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Kentucky Caregivers Criticize Medicaid Audits

Some companies that provide Medicaid-funded homes and services for Kentucky adults with disabilities are warning that state audits of their businesses could force them to cut back services or go out of business.

The Associate Press reports that the businesses say the state is demanding repayment of millions of dollars for what amounts to minor paperwork errors. The companies say the audits defeat the purpose of the program Kentucky started in 2007 to try to get adults out of institutions such as nursing homes or Oakwood, a state-run facility in Somerset.

Officials with the state Cabinet for Health and Family Services say they are simply following a federal mandate to perform regular audits of billing for such programs.