Kennedy on California Medicaid fraud: “It’s got to stop now”

Watch Kennedy's comments here.

WASHINGTON - Sen. John Kennedy (R-La.) explained how bad policies in states such as California and Minnesota have contributed to pervasive Medicaid fraud in a speech on the U.S. Senate floor.

Key excerpts of the speech are below:

"What we also know is that there is an enormous amount of fraud in Medicaid. I mean, we know that. There are a lot of studies out there, and not everyone can agree on how much, but I have seen studies from reputable think tanks that show that Medicaid fraud-stealing in the Medicaid program-runs between $1.1 trillion and $1.2 trillion over a ten-year period. Can you imagine what we could do to lower interest rates or to reduce taxes if we could save $1.2 trillion on our budget?"

. . .

"In California, under its state government definition of Medicaid, the California Medicaid program will pay for tribal prayers. The California Medicaid program will pay for exorcisms. The California Medicaid program will pay for herbal medicines. The California Medicaid program will pay for meal deliveries. In some cases, the California Medicaid program will pay for in-home chefs. Thousands of businesses have popped up in California that literally cater to Medicaid patients."

. . .

"Now, once again, Medicaid is supposed to be for sick people. When you're spending other people's money, it's real easy to expand beyond that. The Medicaid program in California will pay for scooters. . . . They'll also pay for music lessons. The Medicaid program in California will also pay for art lessons. This money didn't just fall from heaven. We all thank heaven for it, but it came out of people's pockets. And that's how we end up having $1.2 trillion over a ten-year period stolen from the Medicaid program."

. . .

"This didn't just happen, Mr. President, as you know. This has been going on for a long, long time, and I want to give credit where credit is due. Dr. [Mehmet] Oz, our new [administrator for the Centers for Medicare and Medicaid Services], and the Department of Justice are both working to try to stop this fraud, but it has been there since God was a baby. And it's got to stop now."

Watch Kennedy's speech here.