Indiana Democrats are pushing back on allegations from state officials that they have found about $200 million in improper Medicaid payments through Indiana's attendant care programs.
Democrats argue the state's analysis is faulty — and stems from poor leadership.
Attendant care is provided under Indiana Medicaid for people with disability or chronic illnesses who need help with the tasks of daily living. Family members can get paid through the program for the care they provide.
The state last week claimed it had found significant payment errors between 2022 and 2025 from some of the major companies providing attendant care.
In the audits, state officials said they found instances of incomplete, missing, and undated or late background checks for attendant caregivers.
But Democrats are pushing back on those claims and said the state's audits are based on bad methodology.
Rep. Victoria Garcia Wilburn (D-Fishers) said the state has relied on an influx of federal funding to support social programs, and these claims of bad payments push an agenda.
"This is a step towards clawing back funds on the backs of Hoosiers and the needy," she said.
The Secretary of the Family and Social Services Administration, Mitch Roob, said the state's audits are sound.
"We looked at 625 cases, and 100% of three of the vendors and 98% of the other vendors had errors in them," he said.
The state has zeroed in on a reduction of ballooning Medicaid costs. The move comes after the federal government passed major cuts and changes to how the program works and state compliance; some changes will take effect in 2027.
Rep. Ed DeLaney (D-Indianapolis) said the cuts and loss of coverage will have long-term consequences for state healthcare costs.
"I think it's time that we got serious and decide whether we really want to cover people or just find excuses for shortfalls," he said.
But Kim Dodson, CEO of the Arc of Indiana, an advocacy organization for people with disabilities, said the audits are a good thing.
"I'm frustrated that providers have taken advantage of a system and put people in this position," she said, "we have to make sure every Medicaid dollar is used appropriately."
State officials have not officially released the full audits, but say it will be made publicly available after removing identifying information from claims within the audits.
Roob acknowledged the state's oversight was not as strong as it should have been during the COVID era when there was an influx of funding.
"It'll take some time to get through those recoveries," Roob said. "There is a very prescriptive audit process that we've been through and there will be a very prescriptive appeal process that those providers are entitled to go through."
WFYI Education Reporter Dylan Peers McCoy contributed to this story.
Contact Government Reporter Benjamin Thorp at bthorp@wfyi.org
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