After a federal audit, the Office of Inspector General has recommended Louisiana pay back $13.6 million that may have been paid to noncompliant physicians as part of a post-Hurricane Katrina grant.
CMS gave the Louisiana Department of Health and Hospitals a $50 million federal grant to restore healthcare access in communities damaged by Hurricane Katrina. Individual practitioners received a one-time payment to go towards student loans, malpractice insurance premiums or relocation expenses, among other options.
The audit found that of 100 practitioners, 67 were not in compliance with the grant’s requirements — which include a minimum of three years of service, full-time work status, and practice at a federally approved site. One practitioner did not even offer medical services, according to the audit. Based on these findings, the OIG estimates that $13.6 million was improperly distributed to physicians who violated various requirements.
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