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July 24, 2007
 GAO Memo to HHS Regarding Medicaid Demonstration Projects in Florida &
Vermont Approved Under Section 1115 of the Social Security Act
The Government Accountability Office (GAO) analyzed Florida Medicaid Reform and the Vermont Global Commitment
to Health to determine if the U.S. Department of Health and Human
Services (HHS) had correctly issued waivers. GAO noted several legal concerns.
In Florida, GAO
concerns center on HHSs decision to waive requirements to provide
covered benefits and limit cost sharing without addressing statutory
limitations on its authority to do so. This matter is most relevant to
those enrolling in employer-sponsored or private health plans.
In the
case of Vermont, the agency's approval of an agreement between the
Vermont Medicaid agency and one of its own components as a managed care
contract, with federal matching funds provided for capitation payments,
also raised legal concerns.
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OPEN MINDS