Testimony on SB 2458 (Medicaid RAC Expansion) 4.8.25

TAHP urges caution on Senate Bill 2458, which expands Recovery Audit Contractor (RAC) authority into managed care without clear guardrails. Medicaid managed care organizations (MCOs) already conduct robust oversight, and duplicative audits by a statewide RAC risk confusion, increased costs, and diminished provider participation. Without targeted safeguards, the bill may incentivize broad, contingency fee-driven audits that disrupt care and inflate administrative costs. We respectfully request amendments to preserve MCO oversight during the first two years post-payment and ensure audits are cost-effective and non-redundant.

Click here to view TAHP’s testimony in response to SB 2458.

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