What would the HCBS Anti-Fraud Reporting Act require?

As described in the Sept. 29, 2026, House Energy and Commerce release, the bill sponsored by Rep. Bob Latta would require each state to submit an annual report to the HHS Secretary identifying fraud, waste, and abuse in services under 1915(c) HCBS waivers and the steps taken to prevent and address improper payments.

What other Medicaid integrity ideas are in the House package?

The committee listed 14 bills on data analytics for states, MFCU audit duties, EVV expansion to NEMT and ABA, higher state shares of fraud recoveries, whistleblower protections, annual fraud risk assessments, stronger Medicaid RAC rules, and provider screening against termination databases, among other items.

House package: HCBS Anti-Fraud Reporting Act among 14 bills

House Energy and Commerce Republicans on Sept. 29, 2026, unveiled 14 Medicaid integrity bills, including the HCBS Anti-Fraud Reporting Act. That bill would make states file annual 1915(c) waiver fraud, waste, and abuse reports to HHS.

policy · hcbs · fraud · congress · medicaid

Diliff, Wikimedia Commons, CC BY 2.5

Direct Support News desk · September 29, 2026 · Updated October 2, 2026 · 1 min read

House Energy and Commerce Republicans on Sept. 29, 2026, released a 14-bill “Continuing the Fight Against Fraud” package aimed at Medicaid and other federal health programs. One bill is written directly for HCBS: the HCBS Anti-Fraud Reporting Act of 2026, sponsored by Rep. Bob Latta (R-Ohio), according to the committee release.

That measure would require each state to send HHS an annual report identifying fraud, waste, and abuse in services under 1915(c) waivers and describing steps taken to prevent and address improper payments. Latta framed the bill as adding transparency while states keep flexibility to run HCBS.

What else is in the package

Other bills would put standardized data-analytics technology in state hands (SMART Act); require MFCUs to run annual audits of high-risk providers; expand electronic visit verification ideas to non-emergency medical transportation and ABA; let states keep more of the federal share of fraud recoveries if they reinvest in integrity work; create Medicaid whistleblower protections; require annual state fraud risk assessments and corrective plans; tighten Medicaid Recovery Audit Contractor rules, including managed care; and require screening against Medicare and other-state termination databases at enrollment and monthly afterward.

None of the bills are law yet. The release presents them as a committee agenda, not as enacted statute.

Why this matters for providers and DSPs

Annual HCBS fraud reporting would push states to document waiver integrity findings that can feed audits, EVV rules, and payment holds affecting provider agency cash flow. I/DD operators should watch which definitions of waste and abuse land in any final bill—and keep incident, staffing, and billing files ready for the same program-integrity pressure already familiar from MFCUs and state surveys.

Common questions

What would the HCBS Anti-Fraud Reporting Act require?: As described in the Sept. 29, 2026, House Energy and Commerce release, the bill sponsored by Rep. Bob Latta would require each state to submit an annual report to the HHS Secretary identifying fraud, waste, and abuse in services under 1915(c) HCBS waivers and the steps taken to prevent and address improper payments.
What other Medicaid integrity ideas are in the House package?: The committee listed 14 bills on data analytics for states, MFCU audit duties, EVV expansion to NEMT and ABA, higher state shares of fraud recoveries, whistleblower protections, annual fraud risk assessments, stronger Medicaid RAC rules, and provider screening against termination databases, among other items.