WASHINGTON, D.C. – U.S. Senators Roy Blunt (Mo.) and Lamar Alexander (Tenn.), Ranking Member of the Senate Committee on Health, Education, Labor and Pensions (HELP), sent a letter to the Administrator of the Centers for Medicare and Medicaid Services (CMS) at the U.S. Department of Health and Human Services (HHS) this week regarding “an alarming report that hundreds of employees of Serco, a company awarded up to $1.25 billion in federal taxpayer dollars to process paper applications for health insurance through the federal Obamacare exchange, are being paid to do nothing.”
KMOV-TV in St. Louis, Mo. originally broke the story regarding serious allegations from workers at a Serco health insurance application processing center located in Wenztville, Mo. who claim they are wasting taxpayer dollars by being paid to do nothing. The facility is responsible for processing paper applications for Americans attempting to sign up for health care plans under ObamaCare.
“We are concerned Serco may have much less work than was expected when CMS awarded the contract, and may not be successfully completing the applications it has received,” the Senators wrote. Blunt and Alexander posed a number of specific questions to the administration and requested a reply on or before May 30, 2014.
Serco is a private government contracting firm hired by the Obama Administration under a reported $1.25 billion contract in July 2013. The Wentzville facility, which is one of several sites that process ObamaCare applications, reportedly employs 600 people.