Reducing Medicare Waste

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ih LEAGUE n 0 ) Reducing Medicare Waste (NAPSA)—Medicare lost about $11.9 billion to waste, fraud and mistakes in fiscal year 2000. “Reducing the rate of waste, fraud and improper payments in Medicare could make a substantial down payment toward adding a prescription drug benefit or improving the quality of care,” says George Smith, chairman of TREA Senior Citizens League (TSCL), a national group ofpolitically active seniors. Medicare fraud and waste hurts seniors. Medicare has made progress in the reduction of improper payments. One example is a recent change in the payment system to home health care agencies and nursing homes. Underthe old system, Medicare paid for all services delivered. Now providers are paid fixed rates. “The annual review by the Office of the Inspector General has proven that we can reduce improper payments in Medicare— but that review has focused on Medicare’s fee-for-service payments,” says Smith. “Medicare also needs effective monitoring in other areas.” TSCL is a national group of politically-active seniors concerned about the protection of their earned Social Security, Medicare, military, and other retirement benefits. TSCL membersparticipate in grassroots lobbying and public education campaignsto ensure govern- mental bodies, including the Social Security and Health Care Financing Administrations, live up to their commitments. Visit the Web site at: www.tscLorg. (N10306)