The GAO has issued a reoprt entitled “Medicaid Long-Term Care: Information Obtained by States about Applicants' Assets Varies and May Be Insufficient.”  Based on a survey of state Medicaid officials conducted in late 2011, the GAO found that states require applicants to provide documentation for most of the types of assets included in the GAO survey, but states varied in the extent to which they obtained information from third parties to verify applicants’ assets. The GAO questioned whether all states obtain sufficient information to implement certain Deficit Reduction Act of 2005 requirements related to transfers of assets. Nevertheless, the GAO concluded that “[g]iven the complexities involved, it may be reasonable for states to adhere to a risk-based approach and focus their eligibility determination efforts on applicants who appear to be more likely to have assets or to have transferred assets that would make them ineligible.” The GAO also reported that it was too early to assess whether the use of an electronic asset verification system (which all states must implement by the end of FY 2013) will be effective in helping states identify unreported or transferred assets. The GAO plans additional work related to Medicaid long-term care financial eligibility.