OIG Finds SC Underreported $108.6M in Medicaid COVID FMAP Collections
HHS OIG found that South Carolina failed to report approximately $108.6 million of the federal share of Medicaid and CHIP collections subject to the temporary increased FMAP authorized during the COVID-19 public health emergency. The finding stems from an audit examining whether the state properly identified and returned collections tied to the enhanced federal match rate. The report affects South Carolina's Medicaid agency, which will likely need to refund the unreported federal share to CMS and correct its reporting processes. The audit underscores broader compliance risk for states that received the temporary FMAP bump and must accurately reconcile collections against the higher match rate.
State Medicaid agencies face potential federal repayment obligations and must tighten collections-reporting controls to avoid similar OIG findings tied to pandemic-era enhanced FMAP funds.
Finance · CHIP
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