2 min read

BANGOR (AP) – The Maine Department of Health and Human Services has failed to correct several financial accountability problems identified by the federal government two years ago, but Commissioner Jack Nicholas vowed to address any lingering issues.

The inspector general of the U.S. Department of Health and Human Services reported this month that a nationwide audit turned up weaknesses “in accountability and internal controls” over drug rebate programs in all but four states.

Maine was found wanting in three categories during a similar audit in September 2003 and told to improve its financial oversight.

Maine DHHS Commissioner Jack Nicholas said the state has rectified one of the three areas in which it was found lacking.

“We have not addressed them all – but we will,” he said this week.

The category that has been addressed involves resolving disputes in a timely manner within federal guidelines, Nicholas said.

He was at a loss, however, to explain why the state has not yet developed proper procedures for providing accurate pending rebate amounts to the federal Centers for Medicare and Medicaid Services, or CMS, which oversees the state Medicaid program.

The second area of concern cited in the 2003 report that has yet to be fixed involves how the state accounts for disputed or unpaid rebate amounts and any late payments. A new computer program should eventually resolve those issues, he said.

DHHS’ new $22 million computer system that went online in January has had numerous software and hardware problems, causing delays and inaccuracies in payments to many of the department’s 7,000 service providers.

Sen. Richard Rosen, R-Bucksport, the ranking GOP member of the Legislature’s Health and Human Services Committee, is upset the inspector general’s 2003 report has gone unaddressed for nearly two years.

“It’s an embarrassment to the state,” he said.

He said it is the responsibility of the Legislature to oversee the operation and implementation of programs, and it is not doing its job.

“We are supposed to serve as the eyes and ears of the citizens of the state of Maine,” he said. “It is our responsibility to insist that any problems like these be fixed.”

Rep. Hannah Pingree, D-North Haven, the House co-chair of the committee, said the inspector general’s report will be on the panel’s agenda next month.

“We need some answers on when things will be fixed, not just assurances that they are being addressed,” she said.

Comments are no longer available on this story