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Fraud, Abuse, Or Retaliation
Where To Report Waste Fraud, Abuse, Or Retaliation

New York Did Not Comply With Federal Grant Requirements for Allocating and Claiming Marketplace Contract Costs

Submitting OIG: 
Department of Health & Human Services OIG
Report Description: 
New York did not always follow Federal requirements for allocating and claiming contract costs to its grants for establishing New York's marketplace customer service center. Specifically, New York may have misallocated costs totaling nearly $19.6 million and claimed unallowable profit fees and other costs totaling nearly $3.8 million.
Date Issued: 
Friday, December 22, 2017
Agency Reviewed / Investigated: 
Department of Health & Human Services
Submitting OIG-Specific Report Number: 
A-02-15-02008
Component, if applicable: 
Centers for Medicare & Medicaid Services
Location(s): 
NY
United States
Type of Report: 
Audit
Questioned Costs: 
$20,415,344
Funds for Better Use: 
$0
Number of Recommendations: 
4
View Document: 
AttachmentSize
PDF icon 21502008.pdf797.26 KB
Additional Details Link: 
https://oig.hhs.gov/oas/reports/region2/21502008.asp

Related Open Recommendations

Recommendation Number Recommendation Status Significant Recommendation Additional Details
261912 Open No
We recommend that the State agency refund to CMS $19,586,165 for costs that may have been misallocated to the establishment grants or work with CMS to determine the appropriate allocation to the grants.
261913 Open No
We recommend that the State agency refund to CMS $797,096 for unallowable profit fees or work with CMS to determine the appropriate amount that should have been claimed to the grants.
261968 Open No
We recommend that the State agency refund to CMS $32,083 for unallowable G&A costs and related profit fees.
261969 Open No
We recommend that the State agency work with CMS to ensure that Maximus contract costs claimed after our audit period are properly allocated.
Displaying 4 of 4 Recommendations