2006 PRESS RELEASES

April 27, 2006

$1 Billion in Medicaid Expenses Questioned by the State Auditor
DSHS continues to be plagued by repeat audit findings

OLYMPIA—The State Auditor issued 28 audit findings today concerning the state's administration of the $6.2 billion Medicaid program (state and federal funds). These findings lead State Auditor's Office (SAO) to question nearly $1 billion in costs for the program; 16 percent of all dollars spent.

The auditor also issued 21 audit findings against the Department of Social and Health Services (DSHS). This follows last year's audits in which the State Auditor issued 19 findings against DSHS (14 of which have not been resolved) and 22 audit findings in the state's Medicaid program (18 of which have not been resolved).

Bob Williams, President of the Evergreen Freedom Foundation, released the following comments in response:

"Any repeat audit finding is unacceptable, let alone the news that a majority of the problems identified last year have not been corrected. State officials' failure to follow the law has potentially led to $1 billion in consequences for taxpayers.

"Taxpayers and those individuals actually eligible for assistance pay the price when state officials refuse to enforce eligibility requirements.

"Until the legislature and governor ensure strict consequences exist for state agencies violating the law, we will continue to see year after year of the same audit problems and countless waste of taxpayer dollars.

"As noted by the State Auditor, 'Lack of compliance with federal regulations could jeopardize future federal funding.' This could mean the loss of billions of dollars."

Additional Information
SAO Audit Executive Summary
Medicaid Audit
DSHS Audit
(2005) DSHS fails $6.1 billion Medicaid audit

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