Audit: New York Medicaid may have wasted billions on out

ALBANY, N.Y. (NEXSTAR) — The Office of Comptroller Thomas DiNapoli found that the State Department of Health may have improperly paid over $2.6 billion in Medicaid managed care premiums for people who do not live in New York. The audit, which covered July 2017 through October 2024, showed that DOH didn't properly verify the residency status of Medicaid members.

"Medicaid is a vital program and the single biggest expense in the state budget," DiNapoli said. "We cannot afford any wasteful spending."

The $2.6 total includes almost $1.2 billion in managed care premiums paid for state Medicaid members who may have moved away, and $1.5 billion more in premiums for members whose residency status wasn't reviewed by DOH.

New York's Medicaid program covered close to 7 million as of July. That num