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    AN ACT concerning public aid.
  
 
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    Be it enacted by the People of the State of Illinois,
 
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represented in the General Assembly:
  


 
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    Section 5. The Illinois Public Aid Code is amended  by 
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adding Section 12-4.40 as follows:
 
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    (305 ILCS 5/12-4.40 new)
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    Sec. 12-4.40. Payment Recapture Audits. The Department of 
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Healthcare and Family Services is authorized to contract with 
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third-party entities to conduct Payment Recapture Audits to 
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detect and recapture payments made in error or as a result of 
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fraud or abuse. Payment Recapture Audits under this Section may 
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be performed in conjunction with similar audits performed under 
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federal authorization.
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    A Payment Recapture Audit shall include the process of 
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identifying improper payments paid to providers or other 
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entities whereby accounting specialists and fraud examination 
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specialists examine payment records and uncover such problems 
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as duplicate payments, payments for services not rendered, 
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overpayments, payments for unauthorized services, and 
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fictitious vendors.  This audit may include the use of 
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professional and specialized auditors on a contingency basis, 
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with compensation tied to the identification of misspent funds. 
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    The use of Payment Recapture Audits does not preclude the 
 


 






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Office of the Inspector General or any other authorized agency 
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employee from performing activities to identify and prevent 
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improper payments. 
 

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    Section 99. Effective date. This Act takes effect upon 
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becoming law.