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Department of Health and Human Services

Office of Inspector General -- AUDIT

"Medicaid Monthly Payments for School-Based, Health-Related Services in North Carolina," (A-04-00-02161)

November 7, 2001

Complete Text of Report is available in PDF format (1.66 mb). Copies can also be obtained by contacting the Office of Public Affairs at 202-619-1343.


This final report points out that the North Carolina Division of Medical Assistance (DMA) made payments totaling $5.3 million (Federal share) for school-based, health-related services to Local Education Agencies using a methodology that was not included in its approved State Plan. These conditions occurred because DMA exercised minimal oversight of the activities of its revenue maximization subcontractor.  We recommended that the DMA refund the Federal share of any overpayment resulting from a planned monthly payment cost settlement process and exercise more oversight over the activities of its revenue maximization subcontractor.