House committee launches investigation into 'rampant' California hospice fraud

Republicans on the House Committee on Oversight and Government Reform have launched an investigation into what they categorize as "rampant taxpayer fraud in California’s hospice programs."

"Recent reporting has revealed alarming evidence of fraudulent activity in California’s hospice programs, including agencies overbilling Medicare and fraudulently enrolling beneficiaries without their knowledge," a letter to Golden State Gov. Gavin Newsom states.

"The Committee is concerned your administration does not have sufficient internal controls to prevent and detect fraud and is not conducting proper oversight of these hospice programs. As a result, Americans across the country are paying for California’s rampant hospice fraud and vulnerable patients are being exploited," the letter declares.

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The lawmakers are demanding information from Newsom.

"The Committee is requesting documents and communications regarding California’s oversight and internal controls to detect and prevent fraud for its federally funded hospice programs," the document notes.

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The letter is signed only by Republicans.

"California took decisive action on hospice fraud years ago. In 2021, Governor Gavin Newsom signed legislation placing a moratorium on new hospice licenses – a policy that remains in effect today, preventing bad actors from entering the system while strengthening oversight of existing providers," a Newsom spokesperson said in a statement provided to Fox News Digital on Tuesday.

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A statement released by the governor's office in January says in part, "The California Department of Public Health (CDPH) facilitates a multi-department and multi-agency Hospice Fraud Task Force that includes representation from the California Health & Human Services Agency (CalHHS), Department of Health Care Services (DHCS), California Department of Social Services (DSS), and California Department of Justice’s DMFEA."

In the statement provided to Fox News Digital on Tuesday, the Newsom spokesperson pointed to the task force, declaring, "Under Governor Newsom’s leadership, California also established a multi-agency Hospice Fraud Task Force, bringing together CDPH, CalHHS, DHCS, DSS, and the Department of Justice to share intelligence, investigate wrongdoing, make arrests, and coordinate enforcement. This work is delivering results, as more than 280 hospice licenses have been revoked over the past two years and an additional 300 providers are under investigation. The state continues to take coordinated action to suspend Medi-Cal payments, revoke licenses, and pursue prosecutions."