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STAT+: Federal Medicaid audit finds massive overpayment for autism therapy in Colorado

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HHS's OIG uncovered $285.2 million in improper and potentially improper payments to clinicians of an autism therapy called applied behavior analysis, it said.

For the fourth time, federal auditors have turned up improper or potentially improper Medicaid payments in every sample of autism therapy records they audited. This report, focused on Colorado, yielded the highest improper payment amount yet.

The Department of Health and Human Services’ Office of Inspector General

uncovered $285.2 million

in improper and potentially improper payments in 2022 and 2023 to clinicians who provide a popular form of autism therapy called applied behavior analysis, or ABA. The payments, administered under Colorado’s Medicaid program, come from the state and federal governments.

HHS OIG

announced in 2022

it would conduct reviews of Medicaid payments to ABA providers in seven states. The first was

Indiana

, then

Wisconsin

, and

Maine

. ABA is a commonly used therapy for managing autism symptoms, but a

2022 STAT investigation

found that a rapid influx of private equity investment in the industry has contributed to a crisis of providers routinely overbilling insurers while providing substandard treatment to vulnerable children and families.

Continue to STAT+ to read the full story…

— Source: STAT News (https://www.statnews.com/2026/03/02/hhs-medicaid-audit-finds-autism-therapy-overpayment-colorado/)

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