US Senator Mike Johanns said he was disturbed to learn that awhile ago, the Department of Health and Human Services eliminated a requirement in the law that the government verifies eligibility before providing taxpayer funded subsidies for health insurance.
His comments came during his weekly conference call.
Johanns said he belongs to a bi-partisan panel of senate appropriators who had previously agreed to legislation requiring HHS to verify individuals’ eligibility before giving them tax credits for health insurance.
"In fact, a recent report suggests the government may be paying incorrect subsidies to more than a million Americans. It says the mechanisms to verify eligibility, the very system Secretary Sebelius set in place, doesn’t even exist.”
Johanns said the congressional budget office estimates the government will provide a trillion dollars in healthcare exchange subsidies and related spending over the next decade.
He said he has asked HHS Secretary Kathleen Sebelius to detail what, if any systems are in place to ensure dollars are used properly.
Johanns said he also wants to know how HHS will recoup the overpayments and prevent them in the future.