Hochul’s $11B Bid-Rigging Scandal Is How Medicaid Works in NY

With the feds joining the parade calling out fraud in Gov. Kathy Hochul’s rancid home-care-aide “reform,” maybe the fundamental corruption of New York’s Medicaid programs will start to unravel.

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The Justice Department’s Civil Division last week filed suit over the 2024 scheme to consolidate payrolls for nearly 240,000 home care aides covered by the $11 billion Consumer Directed Personal Assistance Program.

That makes a half-dozen lawsuits so far: It’s a parade!

Under CDPAP, Medicaid covers aides to help out elderly or disabled folks around the house, paying roughly $20 an hour.

New York lawmakers loosened the rules in 2015 so friends or relatives could get paid to do the work — whereupon costs rose by the billions as enrollment doubled.


The number of “middlemen” (businesses and nonprofits) that handle CDPAP payrolls shot up from seven to 700 — as scams skyrocketed, too.

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