Official: Overpayment for Minn. Medicaid Raises Serious Concerns

Updated: 04/01/2013 7:06 AM KSTP.com By: Jay Kolls

A final audit of Minnesota's Medicaid program does not paint a very pretty picture, for taxpayers.

The audit, conducted by Segal Company, shows the government overpaid the four insurance companies that run the state's Medicaid program by $207 million.

Auditors called the overpayments "concerning." And, the auditors also said it "seems unreasonable that no one called into question the pattern" of overpayments between 2003 and 2011.

Department of Human Services Commissioner, Lucinda Jesson, blamed former Governor Tim Pawlenty. Jesson, in a statement, says, in part, the audit "raises serious concerns about the failure of the previous administration to take action."

David Feinwachs, the health care insider who blew the whistle on Medicaid spending, tells 5 EYEWITNESS NEWS it is "time the government goes after the excess profits" from the four insurance companies that run the state's Medicaid program.

Feinwachs says Blue Cross/Blue Shield of Minnesota, HealthPartners, Medica and U-Care should all have to pay back the extra profits that are now part of their reserve accounts in their respective banks.