Trump's week in review: China visit; JD Vance, Dr. Oz talk Medicaid, Medicare fraud crackdown
4. Vance announces deferment of $1.3B in Medicaid funding to California
At a White House press conference Wednesday, Vice President JD Vance provided an update on the administration’s Task Force to Eliminate Fraud.
Vance lamented that Medicare and Medicaid fraud harms both taxpayers and vulnerable Americans who depend on government healthcare programs.
This type of fraud “always has two fundamental victims, the American taxpayer who has generously paid into these programs in an effort to give their fellow citizens a leg up [and] people who are meant to benefit from these programs who are not able to benefit or maybe are benefiting less,” Vance said.
He announced the deferment of $1.3 billion in Medicaid reimbursements to California, accusing state officials of failing to adequately address fraud.
“The state of California has not taken fraud very seriously,” Vance said.
He later clarified that the administration was withholding “Medicaid fraud enforcement payments that go to the state bureaucrats,” not cutting off benefits to recipients.
Centers for Medicare & Medicaid Services Administrator Dr. Mehmet Oz also announced a nationwide moratorium on new hospice and home healthcare licenses while the government reevaluates anti-fraud protections.
“If you have the program now, you can keep it,” Oz said. “You can go to ones that already exist. We’re not taking away any services, but there will be no new ones, licenses granted, until we can figure out a better way of working across government.”
Oz described hospice and home healthcare fraud as a growing problem, noting that scammers have stolen Medicare identification numbers to fraudulently enroll people into hospice care.
“Fraudsters have stolen your Medicare number, taken it, and given you hospice you didn’t want, which means if you get sick and go to the ER, you’re not getting care,” he warned.
Oz explained how Medicare funds and hospice funds are mutually exclusive, as terminally ill people trade in Medicare benefits for hospice benefits because they are going to die and have no need to pay for healthcare services.
Ryan Foley is a reporter for The Christian Post. He can be reached at: ryan.foley@christianpost.com
