Lawmaker says Mich. not recovering medical bills

LANSING, MI – A Michigan lawmaker says the state could avoid some budget cuts by simply making sure the government is reimbursed for medical bills that should have been paid by private health insurers.

Rep. John Walsh cites the state auditor's finding that Michigan isn't effectively recovering Medicaid costs from insurance companies.

The Livonia Republican said Wednesday he wants to know if the Department of Community Health is collecting the money three months after the audit's release. The audit identified $213 million in outstanding billings.

Medicaid is a government health care program for the poor.

The state says the amount that could be recovered is much less. But Walsh says any savings are worth it. He hopes a Democratic-led House panel will investigate the issue.