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GAO Issues Report on Medicaid Provider Payment Rates in States

The Government Accountability Office (GAO) released a report Jan. 6 on the extent to which state Medicaid programs vary rates paid to providers for a given service, the basis for variation in rates, and the extent to which Medicaid provider payment rates calculated from claims data confirm rates reported in studies of states’ fee schedules. The report found that all states varied Medicaid provider payment rates for some services. The report also found that Medicaid provider payment rates calculated from claims data mostly confirmed rates previously reported in fee schedule studies. These results will help the Centers for Medicare & Medicaid Services and other policymakers assess the adequacy of Medicaid payments. No recommendations were made in the report.

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