A bill that would allow the state auditor to examine the tax returns of people who receive federal benefits continues to generate controversy in the Mississippi legislature. MPB's Desare Frazier reports.
The House Ways and Means Committee passed Senate Bill 2257 but not without a legislator challenging the measure. The bill would allow the state auditor to examine tax returns for anyone receiving public assistance such as TANF or Medicaid. In a House Ways and Means Committee meeting, Democrat Robert Johnson of Natchez said the bill is being presented as a federal requirement but it's not.
"The auditor and some of the people fostering this legislation have said there's a federal mandate that says we have to audit the recipients of Medicaid. That's not what it is. There's a federal supplement that talks about things the that auditor can do to help the program run more efficiently," said Johnson.
Johnson who says he worked in the Medicaid Fraud Division at the state attorney general's office is concerned the bill will create fear among poor people who need assistance. He argued the recent $4 million TANF embezzlement scandal involving a former department of human services director highlights where the fraud occurs. Republican Joey Hood of Ackerman chairs the House Medicaid Committee.
"Federal government says we should be complying and that's what we're doing since we receive a 3 to 1 match. We're trying to protect the integrity of the program and we're trying to protect it from all aspects of it," said Hood.
Hood says for every $1 dollar Mississippians pay in taxes the state receives $3 dollars for Medicaid. That amounts to $4.5 billion. More than 700,000 Mississippians receive assistance. Johnson also said the state division of Medicaid told him they don't accept tax returns as proof of an applicant's income; they use paycheck stubs. The bill now goes to the full House for a vote
