The chief operating officer for the Centers for Medicare and Medicaid Services told a House committee last week that 8 of the 11 remaining Obamacare co-ops in the nation are "being monitored closely" for "corrective action plans," the Washington Free Beacon reports.
Dr. Mandy Cohen told the House Oversight and Government Reform committee that such "enhanced oversight" occurs when a co-op develops issues with finances, operations, compliance or management processes.
"CMS was aware of this, that almost all of the co-ops incurred losses in 2014," Rep. Buddy Carter, Georgia Republican, said to Cohen at the hearing, the Free Beacon reports.
"If you were aware of that and some were already shutting down why did you continue to award the taxpayer dollars in loans?"
"We share your concerns here," Cohen replied. "These programs certainly have challenges which is why we’ve been doing the extensive and aggressive oversight that we have."
The co-ops were opened with more than $2 billion in taxpayer loans.
As they fail, it is not certain if those federal loans will be repaid. Tarren Bragdon, CEO for the Foundation for Government Accountability, told Fox News in November but, he continued, he doesn't have much hope that they will.
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