WASHINGTON (TNND) — Vice President JD Vance announced at a press conference Wednesday, that the federal government is deferring funding from the state of California.

The federal government is deferring $1.3 billion in Medicaid reimbursements from the state of California and the simple reason is because the state of California has not taken fraud very seriously,” Vance said.

While addressing the deferral, Administrator for the Centers for Medicare & Medicaid Services, Dr. Mehmet Oz said, the administration needs the state to clarify $630 million in billing and $500 million in home health services.

There’s another $200 million that we’re stopping in questionable expenditures. Much of that is related to immigration related costs,” Oz said.

The comments prompted a quick response from California Governor Gavin Newsom, who wrote on ‘X’ in part, “We hate fraud. But that’s NOT what this is. Vance and Oz are attacking programs that keep seniors and people with disabilities OUT of nursing homes. Pretty sick.” Meanwhile, the White House also shared on social media Wednesday that the anti-fraud task force led by Vance, has withheld a total of $1.4 billion in federal funding nationwide. Including in California and Minnesota.

That post caught the attention of House Oversight Committee Chairman Rep. James Comer (R-KY) who wrote that his committee will continue to expose fraud, including in Ohio. A state Vance said, along with Maryland, has been cooperating.

This does not have to be a red state or a blue state issue. This is just basic good government,” said Vance.

Ohio Governor Mike DeWine applauded the administration’s efforts Wednesday. Writing on ‘X’ in part, “Since the beginning of 2023, Ohio has secured 444 Medicaid fraud indictments, 481 convictions, and 146 civil settlements and judgments resulting in $78.4 million in recovered taxpayer funds.” During the press conference, a six-month freeze on new Medicare enrollments for home health and hospice providers was also announced. Plus, the administration is sending letters to all 50 state Medicaid programs, warning them to investigate and prosecute fraud.

If they do not, if they do not aggressively prosecute Medicaid fraud, we are going to turn off the money that goes to these anti-fraud units.” Vance said.

Aside from California, Vance also called out Hawaii and New York as states that have not taken the issue of Medicaid fraud seriously. The Vice President added, that if steps aren’t taken to correct course, other resources within these programs could be turned off.