Medical Assistance Provided by Pennsylvania to Hurricane Katrina Evacuees

Of the $1.4 million that Pennsylvania claimed for services provided to Hurricane Katrina evacuees as of March 31, 2007, $552,000 did not comply with the State's approved hurricane-related section 1115 demonstration project.  Under section 1115 of the Social Security Act, the State was allowed to provide the benefits included in its State Medicaid plan to eligible Hurricane Katrina evacuees for a maximum of 5 months.  The $552,000 included costs for services provided to individuals after their eligibility periods had expired and costs that were not supported by actual recorded expenditures.

We recommended that the State refund $552,000 in unallowable reimbursement and revise its waiver reports for Alabama, Louisiana, and Mississippi by our audit adjustment amounts.  The State agreed with our recommendation.