The Trump Administration is claiming North Carolina owes the federal government $41 million because of Medicaid errors. The state begs to differ.

The U.S. Department of Health and Human Services released a report Thursday detailing the charges.

According to the News and Observer, the report says that errors by state workers processing Medicaid claims led to nearly $63 million in improper Medicaid payments.

The federal government covered roughly $41 million of those payments, and now wants North Carolina to pay it back.

The state disagrees with the findings, and there are no current plans to return that money.

The processing errors took place under the watch of Democratic Gov. Beverly Perdue and Republican Governor Pat McCrory.

North Carolina officials say that the procedures for federal compliance were corrected in 2013.

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