Putting an N to Learing about Fraud Act

Key Points

• Child care providers would only receive federal payments for children who actually attend their programs. Currently, some providers are paid based on how many kids are signed up, even if they do not show up. Providers would also have to keep attendance records for seven years so the government can check them for accuracy.
• The bill targets health care fraud by requiring officials to flag any zip code or county where Medicare, Medicaid, or Affordable Care Act spending doubles in a single year. It also tracks if the number of doctors or medical suppliers in a specific area suddenly doubles, which can be a sign of organized fraud.
• If the money spent or the number of providers in a specific area grows by 400% over five years, the government must conduct a full audit. These audits are designed to find out if the growth is legitimate or if people are stealing money from programs like Medicare and the Children's Health Insurance Program.
• Federal agencies would be required to follow new guidance to track down and recover any 'improper payments.' This includes money sent to the wrong person, the wrong amount of money, or payments used for the wrong reasons. Government watchdogs would have to report exactly how much of this money they successfully get back each year.

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