Minnesota's state government is under a federal investigation to determine whether it inflated premium rates for its state Medicaid program, called Medical Assistance, and improperly received excess federal funding, according to a Star Tribune report.
Lucinda Jesson, commissioner of the Minnesota Department of Human Services, said she learned of the investigation last summer and that the state is fully cooperating. She was unable to comment on the scope of the probe or say which agency was leading the investigation, according to the report.
A Tuesday hearing with the state House of Representatives featured testimony from a St. Paul attorney who formerly worked for the Minnesota Hospital Association, David Feinwachs, JD, PhD. Dr. Feinwachs filed a lawsuit last year claiming the state manipulated MA rate certifications to wrongly obtain more federal funds.
That suit was dismissed earlier this year but Dr. Feinwachs still questions how the rates are set for the matching Medicaid dollars from the federal government, according to the report. Rep. Steve Gottwalt (R-St. Cloud) also attended the hearing and said Dr. Feinwachs' questions sparked a much-needed and broader conversation. Mr. Gottwalt also suggested that state lawmakers launch a separate probe once the federal agency concludes its investigation.
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Lucinda Jesson, commissioner of the Minnesota Department of Human Services, said she learned of the investigation last summer and that the state is fully cooperating. She was unable to comment on the scope of the probe or say which agency was leading the investigation, according to the report.
A Tuesday hearing with the state House of Representatives featured testimony from a St. Paul attorney who formerly worked for the Minnesota Hospital Association, David Feinwachs, JD, PhD. Dr. Feinwachs filed a lawsuit last year claiming the state manipulated MA rate certifications to wrongly obtain more federal funds.
That suit was dismissed earlier this year but Dr. Feinwachs still questions how the rates are set for the matching Medicaid dollars from the federal government, according to the report. Rep. Steve Gottwalt (R-St. Cloud) also attended the hearing and said Dr. Feinwachs' questions sparked a much-needed and broader conversation. Mr. Gottwalt also suggested that state lawmakers launch a separate probe once the federal agency concludes its investigation.
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