Trump administration official Dr. Mehmet Oz is raising concerns over widespread fraud within Medicaid, highlighting what he describes as billions in wasteful and improper spending that Republicans say needs to be addressed through new legislative reforms.
Dr. Oz, who served as the administrator for the Centers for Medicare & Medicaid Services under President Donald Trump, appeared Sunday on Fox News’ Sunday Morning Futures with host Maria Bartiromo to discuss the scope of the fraud and the GOP’s proposed actions to correct it.
“There’s about $14 billion we’ve identified with DOGE, of folks who are duly enrolled wrongly in multiple states for Medicaid,” Oz said.
“You live in New Jersey, but you move to Pennsylvania, and which state gets your Medicaid? Turns out both states collect money from the federal government.”
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Oz clarified that the reform proposals currently being debated are not designed to take coverage away from those in need, but rather to refocus the programs on their original mission.
He said Medicaid must be “cleaned up” to serve the individuals it was originally designed for—those in early or late stages of life, individuals with disabilities, and others facing legitimate barriers to accessing care.
Dr. Oz: “Why should people living in Mississippi or Texas or Florida be paying for illegal immigrants getting health care in California?” pic.twitter.com/CpDLYu7Idv
— Real Mac Report (@RealMacReport) May 25, 2025
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The remarks from Oz come as Republican lawmakers prepare to advance a major healthcare reform bill in Congress, referred to by some members as the “Big Beautiful Bill.”
The legislation has drawn strong criticism from Democratic lawmakers, who claim the proposal would reduce access to care for vulnerable populations, including low-income Americans and the elderly.
House Speaker Mike Johnson has also weighed in on the matter, rejecting claims that Republicans are attempting to cut Medicaid.
Speaking earlier on Sunday, Johnson said the real goal is to protect the program by eliminating fraud, not by targeting those in need.
“There’s a lot of misinformation out there,” Johnson said.
“What we’re doing is making sure that Medicaid benefits are going to the people the program was intended for—not to illegal aliens, and not to able-bodied individuals who don’t meet eligibility requirements.”
Johnson also pointed to government data showing that over 1.4 million individuals in the country illegally are currently enrolled in Medicaid.
He emphasized that the program was not created to support non-citizens, but to serve American citizens in need.
.@SpeakerJohnson: We are NOT cutting Medicaid. There are 1.4 million illegals on Medicaid — and there are 4.8 million able-bodied individuals on Medicaid who choose not to work. That is called FRAUD, and that is what we are eliminating. pic.twitter.com/zL3ZqBDpS4
— Rapid Response 47 (@RapidResponse47) May 25, 2025
While critics of the proposed legislation argue that reforms will reduce access to care, GOP leaders maintain that cutting down on improper payments and ineligible enrollees is essential to preserving Medicaid’s long-term viability.
The Department of Health and Human Services has previously acknowledged challenges in tracking dual enrollments and cross-state discrepancies in eligibility databases.
Republican lawmakers argue that addressing these issues through better oversight and verification would prevent taxpayer funds from being misused or diverted.
No formal vote has been scheduled on the new reform package, but Republican leadership is expected to introduce it in the coming weeks.
The legislation will likely include provisions aimed at tightening eligibility standards, improving enrollment verification systems, and increasing state accountability for reporting improper payments.
Democrats have signaled they will oppose the measure, setting up another partisan clash over healthcare spending.
However, Republicans continue to push the message that eliminating waste and fraud is a necessary step toward maintaining healthcare security for those who need it most.
Dr. Oz concluded his remarks by reiterating that protecting Medicaid’s integrity is not about denying care—but about ensuring that taxpayer dollars are used responsibly and effectively to support qualified recipients.
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