PATERSON — The United States Treasury has pulled back $445,000 in grants that had gone to the city for traffic safety and health services as the federal government claims it is recouping money Paterson owes for Medicare and Medicaid.
City officials said they were unaware of any money owed to the federal government until they received a collection notice on Feb. 27 saying Paterson had $675,240 in unpaid debt for the Retiree Drug Subsidy Program in the Centers for Medicare and Medicaid Services.
City officials said they are awaiting further explanation from the Treasury Department. Mayor Andre Sayegh referred questions about the situation to his finance director, Javier Silva…