- Associated Press - Thursday, October 9, 2014

ALBANY, N.Y. (AP) — The state reports saving more than $2 billion and recovering $879 million last year from spending on the Medicaid program that pays for health care for low-income New Yorkers.

The Office of the Medicaid Inspector reports three-year recoveries of $1.73 billion from overbilling, errors and fraud, up 34 percent from the previous three years.

The state health department says the program covers 5.3 million of New York’s 19 million residents.

Total state, federal and local spending was almost $56 billion last year.

Thursday’s report shows $2 billion savings from pre-payment billing reviews and outside monitoring of providers with previous compliance issues.

The inspector general last year removed 702 medical, dental, pharmacy, transportation and other service providers from the program and referred 164 for possible criminal prosecution.

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