AUGUSTA, Maine — Officials with the State of Maine are raising concerns after federal officials in the Trump administration shared information about a major Medicaid billing investigation with a conservative media outlet before formally notifying the state, according to a report from WGME.
The controversy centers on a federal probe into MaineCare billing practices connected to services for children diagnosed with autism, an investigation that follows a federal audit finding that Maine made at least $45.6 million in improper fee-for-service Medicaid payments related to rehabilitative and community support services.
The story broke publicly after The Maine Wire reported on the findings and the expanding federal scrutiny of the program, prompting criticism from state officials and political opponents.
The federal investigation is part of the Trump administration’s broader “War on Fraud” initiative, which is targeting suspected misuse of federal healthcare funds across multiple states.
Federal officials with the Centers for Medicare & Medicaid Services first demanded detailed billing records from the Mills administration on February 6, 2026, as part of the probe.
Governor Janet Mills later requested a 30-day extension to produce the records, but that request was rejected by federal officials, signaling that investigators are unwilling to tolerate delays in the inquiry.
The dispute comes amid escalating scrutiny of Maine’s Medicaid system. Last month, Mehmet Oz, commonly known as Dr. Oz, publicly warned the Mills administration that federal officials were closely examining billing practices in Maine’s autism services program.
Maine Wire Reporting Draws Political Attacks
The reporting by The Maine Wire quickly became a flashpoint in Maine politics, with a Democratic U.S. Senate candidate launching attacks on the outlet and its journalists.
In response, Maine Wire Editor-in-Chief Steve Robinson issued a statement defending the outlet’s investigative work and pushing back against critics.
“The award-winning journalists at the Maine Wire were the first and only outlet to report that Attorney General Aaron Frey issued a gag order to Department of Health and Human Services employees in Jan. 2025,” Robinson said.
Robinson continued by listing several investigations the outlet says it broke first.
“We were the first outlet to expose Janet Mills’ attempted cover-up of the $1.6M Gateway Community Services welfare fraud. We’re the only outlet that has sued the Mills administration in defense of press freedom, and she folded like a cheap suit. We were the first and only outlet to submit a Freedom of Access Act request that found Sarah Gagne-Holmes is terrified of a congressional subpoena related to the House Oversight probe of Janet Mills’ Medicaid mismanagement,” Robinson said.
“We were the first outlet to report on the $46M in improper payments Mills’ DHHS made in 2023 in the child autism program,” he added.
Robinson also criticized the state’s handling of the federal investigation and mocked the Senate candidate who criticized the outlet.
“And, yes, we were the first outlet to report that she’d unsuccessfully requested an extension on her homework because she’s too busy losing a Democrat Senate primary 20–60 to a fake oyster farmer and can’t be bothered to show up for work at her actual job,” Robinson said.
“If the stenographers at WGME spent less time picketing for $0.50-an-hour raises and more time investigating, maybe they could publish journalism rather than Jeremy Kennedy and Scott Ogden’s angry mash notes.”
Federal Probe Adds Pressure on Mills Administration
The federal investigation into MaineCare billing comes as federal watchdogs continue reviewing Medicaid spending across the country.
According to the federal audit, Maine improperly paid tens of millions of dollars for autism-related services under its Medicaid program. The report raised concerns about billing oversight, documentation requirements, and compliance with federal rules governing reimbursement.
The Trump administration’s refusal to grant the Mills administration additional time to produce records suggests the investigation may escalate in the coming months, if not days.
The dispute also follows previous clashes between the Mills administration and the Trump administration in 2025 over federal funding threats tied to Maine policies on transgender athletes in school sports.
Now, with federal investigators demanding records and a congressional probe looming, Maine’s Medicaid system, particularly the autism services program and the Gateway Communities Services scandal, appears poised to face growing scrutiny in Washington.
