
The Trump administration is broadening its effort to combat fraud in federal healthcare programs, requiring every state to outline how it will recheck the credentials of certain Medicaid providers, marking a shift from earlier actions that focused on select states.
Dr. Mehmet Oz, who leads the Centers for Medicare and Medicaid Services, said Tuesday at a Politico healthcare summit that states will soon be formally asked to take responsibility for addressing fraud. He indicated that each state will be required to submit its plan within 30 days.
“It’s an example of what we’d like them to do to prove that they’re serious about this,” Oz said. “And if you don’t take it seriously, it indicates to us that we might have to take the audits that we’re doing to the different states more aggressively.”
The move is part of a broader initiative aimed at reducing waste, fraud, and abuse within Medicaid and Medicare, efforts that until now have largely concentrated on states governed by Democrats.
Last month, President Donald Trump signed an executive order establishing a government-wide task force focused on fraud in federal benefit programs, led by Vice President JD Vance. It remains unclear whether the latest directive is formally tied to that initiative, although Oz has been coordinating with Vance on related probes. When asked for additional specifics about the audits, a CMS spokesperson said the agency is reviewing questions submitted by the Associated Press.
Oz defended the expanded effort by pointing to concerns that some states have allowed large numbers of providers into federal health programs who may not be delivering legitimate care, instead exploiting the system for financial gain. He said the verification push would concentrate on “high risk areas,” though he did not elaborate on what qualifies as high risk.
Minnesota Gov. Tim Walz, a Democrat who has faced criticism from the administration and congressional Republicans over alleged fraud in federally funded programs, responded positively to the announcement.
Walz told reporters Tuesday that Minnesota had not yet received the formal request but noted that the state has already begun revalidating providers and has implemented major improvements. Minnesota previously filed a lawsuit against CMS in February after funds were withheld, and that case remains unresolved. The withheld funding has not yet been released, though CMS informed state officials last month that it had accepted Minnesota’s corrective action plan.
During the Politico discussion, Oz was asked whether the administration’s anti-fraud push could unintentionally disrupt or weaken essential healthcare services. He dismissed those concerns, expressing confidence that the effort would strengthen the programs.
“I believe this audit and others like it will save the programs we care most about,” he said.
{Matzav.com}