"They wont be cross matching on the fly, it would come as a CP2000 letter in the next 12-20 months."

I would skip it for now and during that delay, you hopefully get it resolved from the State. Until it is resolved through the provider, the IRS will consider it real, even if there also is an ID Theft reported for IRS purposes.

We got 2 mailings: the 1099-G and a follow up notification. I suppose that allows them to find out you didn't know about the G because it got sent to a different address.