As work begins in Albany on the 2010-2011 state budget, one of our primary focuses is saving money.  New reports of the budget deficit continue almost daily and the dollar amounts are staggering.  Moving forward, we must review every possible money saving option. 

Enhanced Medicaid fraud detection is one tactic New York must employ.  That’s why I have joined with my colleagues in the senate in establishing a new Medicaid fraud task force.  The special panel will hold public hearings this month and work closely with county government leaders and district attorneys who are on the front lines of fighting fraud. 

The task force won’t be conducting a long, drawn out study that will take years to complete.  Instead, it will act like a strike force with two specific goals: ensure efficient delivery of Medicaid services to those in need; root out fraud and abuse.  This aggressive approach will protect those who legitimately receive Medicaid services and produce cost savings to all taxpayers.  Recommendations will be ready in a matter of weeks so they can be folded into the state budget discussion.

The savings potential is considerable.  The U.S. Government Accountability Office estimates that as much as 10 percent of Medicaid expenses are siphoned off through fraud.  The governor’s budget proposes spending a total of more than $51 billion on Medicaid, meaning as much as $5 billion could be fraud in the system.