(a) To increase transparency, the office of inspector general shall, if the office has access to the information, provide to pharmacies that are subject to audit by the office or by an entity that contracts with the federal government to audit Medicaid providers information relating to the extrapolation methodology used as part of the audit and the methods used to determine whether the pharmacy has been overpaid under Medicaid in sufficient detail so that the audit results may be demonstrated to be statistically valid and are fully reproducible.
(b) A pharmacy has a right to request an informal hearing before the commission’s appeals division to contest the findings of an audit that the office of inspector general or an entity that contracts with the federal government to audit Medicaid providers conducted if the audit findings do not include findings that the pharmacy engaged in Medicaid fraud.

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Terms Used In Texas Government Code 544.0053

  • Fraud: Intentional deception resulting in injury to another.

(c) In an informal hearing held under this section, the commission’s appeals division staff, assisted by staff responsible for the commission’s vendor drug program with expertise in the law governing pharmacies’ participation in Medicaid, make the final decision on whether the audit findings are accurate. Office of inspector general staff may not serve on the panel that makes the decision on the accuracy of an audit.


Text of section effective on April 01, 2025