The proposed bill aims to enhance consumer protection by strengthening the enforcement of laws against Medicaid fraud. It grants the attorney general and authorized assistant attorneys general the authority to issue subpoenas for records from various entities, including telephone and cellular companies, financial institutions, and insurance records related to claims. A new section, 609.467, is introduced to specifically prohibit medical assistance fraud, detailing penalties that range from imprisonment of up to 20 years and fines of up to $100,000 for significant fraud, with lesser penalties for smaller amounts. The bill also repeals the existing section 609.466, which previously defined medical assistance fraud and its penalties, and makes conforming changes to other statutes, including the establishment of new criminal penalties and the aggregation of claims for prosecution.

Additionally, the bill amends the statute of limitations for various offenses, specifying time frames for filing indictments or complaints after the commission of the offense, with limits ranging from three to five years depending on the nature of the crime. It also appropriates $390,750 from the general fund for fiscal years 2026 and 2027 to the attorney general to combat medical assistance fraud, with a base appropriation set for the following two fiscal years. The effective date for these provisions is set for August 1, 2025, applying to crimes committed on or after that date, indicating a comprehensive approach to addressing Medicaid fraud and improving the state's prosecutorial capabilities.

Statutes affected:
Introduction: 609.466, 8.16, 256B.12, 628.26
1st Engrossment: 609.466, 8.16, 256B.12, 628.26
2nd Engrossment: 609.466, 8.16, 256B.12, 609.52, 628.26