D.C. audit finds Medicaid contract invalid

Published May 18, 2006 4:00am ET



The District’s inspector general has come down hard on the Department of Health and an unnamed senior employee for signing a contract that violated the city’s procurement laws and may have been a bad deal for taxpayers.

An audit released this week revealed that a $936,000 contract for nonemergency transportation of Medicaid recipients, authorized in May 2002 by a senior official in the Medical Assistance Administration, bypassed procurement laws and left the city holding the bag for a deal no one can say was worth the money.

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