WASHINGTON, DC - The Oversight and Investigations Subcommittee, chaired by Rep. Tim Murphy (R-PA), today held a hearing to examine ways to strengthen and sustain Medicare Part D for our nation’s seniors. Members and witnesses discussed recent reports from the Department of Health and Human Services Office of Inspector General (HHS OIG) that highlight weaknesses that make Medicare Part D fraud and abuse possible and provide guidance for the Centers for Medicare and Medicaid Services (CMS) to proactively prevent fraud and abuse.
“Medicare Part D is the fastest growing component of the Medicare program, providing approximately 39 million beneficiaries with supplemental prescription drug coverage. Given this rapid growth, Medicare Part D has been a prime target for fraud and abuse," Murphy said. “In fact, this past June, the Department of Justice announced a nationwide Medicare fraud takedown, which led to charges against 243 individuals for approximately $712 million in false billings."
Full Committee Chairman Fred Upton (R-MI) added, “According to recent reports from the HHS watchdog, the Centers for Medicare and Medicaid Services needs to take additional actions to strengthen the integrity of the Medicare Part D program. The reports find CMS is either failing or refusing to implement common sense recommendations issued by its OIG. Just as bad actors will continue to try to find ways to take advantage of the program, we must take proactive steps to protect the program’s integrity, taxpayers’ dollars, and our nation’s seniors."
Ann Maxwell, Assistant Inspector General at HHS OIG testified, “To protect the integrity of Part D, CMS should take action on OIG’s unimplemented recommendations. OIG believes that CMS should employ all the tools at its disposal. CMS needs to more effectively collect and analyze program data to proactively identify and resolve program vulnerabilities and prevent fraud, waste, and abuse before it occurs. CMS also needs to implement a robust oversight plan designed to ensure proper payments, prevent fraud, and protect beneficiaries. As the Part D program continues to evolve and new fraud schemes emerge, OIG will continue to investigate fraud and offer recommendations to improve oversight and establish new methods for early detection and prevention of fraud, waste, and abuse."
Full committee Vice Chairman Marsha Blackburn (R-TN) questioned Dr. Shantanu Agrawal, Deputy Administrator and Director at the Center for Program Integrity for CMS, about the what steps CMS is taking to implement HHS OIG’s recommendations.
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Read full witness testimony and watch the hearing online HERE.
