May 19,2009

Grassley comments on IG report about contractor’s failure to determine DME payment fraud

Senator Grassley issued the comment below about the findings in a new report of the Inspector General for the Department of Health and Human Services regarding the “Independent Contractor’s Review of Durable Medical Equipment Claims from the Fiscal Year 2008 Comprehensive Error Rate Testing Program.”

Senator Grassley requested the review as part of his ongoing oversight of Medicare payments. His letter of request is posted with this statement at and Senator Grassley is Ranking Member of the Committee on Finance, which is responsible for Medicare legislation and oversight.

Senator Grassley’s comment:

“This report reveals that the way the government is tracking erroneous Medicare payments for durable medical equipment still isn’t working. Medicare officials owe it to taxpayers and beneficiaries to get a handle on the level of waste, fraud and abuse. Congress needs good information about the costs of this benefit and others in Medicare, as it works to establish better controls on program dollars and reform the health care system. Resources are limited, and every Medicare dollar lost to an improper payment is a dollar that doesn’t serve beneficiaries as it should.”