To implement recommendations of the Comptroller General of the United States for improving the Medicaid Recovery Audit Contractor program and identifying additional opportunities to recover Medicaid overpayments, and for other purposes.
About This Bill
Committee
Latest Action · June 24, 2026
Referred to the House Committee on Energy and Commerce.
This bill improves the Medicaid Recovery Audit Contractor (RAC) program, which identifies and recovers overpayments to healthcare providers in the Medicaid system. The legislation requires the Centers for Medicare and Medicaid Services (CMS) to establish clearer oversight policies, monitor state exceptions to RAC requirements, and ensure states with RAC exceptions receive approval extensions only through 2029. States must now include Medicaid managed care organizations in their RAC programs by January 1, 2028, and submit annual reports on their payment integrity efforts. The bill also requires CMS to study barriers preventing states from participating in RAC programs and conduct a five-year demonstration project to increase participation, with a report to Congress by one year after enactment and a final report within 180 days of the demonstration ending. Recovery audit contractors will have expanded authority to review claims dating back four fiscal years rather than shorter lookback periods, allowing them to identify and recover more overpayments.
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