WASHINGTON, D.C. — The Trump administration this week acknowledged a significant error in data used to support a Medicaid fraud investigation in New York, revising earlier claims about the scope of personal care services.
The Centers for Medicare & Medicaid Services (CMS) said the number of New Yorkers receiving personal care services is about 450,000, far lower than earlier assertions that nearly three-fourths of the state’s 6.8 million Medicaid enrollees used the benefit. Officials said the discrepancy stemmed from incorrectly identified billing codes.
The revised figures come as federal officials continue a broader review of Medicaid spending across multiple states. Vice President J.D. Vance is leading efforts targeting potential fraud in states including California, Florida, Maine, and Minnesota.
New York officials had strongly disputed the original claims. A spokesperson for Gov. Kathy Hochul called the earlier figures “patently false” and said the state remains committed to addressing fraud while maintaining access to care.
Policy analysts also criticized the initial data. Michael Kinnucan of the Fiscal Policy Institute described the approach as flawed, while some Medicaid recipients raised concerns about assumptions that families can provide unpaid care in place of services.
Despite the correction, federal investigations into healthcare spending and fraud remain ongoing.
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