State officials canceled their multimillion-dollar Medicaid contract with financially troubled TAPS Public Transit on Thursday and launched an investigation into the possibility of fraud.
Sherman-based Texoma Area Paratransit System won the three-year contract in July 2014 to provide non-emergency medical trips to Medicaid recipients in a 16-county area, including Collin County. The service is in addition to its mission of providing on-demand and fixed-route bus service in a seven-county area.
TAPS had created a separate unit for the Medicaid contract called TAPS Access, which worked with multiple subcontractors to provide the rides. But the handling of those subcontracts has recently come into question.