Albuquerque Journal (Albuquerque, NM)

Feds Propose Closing Medicaid Loophole.

Byline: Journal Wire Reports


The government issued proposed regulations Thursday to close a loophole in Medicaid rules that has let 20 states including New Mexico reap billions of excess federal dollars from the health care program for the poor. Critics say the practice threatens to cost taxpayers $127 billion over the next 10 years.

"However well-intentioned some states may have been, the practice today clearly constitutes an abuse of the Medicaid system," said Health and Human Services Secretary Donna Shalala. …

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