In a controversial audit report released by the Department of Health and Human Services Office of Inspector General, it was revealed that the state of California allegedly misappropriated significant amounts of federal Medicaid funding by providing health services to illegal immigrants. The audit, conducted last month, criticized the California Medicaid program for utilizing an improper methodology in assessing reimbursements for services rendered to noncitizens who do not qualify for full Medicaid coverage.

According to the Inspector General’s findings, California’s Medicaid program extended coverage beyond standard Medicaid benefits to undocumented individuals. The report highlighted that California inaccurately claimed approximately $52.7 million in federal Medicaid reimbursements by persisting in using outdated proxy percentages without ensuring these figures accurately reflected the costs associated with providing nonemergency services to noncitizens under managed care.

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As part of recommendations to rectify the situation, the Office of Inspector General suggested that California refund the misclaimed reimbursement amount to the federal government. Despite acknowledging the challenges California may face in recalculating the proxy percentage, the OIG emphasized the importance of addressing this issue through a manual refund process.

Chairman Mark Green of the House Homeland Security Committee, from Tennessee, noted a significant surge in Medicaid emergency spending for illegal immigrants, observing a drastic increase from approximately $3 billion in fiscal year 2020 to surpassing $7 billion in fiscal year 2021. This alarming uptick raises concerns about the allocation of taxpayer resources towards unauthorized individuals.

Adding another layer to the ongoing healthcare controversy, the Biden regime unveiled a new rule allowing thousands of illegal migrants to access healthcare services through ObamaCare. The rule effectively removes a ban barring illegal immigrants protected under the Deferred Action for Childhood Arrivals (DACA) program from utilizing Affordable Care Act benefits. This contentious move, scheduled to potentially take effect by November 1, is estimated to grant health insurance coverage to around 100,000 uninsured illegal migrants, who can apply for coverage through Healthcare.org and state-based marketplaces.

White House Fact Sheet: Biden-Harris Administration Expands Health Coverage to DACA Recipients:

Today, the Biden-Harris Administration is expanding access to affordable, quality health care coverage to Deferred Action for Childhood Arrivals (DACA) recipients.  In 2012, President Obama and then Vice President Biden created the DACA policy to transform the lives of eligible Dreamers – young people who came to this country as children—allowing them to live and work lawfully in our country.  Over the last decade, DACA has brought stability, possibility, and progress to hundreds of thousands of Dreamers.

While President Biden continues to call on Congress to provide a pathway to citizenship to Dreamers and others, he is committed to protecting and preserving DACA and providing Dreamers with the opportunities and support they need to succeed, including access to affordable, quality health care coverage.  Thanks to the Biden-Harris Administration’s actions, today’s final rule will remove the prohibition on DACA recipients’ eligibility for Affordable Care Act coverage for the first time, and is projected to help more than 100,000 young people gain health insurance.  Starting in November, DACA recipients can apply for coverage through HealthCare.gov and state-based marketplaces, where they may qualify for financial assistance to help them purchase quality health insurance. Four out of five consumers have found a plan for less than $10 a month, with millions saving an average of about $800 a year on their premiums.

President Biden and Vice President Harris believe that health care should be a right, not a privilege. Together, they promised to protect and strengthen the Affordable Care Act, lowering costs and expanding coverage so that every American has the peace of mind that health insurance brings.  Today’s final rule delivers on the President’s commitment by giving DACA recipients that same peace and opportunity.

Today’s rule also reinforces the President’s enduring commitment to DACA recipients and Dreamers, who contribute daily to the strength and vitality of our communities and our country.  On day one of his Administration, President Biden committed to preserving and fortifying the DACA policy.  While only Congress can provide Dreamers permanent status and a pathway to citizenship, the Biden-Harris Administration has continued to vigorously defend DACA against ongoing legal challenges and strengthened DACA by codifying the 2012 policy in a final rule.

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The revelations brought forth by the audit and subsequent policy changes continue to fuel debates surrounding healthcare allocation, immigration policies, and the use of federal funds on services for undocumented individuals.

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