Colorado sues HHS over $12M in disputed Medicaid claims for outreach program serving low-income pregnant women, children

August 11, 2015

Colorado is suing HHS in federal court, claiming that the federal government wrongfully denied $12 million of Medicaid payments. Filed by the state Department of Health Care Policy and Financing against HHS Secretary Sylvia Mathews Burwell, the suit is over funds paid to the Denver Health and Hospital Authority for an outreach program serving low-income pregnant women and children under age 19, the lawsuit says. The suit alleges the state dispersed the funds while following a federal mandate to approve and process Medicaid payments outside of government offices at qualifying hospitals and clinics to care for eligible participants in the program.