A weekly COLUMN from NY State Senator Tom O’Mara,
When we talk about the need to make New York a more affordable state in which to live, work, do business, and raise a family, that doesn’t limit our focus to how much it costs to buy groceries, purchase a home, pay the utility bill, and all of the other myriad expenses that individuals and families face.
Any strategies to make New York more affordable has to address all of the above, that’s for sure, but it also has to include taking a good, hard look at the cost of government — especially here in New York State, where state government alone now costs state and local taxpayers upwards of $250 billion to run.
It seems fair to expect, at least in the view of myself and many others, that state government is being run affordably, efficiently, and responsibly – and that taxpayers dollars aren’t being ripped off.
That’s been brought into sharp focus at the start of this new year when there have been alarming reports of widespread fraud involving taxpayer dollars in the state of Minnesota and other places across the nation.
Wouldn’t it be common sense here in New York to take a fresh look at our own state government considering what we’re reading and hearing about what’s been going on in other places? You would think so.
Toward that end, and here at the beginning of a new legislative session, I recently joined colleagues in the Senate Republican Minority Conference to call on Governor Kathy Hochul to prioritize a widespread, independent audit of state programs and services to ensure that public funds are only being distributed to authorized organizations and individuals and utilized for authorized activities.
In a January 2nd letter to the Governor, we wrote, “Given that New York administers comparable programs involving billions of taxpayer dollars, it is imperative that proactive measures be taken to ensure similar abuses are not occurring here. As recently as July, the U.S. Department of Justice uncovered a $68 million Medicaid fraud involving a Brooklyn operator who paid illegal kickbacks through social adult day care centers. There is little reason to believe this case represents an isolated incident. Accordingly, we urge you to immediately commission a comprehensive, independent audit of New York’s analogous programs to ensure that public funds are distributed solely to eligible families and legitimate service providers.”
Senate Minority Leader Rob Ortt said, “Governor Hochul should be alarmed by what is happening in Minnesota and she should be doing everything in her power to ensure it isn’t also happening here. If nothing is amiss, she shouldn’t be afraid to order the comprehensive, independent audit we are requesting. Doing it will identify problems and give taxpayers confidence their money isn’t being stolen.”
The governor, through a spokesperson, shrugged off our concern calling it a “political stunt” and responded that it’s not her job to ensure that safeguards are in place — stating specifically that these necessary oversight efforts are the responsibility of the state comptroller and the state inspector general – and why would anything more be needed? I have little confidence in existing oversight agencies, each of them, by the way, under all-Democrat control and mostly appointed by the governor. We saw all too well the ineffectiveness of self-review in the cover-up of the COVID nursing home deaths. Considering New York State spends far more per capita on government handouts, we must ensure that the funds are being spent legitimately. Waste, fraud, and abuse of taxpayer dollars are real and should not be shrugged off.
Over the past year alone, for example, reports have shown:
- $68 million in Medicaid fraud committed by a Brooklyn adult daycare operator uncovered by the federal Department of Justice last August;
- the State improperly paid over $2.6 billion in Medicaid premiums for people who do not live in New York;
- $13 million in Medicaid fraud for transporting patients to medical appointments; and
- $7 million in Medicaid fraud for fraudulent billing.
The most troubling aspect is that it’s nothing new. It seems like for decades now, government watchdogs have highlighted and warned about abuse, fraud, and waste in New York State programs and services, particularly Medicaid, which now costs taxpayers approximately $120 billion annually, nearly half of the entire state budget.
And nothing gets done to stop it. An independent audit is necessary to root out any possible ripoffs and schemes underway here in New York.
Taxpayers deserve to know, without a shred of doubt, that taxpayer dollars in this state are being allocated, distributed, and spent in the most responsible, effective, legal, and accountable ways. That’s especially true for New York’s Medicaid program, which has been plagued for far too long by abuse, fraud, and waste. It can’t be tolerated anymore. An audit like the one we’re calling for should be one of Governor Hochul’s top priorities in the new year and it should be done without delay.
