I 
113TH CONGRESS 
2D SESSION 
H. R. 5841 
To establish a grant program to provide States with funds to detect fraud, 
waste, and abuse in the State Medicaid programs under title XIX of 
the Social Security Act and to recover improper payments resulting 
from such fraud, waste, and abuse. 
IN THE HOUSE OF REPRESENTATIVES 
DECEMBER 10, 2014 
Mr. ISRAEL introduced the following bill; which was referred to the Committee 
on Energy and Commerce 
A BILL 
To establish a grant program to provide States with funds 
to detect fraud, waste, and abuse in the State Medicaid 
programs under title XIX of the Social Security Act 
and to recover improper payments resulting from such 
fraud, waste, and abuse. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Local Medicaid En-
forcement Incentives Act of 2014’’. 
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SEC. 2. GRANT PROGRAM TO PROVIDE STATES WITH 
FUNDS TO DETECT MEDICAID FRAUD, WASTE, 
AND ABUSE AND RECOVER CERTAIN IM-
PROPER PAYMENTS. 
(a) IN GENERAL.—The Secretary of Health and 
Human Services shall establish a program to award 
grants, subject to subsection (c), to States to establish or 
expand a program described in subsection (b). 
(b) MEDICAID FRAUD CONTROL PROGRAM.—For 
purposes of subsection (a), a program described in this 
subsection is a program that— 
(1) is administered by a State official with re-
sponsibility for controlling provider fraud and abuse 
under the State plan under title XIX of the Social 
Security Act (42 U.S.C. 1396 et seq.); 
(2) detects and prevents fraud, waste, and 
abuse with respect to payments made under such 
State plan or under any waiver of such plan ap-
proved under section 1115 of the Social Security Act 
(42 U.S.C. 1315); 
(3) identifies and recovers overpayments to in-
dividuals or entities receiving funds under such 
State plan or waiver resulting from such fraud, 
waste, or abuse; and 
(4) shares with localities within the State that 
assist in the detection and prevention under para-
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graph (2) or the identification and recovery under 
paragraph (3) at least 50 percent of the State’s 
share of the total amount of such funds so recovered 
during a period as overpayments under paragraph 
(3) minus any amount expended during such period 
on administrative costs to carry out the program. 
(c) FUNDING.— 
(1) AUTHORIZATION OF APPROPRIATIONS.—To 
carry out this section, there is authorized to be ap-
propriated to the Secretary of Health and Human 
Services $100,000,000 to remain available until ex-
pended. 
(2) LIMITATION.—Not more than 5 percent of 
the amount appropriated pursuant to paragraph (1) 
may be awarded to any State. 
(d) STATE DEFINED.—For purposes of this section, 
the term ‘‘State’’ has the meaning given such term for 
purposes of title XIX of the Social Security Act (42 U.S.C. 
1396 et seq.). 
Æ 
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