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Vance’s Amazing Fraud Crackdown Is About To Panic Several Blue State Governors

Updated: CORRUPTION

Vice President JD Vance took the podium Wednesday afternoon to announce a major anti-fraud initiative from the Trump administration. The announcement included an insane $1.34 billion deferral of Medicaid funding for California, a nationwide moratorium on new hospice and home health licenses, and the establishment of a first-ever Medicaid War Room.

Additionally, he issued a 50-state ultimatum: states must demonstrate that they are actively prosecuting Medicaid fraud or risk losing federal funding designated for anti-fraud efforts.

So far, the task force has successfully suspended approximately $1.4 billion in fraudulent hospice and home health operators. Then Vance noted:

This is just basic good government, pushing back on anyone who would frame the crackdown as partisan. We want to protect Medicaid. We want to protect Medicare. But we can’t do that if the states that are administering those programs are allowing those programs to be fleeced by fraudsters.

Vance went on to note, correctly, that despite this being a Republican administration – “We’re all proud Republicans up here” – the issue of cleaning up fraudulent behaviors in Medicaid programs is not a red state or blue state issue, but a cleaning up fraud for the taxpayers issue.

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Some states are working to assist in this effort, including Democrat- and Republican-run states. But others, like Gavin Newsom’s California, are refusing to do so because he’s gotta keep those illegal aliens from rioting:

You may think of this as purely a red state or blue state issue. That’s actually not true […] This is just basic good government […] We want to protect Medicaid. We want to protect Medicare. But we can’t do that if the states that are administering those programs are allowing those programs to be fleeced by fraudsters. So we encourage — whether it’s California or New York or Maryland or Ohio — we encourage people to work with us.

CMS Administrator Dr. Mehmet Oz broke down the California deferral: $630 million in billing from the top 5 percent of outlier providers, $500 million tied to personal care spending growing at twice the national rate, and $200 million in questionable immigration-related expenditures. Oz called it “the largest deferral we’ve ever made.”

The hospice statistics are alarming. One-third of all hospice providers in the U.S. are based in Los Angeles. Federal officials estimate that at least half of these providers may be fraudulent, which explains the recent suspensions of 800 operators. Of those suspended, fewer than 20 have attempted to contest their suspensions. “At least 780 are not even trying to claim that they’re not fraudulent,” Vance said flatly.

The state-level failures were equally troubling. Hawaii had no indictments in its entire Medicaid fraud program, while New York had nine indictments related to a $100 billion program. Indiana, with one-third of New York’s population, produced four times as many indictments. “Hawaii, New York, California — they have completely not taken the fraud issue seriously,” Vance said.

So, while Vance says his effort to clean up fraud wherever it is found, blue state governors appear to be saying more so than red state governors, ‘Yeah, we’re okay with wasting taxpayer’s money.’

But Vance made clear, this effort will move forward, regardless of who gets in the way of it, because President Trump has given him the tools and the authority to do so. Good luck keeping your funds, Gavin.

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