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Press Releases

August 4, 2000
Contact: Moya Benoit Thompson 202-401-4541

AoA Announces Consumer Protection Resource Center Grants to Combat Medicare/Medicaid Fraud and Abuse

Jeanette C. Takamura, Assistant Secretary for Aging, today announced that the Administration on Aging (AoA) will award four "National Consumer Protection Technical Assistance Resource Centers Grants" to disseminate educational materials and replicate best practice strategies for promoting consumer awareness regarding waste, fraud, and abuse in Medicare and Medicaid.

The Resource Centers will support the work of AoA’s 48 Senior Medicare Patrol Project grants which teach volunteer retired professionals such as doctors, nurses, accountants, investigators, law enforcement personnel, attorneys, teachers and others to work with Medicare and Medicaid beneficiaries. Volunteers work in their own communities and in local senior centers to help older Americans be better health care consumers and to help identify and prevent fraudulent health care practices.

"Unlike the vast majority of doctors and health care professionals who are honest, once unscrupulous individuals obtain a Medicare number, these career criminals steal the money for which they bill Medicare while providing inferior, or no services at all, to elderly Americans," said Assistant Secretary Takamura.

"A report released by the General Accounting Office (GAO) this week reveals disturbing evidence of career criminals and unscrupulous providers with no background in health care looking to exploit the Medicare and Medicaid systems," said Takamura. "The GAO has consequently designated health care fraud as a ‘high-risk area’."

The Department of Health and Human Services Office of Inspector General estimates that in fiscal year 1999 alone the Medicare system paid out an estimated $13.5 billion in erroneous payments.

"We know that by expanding effective outreach strategies to isolated and vulnerable older Americans in their communities, tens of thousands of honest health care providers and volunteers will join together to prevent older persons from being victimized by these scams," said Assistant Secretary Takamura. "These grants, funded by AoA through the Health Insurance Portability and Accountability Act of 1997, will provide new opportunities and mechanisms for teaching older Americans nationwide how to take an active role in understanding and protecting their health care."

Following is a list of the National Consumer Protection Resource Center grants and the amount of each award:

New York State Office for the Aging -- $130,000. This grant will focus on partnership strategies to involve health care providers, family caregivers, and state and local government agencies in outreach and education activities related to Medicare and Medicaid waste, fraud and abuse.

Florida Department of Elder Affairs -- $110,000. This grant will focus on outreach and education to minority and non-English-speaking individuals.

Virginia Department for the Aging -- $110,000. This grant will focus on outreach and education to rural and geographically isolated individuals.

Puerto Rico -- Governor's Office of Elderly Affairs -- $50,000. This grant will do innovative projects designed to educate rural and isolated non-English-speaking individuals. This information on best practice strategies and materials will feed into the work of the Florida and Virginia resource centers and be disseminated nationwide.



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