( CNN ) -- California Gov . Jerry Brown has proposed millions of dollars in additional funding to crack down on abuses in the state 's drug rehab program as a result of an investigation by CNN and The Center for Investigative Reporting . The governor 's budget summary specifies additional government oversight needed to run the Drug Medi-Cal program . `` The budget proposes 21 positions and $ 2.2 million ... to continue the state 's intensive focus on program integrity and expansion of drug treatment services by recertifying all providers in the state , '' says the budget summary , which was released Thursday . CIR : Medi-Cal to overhal rehab program . The yearlong investigation by CNN and The Center for Investigative Reporting -- which culminated in reports in July on CNN.com and on CNN 's `` AC360ยบ '' television program -- revealed widespread fraud in the drug rehab program , which is part of the largest Medicaid system in the United States . The investigation revealed that convicted felons were operating clinics in violation of the law , clinics charged taxpayers for `` ghost '' patients and teens had been taken from their group homes for drug rehab even though they had no drug problems . Regulators who could have stopped the fraud allowed it to continue , despite warnings that the system was being abused , the series found . The investigation prompted a swift and strong reaction from the state . A total of 177 clinic sites have been suspended and 69 referred to the state 's Department of Justice for potential criminal prosecution . The head of the program publicly apologized for the fraud before a legislative oversight hearing in September . `` Due to concerns about program integrity in the Drug Medi-Cal program , DHCS ( the California Department of Health Care Services ) took steps in July 2013 to eliminate fraud and abuse in the program . ... DHCS has conducted a review of internal operations to improve oversight and monitoring of drug treatment programs , and has improved coordination with counties to ensure appropriate monitoring and recertification of all drug treatment providers , '' according to the budget summary . State Sen. Ted Lieu , D-Torrance , chairman of the Senate Business , Professions and Professional Development Committee , said , `` I am pleased the governor is proposing additional positions and funding to fight fraud in the Drug Medi-Cal program . We will analyze his proposal during the budget process to see if it is sufficient , but it is a good start . '' DHCS spokesman Norman Williams said the money will allow the department to add a wide variety of new positions to scrutinize individual clinics and the department 's own procedures . Some staffers will comb through applications from rehab clinics to be recertified by the state -- a new requirement prompted by the series . Others will analyze data to make sure clinic billing matches the services provided , examine the department 's policies and make recommendations for improvement . `` These are positions that will make the ( Drug Medi-Cal ) program stronger , '' Williams said . `` This amount gives us the support necessary to continue our efforts ... in a way that we will ultimately be able to improve the integrity of the program . '' Of the $ 2.2 million , half will come from the state 's general fund , and the rest will be matched with federal funds . All of the clinics featured in the CNN/CIR investigation have either closed on their own or have shut down after being suspended by the state . George Ilouno , one of the clinic operators who continued to stay open despite being out on bail on charges of Medi-Cal fraud and grand theft , pleaded guilty to Drug Medi-Cal fraud in September . He received a one-year suspended jail sentence , three years ' probation , paid $ 90,000 in restitution to the state and must perform 60 days of community service . Will Evans and Christina Jewett with The Center for Investigative Reporting contributed to this report .
In July , CNN and CIR reported widespread fraud in California 's drug rehab program . The report said that the state had paid out more than $900 million to people who were never enrolled in treatment or rehabilitation programs. All of the clinics featured in the report have shut down . Now , California 's governor wants to increase oversight of the program .