I 
119TH CONGRESS 
1ST SESSION H. R. 3483 
To amend title 38, to direct the Secretary of Veterans Affairs to use an 
information technology system to detect fraud, waste, and abuse regard-
ing claims for payment submitted to the Secretary under the Veterans 
Community Care Program. 
IN THE HOUSE OF REPRESENTATIVES 
MAY 19, 2025 
Mr. BARRETT introduced the following bill; which was referred to the 
Committee on Veterans’ Affairs 
A BILL 
To amend title 38, to direct the Secretary of Veterans Affairs 
to use an information technology system to detect fraud, 
waste, and abuse regarding claims for payment sub-
mitted to the Secretary under the Veterans Community 
Care Program. 
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 ‘‘Forcing Real Account-
ability for Unlawful Distributions Act of 2025’’ or the 
‘‘FRAUD Act of 2025’’. 
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SEC. 2. INFORMATION TECHNOLOGY SYSTEM TO DETECT 
FRAUD, WASTE, AND ABUSE CLAIMS UNDER 
THE 
VETERANS 
COMMUNITY 
CARE 
PRO-
GRAM. 
(a) IN GENERAL.—Subsection (f) of section 1703D 
of title 38, United States Code, is amended— 
(1) in paragraph (1)— 
(A) by striking ‘‘paragraph (1)’’ each place 
it appears and inserting ‘‘subparagraph (A)’’; 
(B) by inserting ‘‘(A)’’ before ‘‘The Sec-
retary’’; and 
(C) by redesignating paragraphs (2) and 
(3) as subparagraphs (B) and (C), respectively; 
and 
(2) by adding at the end the following new 
paragraph: 
‘‘(2)(A) The Secretary shall use an information tech-
nology system to— 
‘‘(i) analyze a claim submitted to the Sec-
retary— 
‘‘(I) by a health care entity or provider 
that furnishes hospital care, medical services, or 
extended care services under this chapter; and 
‘‘(II) through the health care claims enter-
prise solution 
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‘‘(ii) detect whether such claim is a fraudulent 
claim, an overpayment, or other fraud, waste, or 
abuse. 
‘‘(B) The information technology system under this 
paragraph shall include the following functions: 
‘‘(i) Continuous monitoring of claims to detect 
patterns that may indicate fraud, waste, or abuse. 
‘‘(ii) Analysis of historical and real-time claims 
data to identify and predict potential fraudulent 
claims. 
‘‘(iii) Ready-made analytic models to identify 
and analyze fraudulent claims. 
‘‘(iv) Post-payment analysis for overuse of serv-
ices or other practices that create unnecessary costs 
to the Department. 
‘‘(v) Integration with existing claims processing 
systems and technologies of the Department. 
‘‘(vi) Logging, storage, analysis, and reports re-
garding the nature, frequency, and financial impact 
of detected fraudulent claims. 
‘‘(vii) Identification of, and machine learning 
that is based on, patterns of fraudulent claims in 
order to reduce false positives and predict new forms 
of fraud. 
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‘‘(viii) Updates to detect new models of fraud, 
waste and abuse. 
‘‘(ix) Any other function determined necessary 
by the Secretary. 
‘‘(C) To carry out this paragraph, the Secretary shall 
use funds from the Department of Veterans Affairs fran-
chise fund established under title I of Public Law 104– 
204 (38 U.S.C. 301 note). 
‘‘(D) Not later than two years after the date of the 
enactment of the FRAUD Act of 2025 and annually there-
after through the day described in subparagraph (E), the 
Secretary shall submit to the Committees on Veterans’ Af-
fairs of the Senate and House of Representatives a report 
regarding the operation of such information technology 
system during the preceding year. Each such report shall 
include the following elements: 
‘‘(i) The effectiveness of the information tech-
nology system in performing the functions described 
in subparagraph (B). 
‘‘(ii) The estimated savings to the Department 
arising from the use of the information technology 
system. 
‘‘(iii) Any plans to enhance, modify, or add new 
capabilities to the information technology system. 
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‘‘(E) This paragraph shall cease to be effective on 
the day that is seven years after the date of the enactment 
of the FRAUD Act of 2025. 
‘‘(F) In this paragraph: 
‘‘(i) The term ‘Community Care Network’ 
means a network established under section 1703(h) 
of this title. 
‘‘(ii) The term ‘health care claims enterprise so-
lution’ means the information technology used by 
the Secretary to process a claim submitted under 
this chapter by a health care entity or provider that 
is not part of a Community Care Network.’’. 
(b) IMPLEMENTATION DATE.—The Secretary shall 
carry out the amendments made by this section not later 
than one year after the date of the enactment of this Act. 
Æ 
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