A federal audit shows Nevada failed to vet seniors and disabled people adequately before awarding a state subsidy to help cover their Medicare premiums, a lapse that could cost taxpayers millions.
As a result, Nevada will have to reimburse the federal government $180,000 for not deleting ineligible people from Medicare rolls, reports the Las Vegas Sun
. The government also plans to hold back $900,000 from the state pending further review.
In addition, federal auditors are examining a $72.8 million in payments because the state failed to adequately document their records, the newspaper reported
Charles Duarte, a state administrator who oversees the Medicaid programs, said Nevada has improved its monitoring practices, and is disputing the $72.8 million questioned in the audit.
Since the audit report was released, Duarte said the state has recovered missing documents that were mistakenly deleted transferring them electronically to federal authorities.
He said the state has hired a company to help to develop better procedures to make sure it doesn't happen again.
Nevada, provides about 45,000 seniors and disabled people with a $100 monthly stipend paid through the Medicaid program to help pay for Medicare premiums.
© 2014 Newsmax. All rights reserved.