Federal data shows Minnesota's Medicaid program has improper payment error rate below national average

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Recently released federal data shows the rate of improper payment in Minnesota's Medicaid program is far below the national average, the state's Department of Human Services says.

According to the data released by the U.S. Centers for Medicare and Medicaid Services, the error rate in Minnesota is slightly over 2.1%, compared to the national average of 6.1%.

The human services department says the data was collected before it started implementing measures to cut down on fraud risk. 

"We're committed to making Minnesota a national model for preventing fraud and catching errors," said Shireen Gandhi, the temporary human services commissioner. "This review shows we have strong internal controls that we continue to improve, and we are not stopping there as we accelerate our efforts to fight fraud."

In late October, Walz announced the audit of 14 high-risk state Medicaid-funded programs, warning their funding could be paused. The human services department has since partnered with a third party to flag potentially fraudulent claims.

The data comes as the Department of Human Services is appealing a Trump administration decision to withhold $2 billion in annual Medicaid funding from the state.

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