The federal government says Alabama should repay almost $90 million in Medicaid funding.
A report from the Office of Inspector General says the federal government gave Alabama too much Medicaid bonus money in 2009 and 2010.
The report says that's because the state Medicaid agency used improper calculations to compute how many children participated in the program.
State Health Officer Don Williamson says the state agency made what he calls an "honest mistake" that resulted in the state's report being off by about 90,000 children.
Williamson says the state will hold negotiations to avoid having to repay the entire $88 million.
Williamson says he hopes to get the amount as low as possible but adds the state will likely have to repay at least some of the money.