West Virginia Medicaid Agency Says Audit Savings Years Away, Requires Technology Upgrades
West Virginia's Department of Human Services, which administers the state's Medicaid program, told lawmakers that $68.6 million in potential annual savings identified in a May 2026 BDO audit will take years to realize. The savings depend on costly technology upgrades, including fixing the state's $400 million PATH eligibility system, reducing paper mailings, and bringing foster children back in-state from residential facilities. Governor Patrick Morrisey paid BDO USA $1 million to audit three state agencies in search of efficiencies. Legislators expressed mixed reactions, with some understanding the timeline for system overhauls and others calling the audit's projections unrealistic.
West Virginia Medicaid faces a multi-year implementation timeline for administrative reforms and system upgrades that could affect eligibility processing, foster care reimbursement, and operational costs before any budget relief materializes.
Finance · Managed Care
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