2009 Louisiana Laws TITLE 46 Public welfare and assistance :: RS 46:440.1 Medical assistance programs fraud detection fund

SUBPART D.  FRAUD AND ABUSE DETECTION AND PREVENTION

§440.1.  Medical Assistance Programs Fraud Detection Fund

A.  The Medical Assistance Programs Fraud Detection Fund, hereafter referred to as the "fund", is created in the state treasury as a special fund.  The monies in the fund shall be invested by the state treasurer in the same manner as monies in the state general fund and interest earned on the investment of monies in the fund shall be credited to the fund.  All unexpended and unencumbered monies in the fund at the end of each fiscal year shall remain in the fund.

B.  After compliance with the requirements of Article VII, Section 9(B) of the Constitution of Louisiana relative to the Bond Security and Redemption Fund, and prior to monies being placed in the state general fund, all monies received by the state pursuant to a civil award granted or settlement under the provisions of this Part, except for the amount to make the medical assistance programs whole, shall be deposited into the fund.

C.  Fifty percent of the monies collected and deposited into the fund shall be allocated to the Medicaid Fraud Control Unit within the office of the attorney general.

D.  Fifty percent of the monies collected and deposited into the fund shall be allocated to the Department of Health and Hospitals to be used solely for Medicaid fraud detection and for the purposes specified in Subsection E of this Section.

E.  The monies in the fund shall not be used to replace, displace, or supplant state general funds appropriated for the daily operation of the department or the medical assistance programs and may be appropriated by the legislature for the following purposes only:

(1)  To pay costs or expenses incurred by the department or the attorney general relative to an action instituted pursuant to this Part.

(2)  To enhance fraud and abuse detection and prevention activities related to the medical assistance programs.

(3)  To pay rewards for information concerning fraud and abuse as provided in Subpart B of this Part.

(4)  To provide a source of revenue for the Medical Assistance Program in the event of a change in federal policy which results in an increase in state participation or a shortfall in state general fund due to a decrease in the official forecast, as defined in R.S. 39:2(30), during a fiscal year.

Acts 1997, No. 1373, §1; Acts 2008, No. 712, §1, eff. July 1, 2009.