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Ensuring the Financial Integrity of HHS Programs

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HHS is the largest civilian agency in the Federal government, with a $2.4 trillion budget, representing one-third of the total Federal budget. HHS's Medicare program is the Nation's largest health insurer by expenditures, handling more than 1 billion claims per year. Medicaid is the largest health insurer in terms of lives covered, with 76.5 million beneficiaries in Medicaid and the Children's Health Insurance Program (CHIP) enrolled individuals. Medicare and Medicaid are the Department's largest programs; funding for these programs (including State funding) represents 37 cents of every dollar spent on health care. Almost 140 million beneficiaries, or more than 40 percent of Americans, rely on these programs for their health insurance, including senior citizens, individuals with disabilities, low-income families and individuals, and patients with end-stage renal disease. CMS bears the responsibility at HHS for administering these programs. Medicare expenditures totaled $796 billion in 2019. The Federal Medicaid budget totaled $411.3 billion in FY 2019 (with an additional $17.5 billion for CHIP). As many providers faced fiscal uncertainty due to COVID-19, CMS took steps to provide increased flexibility and advance payments to mitigate the financial effects of the pandemic.

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