Senator Blasts Sebelius, Berwick

In an October 6 letter, Senator Chuck Grassley (R-Iowa) took CMS Administrator Don Berwick and HHS Secretary Kathleen Sebelius to task for "inadequate management and oversight of contractors by the Centers for Medicare and Medicaid Services (CMS)." He goes on to express his concern over his perception that CMS "does not seem to examine its contractors' roles in enabling taxpayer dollars to be misused or wasted and to hold contractors accountable if they fail to carry out their responsibilities as expected."

Grassley cites a report from the Office of the Inspector General (OIG), Analysis of Errors  Identified in the Fiscal Year 2009 Comprehensive Error Rate Testing Program, in his letter. According to the report, a total of $4,720,432 was spent on improper payments during FY 2009. The majority of those payments (40%) were made to inpatient hospitals. Skilled nursing facilities received 6% of the improper payments, for a total of $260,381.

Grassley also expressed concern over what he perceives as an apparent lack of accountability by Medicare contractors known as Quality Improvement Organizations (QIOs). He is challenging HHS and CMS to address his concerns and allegations in a response by October 20.

To view Grassley's letter, click here.