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Your Medicaid Taxes Paid For An Autism Therapy Exec’s $2.5M Beach Home

In too many cases, autism therapy is at best a joke designed to bilk money out of Medicaid and at worst a danger to the patients themselves.

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If it seems like every day, or at a minimum every week, brings news of another scam within the health care sector, you wouldn’t be wrong. From duplicate enrollments to “coverage” of dead people to the recent growth of skin substitutes, examples of waste, fraud, and abuse abound.

Recent stories have drawn attention to abuses regarding treatments for autism. The Minnesota fraud scandal brought this issue to the fore, but the problems go well beyond the Gopher State. A recent Wall Street Journal report and investigations by the Department of Health and Human Services’ inspector general show the widespread nature of the problem, which, in addition to outright fraud, also encompasses wasteful and unnecessary government spending.

Spending Free-for-All

The Journal investigation profiled the recent explosion in autism therapy payments within Indiana’s Medicaid program. The issue at the root of the spending increase: “the state started reimbursing providers 40% of whatever they billed” (emphasis mine).

It doesn’t take a Ph.D. in math or accounting to realize that 40 percent of a large number — particularly when a provider’s hourly rate has no maximum — is also a very large number. Thankfully, Indiana has changed its reimbursement practices,........

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