Medicaid fraud recovery.

13LSO-0349.L1

FISCAL NOTE

The fiscal impact to the court system is indeterminable due to an unknown number of cases.

The non-administrative impact in the form of a revenue increase to the general fund is indeterminable.  There potentially exists the opportunity to receive additional monies from civil actions authorized pursuant to this proposed legislation because of the availability of treble damages and civil penalties not presently available. In addition, the Deficit Reduction Act codified at 42 U.S.C. Section 1396h(a) allows states to retain ten (10) percentage points of recovered false claims monies if the particular state’s statutory false claims act meets the requirements outlined in 42 U.S.C. Section 1396h(b).

The Department of Health lacks information relative to the number of civil actions that may be filed, the success rate in pursuing the claims in court, the solvency of any defendants and whether the Inspector General of the Department of Health and Human Services determines that Wyoming’s legislation qualifies for the ten percent retaining of recovered claims.   If Wyoming’s legislation does not meet the federal requirements, then our state is not entitled to retain the additional ten percentage points.

Prepared by:   Alex Kean, LSO Phone: 777-7881

(Information provided by: Ron Arnold, Dept. of Health and Kristi Racines, Supreme Court Phone: 777-8274 and 777-7502)