Senator Newman responds to legislative audit on DHS overpayments

On Tuesday, the Office of the Legislative Auditor released its “special review” of payments made to tribal nations by the Minnesota Department of Human Services (DHS). Among other aspects, the audit found “troubling dysfunction at the Department of Human Services, which resulted in […] $29 million in overpayments” that “were not authorized [and] occurred over several years”.

In response, Senator Scott Newman (R-Hutchinson) issued the following statement:

“The results of the legislative auditor’s special review are stunningly egregious: the Minnesota Department of Human Services has been overpaying tribal nations for self-administered opioid treatment medication for what appears to be nearly two decades. Unfortunately, this is just the latest in a long line of scandals at DHS.

“The review found ‘the department did not have legal authority to make the payments; it did not document why, when, and who decided it was appropriate to make the payments; no one at DHS takes responsibility for the decision; and no one at DHS can provide a rationale for the payments.’ Even more, the audit notes that the department continued to make the payments even after they were told they lacked the legal authority!

“Perhaps most concerning, however, is the failure of department management to flag the unauthorized payments or have controls to prevent the payments from happening. Frankly, with all that has happened at the department over the past several years, it is becoming nearly impossible to take the department at their word that they were unaware the illegal payments were taking place. The department’s leadership either ignored the overpayments or were too incompetent to notice. Either way, they failed – and should be fired immediately.

“Public trust in the state’s largest agency has rapidly evaporated. The legislature must make significant changes to the Department of Human Services during the upcoming legislative session.”

Senator Scott Newman, of Hutchinson, represents communities in McLeod, Meeker, Sibley, and Wright counties in the Minnesota Senate. Senator Newman is chair of the Transportation Finance and Policy Committee.