Preventing fraud in social services programs like child welfare and Medicaid has been a hallmark of the Trump administration’s second term. (Photo: Makenzie Huber/South Dakota Searchlight)
State senators have introduced three bills aimed at protecting Pennsylvanians who rely on state programs for health care, child care and food assistance, respectively.
Each bill passed unanimously on Tuesday without any major objections during a 22-minute meeting.
Senate Bill 362 increases penalties related to “skimming,” which involves stealing card information from people enrolled in the Supplemental Nutrition Assistance Program (SNAP) and stealing their benefits.
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The proposal, authored by Sen. Lisa Boscola (D-Northampton), creates a recent crime in state code against people who employ, trade or possess devices related to skimming. Theft of benefits for the first time is a third-degree felony, while subsequent thefts are made a second-degree felony under revised language added Tuesday.
Anyone convicted of defrauding SNAP using this method will also be permanently barred from the program.
“These are benefits designed to help families put food on the table. They support children, seniors, people with disabilities and working families who are trying to get by,” Boscola said in remarks submitted to the committee. “When criminals steal these benefits, they are stealing from the people who can least afford them and the taxpayers who fund these programs.”
It is worth noting that stolen benefits are arduous to replace, meaning many families are left without them if they become victims. Condition heading towards benefit cards with a chip, but this process will take several months.
Child Welfare Fraud Prevention, Medicaid
The committee’s chairman, Sen. Michele Brooks (R-Mercer), sponsored two other bills aimed more at preventing fraud in other social services programs. first, Senate Bill 1372reimplements the annual report. The state Department of Human Services will cease operations in 2022, Brooks said.
The report must include inspections, investigations, enforcement actions, and payment integrity activities for child care centers, group home and family centers, and residential and day treatment centers.
“This bill restores the reporting the department previously provided and adds payment integrity information so policymakers and the public can better understand how the system works,” Brooks added.
Pennsylvania is scrutinizing fraud prevention as the feds investigate Medicaid
She noted that the state continues to submit information for federal review, reporting that a January 2025 federal government report found that improper payment occurred in just under 11% of cases in 2022, compared to the national average of 4%.
However, the review looked at 276 cases and included payments of $165,658. It was determined that $3,739 was inappropriate – or 2%.
Although the vote was unanimous, Minority Committee Chairman Sen. Art Haywood (D-Montgomery) shared his concerns through a proxy, saying more work may be needed.
Senate Bill 1373 would require some Medicaid providers to register for National Provider Identification (NPI) numbers, Department of Human Services Secretary Val Arkoosh said took place last month.
“We want to implement this as quickly as possible. However, we have asked the Department (of Social Welfare Policy) to give providers enough time to ensure there are no gaps in care,” Brooks said after the meeting. “It’s not about trying to take care away from people. It’s about protecting people’s care.”
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Arkoosh estimated it would take the next two or three years to implement this requirement, but providers without an NPI were recently deemed “high-risk” providers by the Centers for Medicare and Medicaid Services.
This same category has also been the subject of intense scrutiny by the Trump administration in other states, namely Minnesota, California and New York, with mixed results. The administration recovered billions but later admitted that “significant error” in their accusations against New York. Critics dismissed the initial crackdown as partisan for attacking Democrat-led stateswhich prompted the administration to expand its scope.
The proposal to introduce a non-productive investment requirement has long been discussed in the Community but has generated relatively little movement. Gov. Josh Shapiro, as a former state attorney general, recommended that the state move toward this requirement back in 2019. as part of the package recommendations on combating fraud.
Previous draft of the NPI Act failed to obtain support after his master leaves office in 2024.
“We wanted to show that we definitely need to implement this,” Brooks said. “We want to say that the General Assembly supports this and it should be done.”
