Congressman John Joyce, M.D., Chairman of the Subcommittee on Oversight and Investigations, delivered an opening statement on Mar. 17 at a hearing focused on protecting patients and safeguarding taxpayer dollars by addressing Medicare and Medicaid fraud.
The hearing is part of the subcommittee’s ongoing efforts to examine fraudulent activities affecting government health care programs. The issue is significant because fraud not only targets vulnerable populations such as the elderly, individuals with disabilities, the homeless, and those struggling with substance abuse disorders, but also results in substantial financial losses for taxpayers.
Joyce said that sectors within Medicare—including durable medical equipment, genetic testing, skin substitutes, home health, and hospice—are experiencing high rates of fraud. He also noted that Medicaid schemes are prevalent in areas like non-emergency medical transportation, personal care services, autism therapy, and substance use disorder treatment. "These crimes are despicable, yet we are seeing them occur time and time again across the country," Joyce said. He cited examples from Minnesota (Medicaid ABA services), California (Medicare hospice services), and Florida (Medicare durable medical equipment). Joyce added that once caught, perpetrators often seek new schemes to exploit.
He referenced Pennsylvania’s Governor Josh Shapiro's remarks from a 2020 press conference: "It’s possible, no, likely, that Pennsylvania is losing $3 billion a year to fraud." Joyce argued that weak guardrails in state-run Medicaid programs make them susceptible to exploitation and called for stronger federal oversight.
Joyce highlighted recent federal actions against fraud: "As President Trump made clear during his recent State of the Union address and executive order establishing the Anti-Fraud Task Force... this administration is taking bold steps to stop this fraud—more than any other presidential administration before it." He emphasized the importance of maintaining program integrity so funds remain available for those truly in need.
The House Energy and Commerce Committee oversees legislation related to energy policy, health care programs like Medicare and Medicaid, environmental protection measures, telecommunications regulation, consumer issues according to its official website. The committee has played a role in shaping policies on energy innovation initiatives, broadband deployment strategies and pharmaceutical pricing reforms according to its official website. It stands as one of the oldest standing committees in the U.S. House of Representatives according to its official website, tracing its origins back to 1795 when it was formed as the Committee on Commerce and Manufactures according to its official website.
Joyce concluded by thanking Deputy Administrator Kim Brandt for attending the hearing: “We are looking forward to hearing about the important work that you and your team are already doing at CMS under the leadership of Administrator Dr. Mehmet Oz to protect and preserve Medicare and Medicaid.”
