New York Medicaid Has Paid Almost $50M in Error Because of Computer Problems, Audit Finds

Over the last few years, New York state has made nearly $50 million in "incorrect" Medicaid payments because of problems with a computer system at the state Health Department, an audit by the state controller found, the New York Daily News reports. In a review of recent Medicaid payments, the study found $37 million in improper payments. That review compounds an earlier study, in which auditors found that the state made $12.9 million in improper payments, including $2.6 million for the same service to both Medicaid and Medicare and $4.6 million in claims billed incorrectly to Medicaid instead of Medicare. State Controller Carl McCall said, "We are told these problems will be solved with the new computer system, but in the meantime, millions of Medicaid dollars are being wasted." Frank Pollare, a spokesperson for Computer Sciences Corp., which maintains the state's computer tracking system, said the system upgrade will be completed "in stages," and the work is scheduled to be completed "within three years" (Katzn, New York Daily News, 7/4).