I’m Sure There Is Another Side To This Story, But I Haven’t Heard It

On Friday, The Wall Street Journal posted an article about Medicare cutting back the work of the auditors that oversee the program.

The article reports:

Recovery audit contractors, as they are known, recouped $2.4 billion in improper payments in 2014, down from $3.7 billion in 2013 before the agency scaled back other audit activities and temporarily suspended the program for several months, according to a Medicare report.

Starting in January, the auditors will be able to review only 0.5% of the claims the agency pays to each hospital or provider every 45 days, according to an Oct. 28 letter to the contractors. That is a quarter of the prior threshold: 2% of claims.

The article concludes:

Those recoveries represent just a fraction of the total amount Medicare estimates it spends on incorrect payments. The Medicare program made $58 billion in improper payments to medical providers and health plans in 2014, according to PaymentAccuracy.gov, a federal website that tracks agencies’ estimates of waste.

Separate contractors and the Justice Department separately pursue fraudulent payments from the program.

I hate to be difficult here, but $58 billion is not pocket change. As federal budget deficits increase, we need to look at the places where we are spending money needlessly. Fraudulent claims made to various agencies might be a really good place to start.

Here is another thing to think about when you consider budget deficits. According to a Huffington Post article from 2013:

According to the U.S. Census about 57 million, or 1 in 5 Americans, live with disabilities, and about 38 million or 1 in 10 has a severe disability. The Social Security disability programs provide vital support only to those with the most significant disabilities — about 14 million children and working-age adults.

I am not ready to believe that 1 in 5 Americans is disabled or that 14 million Americans are disabled. That number seems extremely high to me. That might be another thing to look at when examining the budget.