Virginia Medicaid Contract

Inspector General Investigates $1.5 Million Worth Virginia Medicaid Contract

in Virginia

Virginia Medicaid Contract, which was furnished to the AYS Finance Management Services for the role of federal contracts consultant, is currently under scrutiny by the state’s Inspector General, whois investigating the contract under the request of the Department of Medical Assistance Services.

Earlier, this week the Department of Medical Assistance Services (DMAS) claimed that they asked for the investigation to “ensure full transparency”.

As per the state records, the DMAS authorities granted the contract to the Pennsylvania-based AYS Finance Management Services, which is owned by former government employee Teia Miller. Miller previously, worked at the federal Centers for Medicare and Medicaid Services.

It is also of notion that the former government employee kept in touch with the state authorities on various concerns related with Virginia Medicaid contract and communication. The investigation revealed that the authorities at DMAS and Miller were in touch because the DMAS officials wanted to hire her. However, Miller denied the job demanded a higher salary.

On May 14, Miller suggested the DMAS officials to hire her as an independent contractor and provide her an annual salary of more than $300,000 for a contract ranging from three to five years. She further justified her demands saying, “The savings I would bring to DMAS, would well exceed the amount of the contract.”

Later on July 14, the state authorities provided the Virginia Medicaid contract to the AYS Finance Management Services at an annual salary of $320,000.

The investigation revealed that there are many reasons as to why the contract came under scrutiny. One of the main reasons is that although AYS was provided with an information technology contract with Computer Aid Inc, Miller provided assistance on federal contracts, rather than on IT issues.

On the other hand, the internal acquisition form of the DMAS agency revealed that the agency neither got the contract reviewed from the attorney general’s office nor did it provide any justification on why the contract was not received. This information further provoked suspicions, prompting the investigation.

In response to the ongoing investigation on Virginia Medicaid contract, State Sen. and the Republican chairman of the Senate Education and Health Committee, Stephen Newman said, “We need to know if there are any ties between the offer of a lucrative state contract and the past work of this former federal government employee on Virginia’s DMAS cases.”

He added that the council members are keeping a close eye on the contract as they are worried about the Medicaid contract.

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