[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 5250 Introduced in Senate (IS)]

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119th CONGRESS
  2d Session
                                S. 5250

   To amend title XVIII of the Social Security Act to decrease fraud 
  related to home health agencies in Medicare, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             August 5, 2026

  Ms. Collins introduced the following bill; which was read twice and 
                  referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
   To amend title XVIII of the Social Security Act to decrease fraud 
  related to home health agencies in Medicare, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Medicare Home 
Health Payment Integrity and Protection Act of 2026''.
    (b) Table of Contents.--

Sec. 1. Short title; Table of contents.
  TITLE I--HOME HEALTH PROGRAM INTEGRITY, ANTI-FRAUD, AND ENROLLMENT 
                                 REFORM

Sec. 101. Enhanced enrollment screening for home health agencies.
Sec. 102. Additional oversight provisions for home health agencies.
Sec. 103. Additional survey and training requirements for accreditation 
                            organizations.
         TITLE II--HOME HEALTH PAYMENT RESET AND DATA INTEGRITY

Sec. 201. Reset of standard prospective payment amount.
Sec. 202. Suspension of permanent and temporary adjustments.
Sec. 203. Conforming protection for benchmarks and value-based 
                            programs.
    TITLE III--REPORTS, RULEMAKING, PROGRAM INTEGRITY FUNDING, AND 
                             IMPLEMENTATION

Sec. 301. Report to Congress on home health payment data.
Sec. 302. Notice and comment rulemaking.
Sec. 303. Program integrity funding.
Sec. 304. Department of Justice and Office of Inspector General 
                            enforcement funding.
Sec. 305. State survey agency funding.
Sec. 306. Rule of construction regarding existing fraud authorities.

  TITLE I--HOME HEALTH PROGRAM INTEGRITY, ANTI-FRAUD, AND ENROLLMENT 
                                 REFORM

SEC. 101. ENHANCED ENROLLMENT SCREENING FOR HOME HEALTH AGENCIES.

    Section 1866(j)(2) of the Social Security Act (42 U.S.C. 
1395cc(j)(2)) is amended--
            (1) in subparagraph (B)--
                    (A) in clause (i), by striking ``and'' at the end;
                    (B) in clause (ii)(V), by striking the period at 
                the end and inserting ``; and''; and
                    (C) by adding at the end the following new clause:
                            ``(iii) beginning 1 year after the date of 
                        enactment of this clause, in the case of a home 
                        health agency applying for enrollment under 
                        this title that is at an extreme risk of fraud 
                        (as determined under subparagraph (G)), shall, 
                        in addition to any other screening required 
                        under this subparagraph--
                                    ``(I) in the case where 
                                fingerprinting is included in such 
                                screening with respect to home health 
                                agencies pursuant to clause (ii)(II), 
                                require fingerprinting of the 
                                administrator of such home health 
                                agency; and
                                    ``(II) require obtaining evidence 
                                that such home health agency has a 
                                comprehensive liability insurance 
                                policy, as determined by the 
                                Secretary.''; and
            (2) by adding at the end the following new subparagraph:
                    ``(G) Home health agencies at extreme risk of 
                fraud.--
                            ``(i) In general.--Beginning 1 year after 
                        the date of enactment of this subparagraph, for 
                        purposes of subparagraph (B)(iii), the 
                        Secretary shall determine whether a home health 
                        agency is at an extreme risk of fraud based 
                        on--
                                    ``(I) the determination made under 
                                clause (ii); and
                                    ``(II) such other factors as the 
                                Secretary may specify.
                            ``(ii) Determination of high-risk areas.--
                        For purposes of clause (i), the Secretary shall 
                        determine whether a home health agency is 
                        located in a State or county with respect to 
                        which, during the most recent year for which 
                        data is available, the total number of home 
                        health agencies located in such State or county 
                        significantly exceeded the total number of such 
                        agencies located in such State or county during 
                        the preceding year.''.

SEC. 102. ADDITIONAL OVERSIGHT PROVISIONS FOR HOME HEALTH AGENCIES.

    (a) Increased Survey Frequency for Certain Home Health Agencies.--
Section 1891(c)(2)(B) of the Social Security Act (42 U.S.C. 
1395bbb(c)(2)(B)) is amended--
            (1) in clause (ii), by striking the period at the end and 
        inserting a semicolon;
            (2) by redesignating clauses (i) and (ii) as subclauses (I) 
        and (II), respectively, and adjusting the margins accordingly;
            (3) by striking ``subparagraph (A), a standard survey'' and 
        inserting the following: ``subparagraph (A)--''
                            ``(i) a standard survey''; and
            (4) by adding at the end the following new clauses:
                            ``(ii) beginning 1 year after the date of 
                        enactment of this clause, in the case where an 
                        agency is newly enrolled under this title, has 
                        undergone a change of ownership (as defined by 
                        the Secretary), or has reactivated billing 
                        privileges under this title in accordance with 
                        section 424.540(b) of title 42, Code of Federal 
                        Regulations (or a successor regulation), a 
                        standard survey of such agency shall be 
                        conducted not less frequently than once every 
                        12 months during the 36-month period 
                        immediately following such enrollment, change 
                        of ownership, or reactivation of billing 
                        privileges; and
                            ``(iii) beginning 1 year after the date of 
                        enactment of this clause, a standard survey of 
                        an agency shall be conducted--
                                    ``(I) in the case where the agency 
                                does not submit quality data to the 
                                Secretary in accordance with subclauses 
                                (II) and (IV) of section 
                                1895(b)(3)(B)(v) for the most recent 
                                year for which data is available (as 
                                determined by the Secretary), not later 
                                than 18 months after the date on which 
                                the most recent such survey was 
                                conducted with respect to such agency; 
                                and
                                    ``(II) in the case where the agency 
                                has a beneficiary admission rate that 
                                is aberrant compared to peers (as 
                                determined by the Secretary) or 
                                otherwise displays characteristics or 
                                engages in practices that may indicate 
                                fraudulent or aberrant behavior (as 
                                specified by the Secretary after 
                                consultation with stakeholders, such as 
                                beneficiary advocates and 
                                representatives of the home health 
                                industry, and the Inspector General of 
                                the Department of Health and Human 
                                Services, and updated as necessary 
                                after additional consultation with such 
                                stakeholders not less often than once 
                                every 3 years), not later than 18 
                                months after the date on which the most 
                                recent such survey was conducted with 
                                respect to such agency,
                        except that an agency shall not be subject to 
                        more than 1 survey under this clause within any 
                        18-month period.''.
    (b) Payment Adjustment if Quality Data Not Submitted.--Section 
1895(b)(3)(B)(v) of the Social Security Act (42 U.S.C. 
1395fff(b)(3)(B)(v)) is amended--
            (1) in subclause (I), in the first sentence, by inserting 
        the following before the period: ``for years before 2029, and 
        by 15 percentage points for 2029 and subsequent years'';
            (2) in subclause (II), by adding at the end the following 
        new sentence: ``For 2029 and each subsequent year, in 
        specifying a time for the submission of such data pursuant to 
        the previous sentence, the Secretary shall establish a process 
        under which any home health agency that has demonstrated a good 
        faith effort to submit such data by such time may be granted 
        additional time (not to exceed 30 days) to complete such 
        submission.''; and
            (3) in subclause (IV)(cc), by adding at the end the 
        following new sentence: ``For 2029 and each subsequent year, in 
        specifying a time for the submission of such data pursuant to 
        the previous sentence, the Secretary shall establish a process 
        under which any home health agency that has demonstrated a good 
        faith effort to submit such data by such time may be granted 
        additional time (not to exceed 30 days) to complete such 
        submission.''.

SEC. 103. ADDITIONAL SURVEY AND TRAINING REQUIREMENTS FOR ACCREDITATION 
              ORGANIZATIONS.

    Section 1865 of the Social Security Act (42 U.S.C. 1395bb) is 
amended--
            (1) in subsection (a)(2)--
                    (A) by striking ``In making'' and inserting the 
                following: ``(A) In making''; and
                    (B) by adding at the end the following new 
                subparagraph:
            ``(B)(i) Beginning 1 year after the date of enactment of 
        this subparagraph, the Secretary may not approve a request for 
        a finding under paragraph (1) with respect to a national 
        accreditation body unless the survey procedures of such 
        accreditation body--
                    ``(I) met or exceeded the standards applicable to 
                the survey procedures that State and local agencies 
                that have entered into an agreement with the Secretary 
                under section 1864(a) are required to use; and
                    ``(II) require surveyors to complete the relevant 
                basic surveyor training courses offered by the Centers 
                for Medicare & Medicaid Services before serving as a 
                member of a survey team.
            ``(ii) The Secretary may only continue to give effect to 
        any such finding made prior to the date that is 1 year after 
        the date of enactment of this subparagraph with respect to a 
        national accreditation body with respect to the accreditation 
        of home health agencies if the Secretary determines before such 
        date that the survey procedures of such accreditation body meet 
        the conditions described in clause (i).''; and
            (2) by adding at the end the following new subsection:
    ``(f) Accreditation for Home Health Agencies.--
            ``(1) Not later than 1 year after the date of enactment of 
        this subsection, the Secretary shall establish and implement a 
        mechanism for periodically assessing the performance of an 
        accreditation body that has received approval from the 
        Secretary under subsection (a)(3)(A) for accreditation of home 
        health agencies.
            ``(2) In the case that the Secretary finds, pursuant to the 
        mechanism established under paragraph (1), that the performance 
        of such accreditation body is deficient, the Secretary shall 
        provide for an appropriate remedy, which may include the 
        imposition of a corrective action plan, ongoing monitoring of 
        the accreditation body, and the termination of such approval 
        with respect to the accreditation body for accreditation of 
        home health agencies.''.

         TITLE II--HOME HEALTH PAYMENT RESET AND DATA INTEGRITY

SEC. 201. RESET OF STANDARD PROSPECTIVE PAYMENT AMOUNT.

    Reset of Standard Prospective Payment Amount.--Section 
1895(b)(3)(A) of the Social Security Act (42 U.S.C. 1395fff(b)(3)(A)) 
is amended--
            (1) in clause (i), in the matter preceding subclause (I), 
        by striking ``Under such system'' and inserting ``Subject to 
        clause (v), under such system'';
            (2) in clause (iii)--
                    (A) in the heading, by striking ``and subsequent 
                years'' and inserting ``through 2026''; and
                    (B) in subclause (I), by striking ``and subsequent 
                years'' and inserting ``through 2026''; and
            (3) by adding at the end the following new clause:
                            ``(v) Basis for 2027 and subsequent 
                        years.--With respect to payments for home 
                        health units of service furnished during 2027 
                        or a subsequent year, the standard prospective 
                        payment amount shall be--
                                    ``(I) for 2027, $2382.87; and
                                    ``(II) for 2028 and each subsequent 
                                year, the amount determined under this 
                                clause for the preceding year, updated 
                                under subparagraph (B).''.

SEC. 202. SUSPENSION OF PERMANENT AND TEMPORARY ADJUSTMENTS.

    Section 1895(b)(3)(D) of the Social Security Act (42 U.S.C. 
1395fff(b)(3)(D)) is amended--
            (1) in clause (i), by striking ``The Secretary'' and 
        inserting ``Subject to clause (iv), the Secretary''; and
            (2) by adding at the end the following new clause:
                            ``(iv) Suspension of permanent and 
                        temporary adjustments for 2020 and subsequent 
                        years.--Notwithstanding any other provision of 
                        law, for 2027 and subsequent years, for 
                        purposes of making any adjustment under this 
                        subparagraph, the Secretary shall not impose 
                        any adjustment under clause (ii) or (iii) to 
                        offset increases or decreases in estimated 
                        expenditures attributable to the difference in 
                        assumed versus actual behavioral changes due to 
                        the implementation of the Patient-Driven 
                        Groupings Model as described in the final rule 
                        entitled `Medicare and Medicaid Programs; CY 
                        2020 Home Health Prospective Payment System 
                        Rate Update; Home Health Value-Based Purchasing 
                        Model; Home Health Quality Reporting 
                        Requirements; and Home Infusion Therapy 
                        Requirements' published in the Federal Register 
                        on November 9, 2019 (84 Fed. Reg. 60478).''.

SEC. 203. CONFORMING PROTECTION FOR BENCHMARKS AND VALUE-BASED 
              PROGRAMS.

    Section 1895 of the Social Security Act (42 U.S.C. 1395fff), is 
amended by adding at the end the following new subsection:
    ``(f) Conforming Protection for Benchmarks and Value-Based 
Programs.--
            ``(1) In general.--For 2027 and each subsequent year, in 
        order to ensure that fraudulent and suspected fraudulent 
        entities do not impact benchmarks or the application of any 
        quality, value-based, or benchmarked adjustments for legitimate 
        providers of home health services, the Secretary shall exclude 
        or adjust for suspect claims when computing any such 
        adjustments to payments to home health agencies under this 
        section.
            ``(2) Suspect claim defined.--In this subsection, the term 
        `suspect claim' means any claim for home health services 
        submitted under this title that the Secretary determines 
        contains unreliable data or data from a provider that may have 
        engaged in fraud, waste, or abuse.''.

    TITLE III--REPORTS, RULEMAKING, PROGRAM INTEGRITY FUNDING, AND 
                             IMPLEMENTATION

SEC. 301. REPORT TO CONGRESS ON HOME HEALTH PAYMENT DATA.

    Not later than 180 days after the date of enactment of this Act, 
the Secretary of Health and Human Services shall submit to Congress a 
report--
            (1) identifying the degree to which suspect claims and cost 
        reports influenced payments made to home health agencies under 
        section 1895 of the Social Security Act (42 U.S.C. 1395fff) 
        after 2020;
            (2) analyzing the effect of excluding suspect claims (as 
        defined in subsection (f) of such section 1895) from the 
        calculation of payment rates, case-mix weights, behavioral 
        assumptions, and adjustments under such section 1895; and
            (3) including recommendations for permanent data-integrity 
        safeguards for home health agencies to prevent the inclusion 
        and application of utilization, cost, and payment data from 
        home health agencies that the Secretary determines are at risk 
        of providing unreliable and inaccurate data.

SEC. 302. NOTICE AND COMMENT RULEMAKING.

    The Secretary of Health and Human Services shall implement the 
amendments made by titles I and II of this Act through notice and 
comment rulemaking under section 553 of title 5, United States Code.

SEC. 303. PROGRAM INTEGRITY FUNDING.

    In addition to any other funds otherwise available, there are 
appropriated to the Centers for Medicare & Medicaid Services, out of 
any amounts in the Treasury not otherwise appropriated, $300,000,000 
for fiscal years 2027 through 2031 for the implementation of the 
amendments made by sections 101, 102, and 103.

SEC. 304. DEPARTMENT OF JUSTICE AND OFFICE OF INSPECTOR GENERAL 
              ENFORCEMENT FUNDING.

    In addition to any other funds otherwise available, there are 
appropriated to the Department of Justice and the Office of Inspector 
General of the Department of Health and Human Services, out of any 
amounts in the Treasury not otherwise appropriated, $150,000,000 for 
fiscal years 2027 through 2031 for investigation of organized home 
health fraud schemes, forensic accounting, interstate fraud 
investigations, prosecution of Medicare fraud, and coordination with 
Federal law enforcement agencies.

SEC. 305. STATE SURVEY AGENCY FUNDING.

    In addition to any other funds otherwise available, there are 
appropriated to the Centers for Medicare & Medicaid Services, out of 
any amounts in the Treasury not otherwise appropriated, $100,000,000 
for fiscal years 2027 through 2031 to support State survey agency 
activities relating to conducting accelerated surveys, enrollment 
validation, unannounced site visits, and operational verification of 
home health agencies.

SEC. 306. RULE OF CONSTRUCTION REGARDING EXISTING FRAUD AUTHORITIES.

    Nothing in the provisions of, or amendments made by, this Act shall 
be construed to limit the authority of the Secretary of Health and 
Human Services to suspend payments to home health agencies under title 
XVIII of the Social Security Act (42 U.S.C. 1395 et seq.), revoke 
enrollment or impose a moratorium on the enrollment of such agencies 
under such title, conduct site visits of such agencies, audit such 
agencies, or exclude or deny payment for suspect claims for home health 
services under such title.
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