The House State Government Committee recently advanced legislation that would allow the state to seek additional compensation for false Medicaid claims.
The Pennsylvania False Claims Act would allow the state to recuperate an additional 10 percent during national settlements from false claims against Medicaid.
The bill also would allow the state’s attorney general office or a district attorney designated by the attorney general to investigate other potential cases of false claims.
The committee amended the bill to include limited civil liability protections that match federal law for entities that follow all state and federal directives regarding COVID-19.
The U.S District Court recently awarded $117 million in damages as part of a global settlement regarding allegations of fraud against Universal Health Services. The plaintiffs included Pennsylvania, which received slightly more than $900,000.
Pennsylvania did not have the ability to recover state-specific tax dollars.
“Every cent of taxpayers’ money is valuable, and this legislation provides another measure to protect it from fraud,” state Rep. Seth Grove (R-Dover), who sponsored the bill, said. “The federal version of the act, as well as other states to enact similar legislation, showcase why Pennsylvania needs this bill on the books.”
The bill is part of a six-bill package.