Stop Unfair Medicaid Recoveries Act

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6951 Introduced in House (IH)]

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119th CONGRESS
  2d Session
                                H. R. 6951

To amend title XIX of the Social Security Act to repeal the requirement 
 that States establish a Medicaid Estate Recovery Program and to limit 
   the circumstances in which a State may place a lien on a Medicaid 
                        beneficiary's property.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 6, 2026

Ms. Schakowsky (for herself, Ms. Barragan, Ms. Castor of Florida, Mrs. 
 Cherfilus-McCormick, Mr. Cohen, Mr. Doggett, Ms. Garcia of Texas, Mr. 
Goldman of New York, Ms. Norton, Ms. Kelly of Illinois, Ms. Matsui, Ms. 
 Ocasio-Cortez, Ms. Omar, Ms. Pingree, Mr. Quigley, Mrs. Ramirez, Ms. 
    Strickland, Mr. Tonko, Mrs. Trahan, and Ms. Wasserman Schultz) 
 introduced the following bill; which was referred to the Committee on 
                          Energy and Commerce

_______________________________________________________________________

                                 A BILL


 
To amend title XIX of the Social Security Act to repeal the requirement 
 that States establish a Medicaid Estate Recovery Program and to limit 
   the circumstances in which a State may place a lien on a Medicaid 
                        beneficiary's property.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Stop Unfair Medicaid Recoveries 
Act''.

SEC. 2. LIENS, ADJUSTMENTS, AND RECOVERIES FOR MEDICAL ASSISTANCE.

    (a) Liens.--Section 1917(a) of the Social Security Act (42 U.S.C. 
1396p(a)) is amended--
            (1) in paragraph (1)--
                    (A) in the matter preceding subparagraph (A), by 
                striking ``plan, except--'' and inserting ``plan, 
                except, subject to paragraph (4)--''; and
                    (B) in subparagraph (B), by striking ``in the case 
                of'' and inserting ``with respect to liens imposed 
                before the date of the enactment of the Stop Unfair 
                Medicaid Recoveries Act, in the case of''; and
            (2) by adding at the end the following:
    ``(4) Notwithstanding any preceding provision of this subsection, 
not later than 90 days after the date of the enactment of this 
paragraph, a State shall--
            ``(A) withdraw any lien imposed under paragraph (1)(B) that 
        is in effect as of such date; and
            ``(B) notify each individual (or legal representative of 
        such individual (or of such individual's estate)) subject to 
        such a lien so withdrawn of the withdrawal of such lien.''.
    (b) Adjustments and Recoveries.--Section 1917(b) of the Social 
Security Act (42 U.S.C. 1396p(b)) is amended--
            (1) in paragraph (1), by striking ``except that'' and 
        inserting ``except that, subject to paragraph (6),''; and
            (2) by adding at the end the following:
    ``(6) Notwithstanding any preceding provision of this subsection, 
no adjustment or recovery of any medical assistance correctly paid on 
behalf of an individual under the State plan may be initiated, 
maintained, or collected on or after the date of the enactment of this 
paragraph. Not later than 90 days after such date, a State shall--
            ``(A) withdraw any lien in effect as of such date with 
        respect to such medical assistance correctly paid; and
            ``(B) notify each individual (or legal representative of 
        such individual (or of such individual's estate)) subject to 
        such a lien so withdrawn of the withdrawal of such lien and the 
        prohibition on adjustment or recovery under this paragraph.''.
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