Feds freeze $1B in Medicaid cash for California and Minnesota over fraud
If state healthcare felt like a quiet bureaucrat's playground, the federal government just turned off the tap until someone brings receipts.
The federal government just decided to freeze more than a billion dollars in Medicaid funding meant for California and Minnesota. Why? The feds claim they caught payments for dead patients and doctors billing for impossible crowds of people.
RFK Jr., who is now running HHS alongside Dr. Oz, basically told Governors Gavin Newsom and Tim Walz that if they want their money back, they need to prove these medical bills aren't fantasy fiction. This isn't even the first round — the administration has already held up billions from both states over the exact same accounting fights, leading Minnesota to take them straight to court.
Federal officials say they'll hand over the cash the second someone shows up with actual paperwork explaining how dead people received treatment.
Turns out administrative oversight hits a lot harder when the guy auditing health records used to host a daytime TV show.
Source: The New York Times
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