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Indiana FSSA Audits Identified Nearly $200 Million in Improper Payments

Auditors reviewed 625 claims and found nearly all had missing checks, poor records or improper billing, prompting efforts to recoup payments.

  • An FSSA audit released Thursday found nearly $200 million in improper payments extracted by five high-risk attendant care providers over a three-year period, revealing widespread billing failures and safety lapses.
  • The audit covers a period when explosive growth in attendant care costs contributed to a $1 billion Medicaid budget shortfall; program costs surged more than $150 million from 2021 to 2022 without corresponding increases in patient need.
  • Auditors reviewing 625 claims found three providers had 100% error rates, with violations including missing criminal background checks and billing for noncovered services. FSSA Secretary Mitch Roob called the findings a "reckless disregard for safety."
  • Secretary Mitch Roob said the state will recoup the improper payments, while parents united under Indiana Families United for Care argue the audit confirms systemic issues and urge adequate funding for the state's sickest Hoosiers.
  • Ongoing litigation persists over Structured Family Caregiving rates as the state navigates federal mandates under the Americans with Disabilities Act of 1990, while attempting to reconcile program accountability with access for vulnerable residents.
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13 WTHR broke the news in Indianapolis, United States on Thursday, April 23, 2026.
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