Effect Of Deficit Reduction Act On Medicaid Providers

Law360, New York (March 7, 2007, 12:00 AM EST) -- Last year, President Bush signed the Deficit Reduction Act of 2005, P.L. 109-171 (DRA), which includes several provisions designed to improve federal and state oversight and enforcement actions against fraud and abuse in the Medicaid program. This new law requires providers that receive $5 million or more in Medicaid reimbursement to implement certain policies and changes by January 1, 2007.

Historically, state agencies have investigated and prosecuted Medicaid false claims violations. With the enactment of the DRA, Congress has increased the level of federal participation in...
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