• 13 hours ago
During a House Oversight Committee hearing, Rep. Kweisi Mfume (D-MD) questioned witnesses about federal payment fraud, and the role of inspectors general at federal agencies.

Fuel your success with Forbes. Gain unlimited access to premium journalism, including breaking news, groundbreaking in-depth reported stories, daily digests and more. Plus, members get a front-row seat at members-only events with leading thinkers and doers, access to premium video that can help you get ahead, an ad-light experience, early access to select products including NFT drops and more:

https://account.forbes.com/membership/?utm_source=youtube&utm_medium=display&utm_campaign=growth_non-sub_paid_subscribe_ytdescript


Stay Connected
Forbes on Facebook: http://fb.com/forbes
Forbes Video on Twitter: http://www.twitter.com/forbes
Forbes Video on Instagram: http://instagram.com/forbes
More From Forbes: http://forbes.com
Transcript
00:00Thank you again, Mr. Chairman. I have a couple of quick questions. I know we are a smaller
00:11committee and I am hoping that we might even get a second round. I want to obviously defer
00:15to both of the members here on my side of the aisle.
00:18I do want to be redundant, maybe deliberately redundant, about a few things. Number one,
00:25I appreciated the testimony that nearly all Medicare and SNAP recipients are eligible
00:32for benefits, which would explode the myth that has been circulating that people are
00:36getting things that are not eligible. I want to underscore again what I heard, that most
00:43improper payments are due to paperwork errors and not necessarily conniving persons trying
00:50to find a way to get a check.
00:54However, what I think I want to stop on more than anything else is the notion that was
01:00just enunciated that we have to stop it before it starts. Mr. Dieffenbach, I appreciate your
01:07comments that we can't play the game of pay and chase. That will go on forever, deplete
01:13resources and frustrate everybody.
01:17I do want to ask if the recommendations that you presented in your Senate testimony can
01:25be made available. I don't know that I have them, but I would like very much to see them.
01:32One overarching question and then I will get out of the way and yield to some of my colleagues.
01:38Can all of you, individually or collectively, give me your assessment of what has happened
01:45and what will happen now that all of these inspector generals are no longer in place
01:51to do the good job that they were doing to point out the crooks and the bad guys and
01:55to follow up with bodies like this, both in the House and Senate, that would allow us
02:00the ability to do what we have been able to do in a bipartisan way?
02:04I know what the effect is, but I need to hear it from the three of you.
02:10Sure, I can start. Certainly, the inspectors general play a key oversight role. They have
02:18responsibilities related to improper payments. Beyond that, they do audits of the programs
02:25day in and day out and can be very helpful in identifying some of the root causes that
02:30may lead to improper payments in the programs. Also, they are really helpful in coming up
02:38with solutions once they identify those root causes, identifying recommendations that the
02:44agencies can take. Certainly, the lack of their presence in some of the agencies would
02:53have a significant impact. In many of the agencies, and I am just trying
02:58to figure out now that they are gone, what do we do? What are agencies faced with and
03:03is there a greater propensity for the kind of fraud and abuse that we have seen?
03:12Congressman Nafume, the loss of the inspectors general was a great loss on a leadership level,
03:17on a productivity level. Our vice chair of the PRAC, Paul Martin, was the USAID inspector
03:22general who was dismissed and we greatly miss his leadership. I think the biggest thing
03:26for the Congress is you are going to have less transparency, less visibility on what
03:30is actually occurring in agencies because that is one of the hallmark principles when
03:34Congress set up the Inspector General Act, was to give you and the taxpaying public more
03:39visibility and transparency on an objective view of what exactly is going on. I think
03:42you are going to have reduced visibility.
03:44Ms. Wagner?
03:46Just to add an example to what my colleagues have said here, the HHS OIG is really important
03:51in supporting and funding state Medicaid fraud control units that investigate and prosecute
03:57Medicaid provider fraud. As I indicated, beneficiary fraud is very low in these programs, but provider
04:02fraud is common. In FY23, these units recovered $1.2 billion in criminal penalties and civil
04:10judgments. Also, the IGs and HHS would audit eligibility determination processes and they
04:19were very effective in identifying major issues in states, such as duplicate payments to managed
04:23care organizations, incorrect interpretations of federal policy and caseworker errors. Identifying
04:29these problems and working with the states to get them addressed is really a key role
04:34that is diminished right now.
04:36I think it would be fair to say that their dismissal has clearly exacerbated a problem
04:42that is clearly out of control now. Mr. Chairman, I yield back. Thank you very much.

Recommended