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Government financial accountability

Government financial accountability
Source: Press release from the Office of the State Comptroller

The Office of the State Comptroller regularly audits state agencies, public authorities and New York City agencies. Audit is designed to ensure that programs achieve their established goals, funds are used efficiently and assets are adequately protected against fraud, waste and abuse. The State Comptroller completes approximately 200 state audits and annually identifies hundreds of millions in savings and fraud each year.

One such audit addressed the operation of the State Employees? Health Insurance Plan with respect to Island Medical Associates. Island operated a clinic where most of the physicians participated in the State?s Empire Plan. When these physicians provided services to Empire Plan members, the Comptroller said that the physicians should have been reimbursed at the agreed upon rates for participating providers. However, in Audit of the State Comptroller 2007-S-54, auditors found questionable billing practices. The services were inappropriately reimbursed at the non-participating rates, which were five times higher the rate for "participating providers."

In a follow up audit, auditors found the prior audit?s recommendations had been partly implemented and the clinic?s billing practices were being investigated by law enforcement officials.

The text of the follow-up report and recommendations is posted on the Internet at:

http://osc.state.ny.us/audits/allaudits/093009/08f34.pdf

Full post as published by New York Public Personnel Law on December 04, 2008 (boomark / email).