Chairman of MNsure oversight committee looks into spending of federal funds

The chairman of the state's MNsure Legislative Oversight Committee has renewed his demands for more information of how federal funds are handled by the state's embattled health care exchange.

The letter from Rep. Greg Davids to MNsure interim CEO Allison O'Toole asks for documentation showing that the exchange received federal signoff for some spending.

However, a MNsure spokesman said the documents Davids refers to are applications for an approval of extension of funds, and that the perceived shortfall doesn't include additional sources of revenue.

In the letter Davids details how MNsure's most recent three-year budget plan indicates expected revenues of $4.5 million from the MNsure Tax, while expenses are listed at $8.1 million, without an accounting on how the $3.6 million difference will be covered. Davids wrote that because the exchange's only additional revenue is listed as federal grants and reimbursement from the Department of Human Services, "I have very serious concerns about MNSure's financial management."

Davids wrote that although MNsure received approval to spend grant money through the end of 2016, the 2017 budget includes $8.4 million in federal grants. He wants MNsure to share with the Commission the same documents given to Congress in a similar federal investigation.

MNsure spokesman Joe Campbell said Tuesday that the exchange is more than willing to be transparent and share documents when they're available.

"It's unclear to me exactly where he sees a shortfall but of course we're happy to answer any questions," Cambpell said. "There's a number of different funding sources; because we get revenue from different places doesn't mean there's a shortfall up to this point. Our revenues have exceeded our projections so we feel good about where we are."

Read the letter here:

Mn Sure Finances