Washington, DC — Ways and Means Health Subcommittee Chairman Kevin Brady, (R-TX) released the following statement on recent news that the Centers for Medicare and Medicaid Services used taxpayer dollars to settle nearly 300,000 claims for $1.3 billion without any approval from Congress.
“Where did CMS get the money and where did they get the authority? I, along with my colleagues in the Committee, will investigate the source of the funding for these unlawful hospital payments.”
Background: On August 29, 2014, the Secretary of Health and Human Services announced that it would offer hospitals partial payment (68 percent) of the denied inpatient claim in exchange for withdrawing pending appeals. Representative Brady sent a letter on September 15, 2014, expressing grave concern over this alarming appeals “settlement” process. The letter also requested the Administration retract the process and work with Congress to establish a fair, transparent and conclusive settlement process that is in the best interest of beneficiaries, providers and taxpayers.