Geoff Gratwick of Bangor. “This measure gives the Attorney General another tool in her toolbox to root out those who are abusing the system.”

DHHS anti-fraud efforts were beefed up two years ago with an additional $700,000 per year to hire seven more fraud investigators. Even with the increased resources, the work of DHHS led to only 13 convictions of individual welfare fraud and the recovery of $100,000.

The measure would also address mismanagement in DHHS, such as $29 million in overpayments to long-term care providers and confusion over eligibility that resulted in more than $10 million in payments to ineligible individuals.

The Department pays millions of dollars annually to outside vendors to support its program integrity activities.  This bill would require the Department to report to the Legislature on what these vendors are doing, how well they are performing, and what value they add to anti-fraud, waste and abuse activities.

Rep. Gattine’s bill would require a comprehensive annual program integrity report on all fraud waste and abuse and on-going DHHS management issues. It gives the Legislature ongoing visibility into problems within the Department’s claims payment and eligibility systems that have cost Maine taxpayers.

The bill faces further votes in the House and the Senate.

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