Trump Cuts Off States From Skimming Medicaid Payments For Big Labor
The Trump administration finalized a rule Thursday scrapping a 2014 Medicaid regulation allowing states to divert payments meant for caretakers to unions.
The Obama administration issued a regulation that protected a state practice that had, by that time, been practiced for decades. Since the 1990s, states have accepted Medicaidmoney from the federal government meant for home health service providers, often the family or friends of the Medicaid-assistance recipient, according to the conservative think tank Freedom Foundation.
In distributing checks to the health providers, some states had begun skimming money and diverting it to unions and other interest groups in the form of dues, even though home health providers may not be members. The Center for Medicaid Services will begin cracking down on the process in July. (RELATED: Trump Is Cutting Off Big Labor From Skimming Americans’ Medicaid Payments And Unions Are Furious)
“Repealing this illegal regulation is a major victory for caregivers and