When a doctor or medical provider bills the government for treating a federal worker's on-the-job injury under the Federal Employees' Compensation Act (FECA), the Department of Labor currently has limited authority to stop paying that provider even after a criminal fraud conviction. This bill lets the Secretary of Labor suspend payments to a medical provider who has been convicted of fraud connected to FECA, any other federal health care benefit program, or a similar state program. The Department must write regulations spelling out how the suspension process works, and the new authority applies to payments made starting 180 days after the bill becomes law. It affects medical providers who bill FECA for treating injured federal employees, giving the government a tool to stop sending payments to providers already found guilty of defrauding similar programs.
Transparency & Accountability
- Anti-fraud payment-suspension authority — Secretary of Labor may suspend FECA payments to medical providers convicted of fraud in federal or state health programs
Congressional Summary
Putting Patients First by Strengthening Provider Accountability in FECA ActThis bill explicitly authorizes the Department of Labor to suspend payments under the federal workers’ compensation program to certain providers convicted of fraud. (Current regulations establish various grounds for excluding a provider from payment under the program, including a conviction for fraudulent activity in connection with a federal or state medical benefit program.)Under the bill, Labor may suspend payments to a provider convicted of fraud related to the federal workers’ compensation program, a similar state program, or a federal health care benefit program (e.g., Medicare). Specifically, Labor may suspend (1) payments to such a provider for services, appliances, or supplies covered under the program; or (2) payments for certain initial expenses incurred by an employing agency with respect to such a provider.Labor must issue regulations to carry out these provisions.
Details
- Congress
- 119th
- Chamber
- House
- Status
- summarized
- Action
- Introduced in House
- Action Date
- 2026-05-14
- Date Added
- 2026-07-18
- Source
- Congress.gov →
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