[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3483 Reported in House (RH)]

<DOC>





                                                 Union Calendar No. 300
119th CONGRESS
  1st Session
                                H. R. 3483

                          [Report No. 119-348]

 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 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

                            October 21, 2025

                  Additional sponsor: Mr. Haridopolos

                            October 21, 2025

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]
[For text of introduced bill, see copy of bill as introduced on May 19, 
                                 2025]


_______________________________________________________________________

                                 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 submitted to the Secretary under the 
                    Veterans Community Care Program.


 


    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 ``Forcing Real Accountability for 
Unlawful Distributions Act of 2025'' or the ``FRAUD Act of 2025''.

SEC. 2. DETECTION OF FRAUD, WASTE, AND ABUSE IN PROGRAMS OF THE 
              VETERANS HEALTH ADMINISTRATION.

    (a) In General.--Subchapter I of chapter 17 of title 38, United 
States Code, is amended by inserting after section 1706A the following 
new section (and amending the table of sections at the beginning of 
such chapter accordingly):
``Sec. 1706B. Management of health care: detection of fraud, waste, and 
              abuse
    ``(a) In General.--To detect fraud, waste, and abuse in programs of 
the Veterans Health Administration, the Secretary shall use processes 
and systems, including the information technology system described in 
subsection (b), to--
            ``(1) analyze a claim submitted to the Secretary by a 
        health care entity or provider that furnishes hospital care, 
        medical services, or extended care services under this chapter; 
        and
            ``(2) reanalyze a claim, described in paragraph (1) that 
        the Secretary determines may be fraudulent, after paying such 
        claim.
    ``(b) Information Technology System.--The information technology 
system described in this subsection shall include the following 
functions:
            ``(1) Continuous monitoring of claims to detect patterns 
        that may indicate fraud, waste, or abuse.
            ``(2) Analysis of historical and real-time claims data to 
        identify and predict potential fraudulent claims.
            ``(3) Ready-made analytic models to identify and analyze 
        fraudulent claims.
            ``(4) Post-payment analysis for overuse of services or 
        other practices that create unnecessary costs to the 
        Department.
            ``(5) Integration with existing claims processing systems 
        and technologies of the Department.
            ``(6) Logging, storage, analysis, and reports regarding the 
        nature, frequency, and financial impact of detected fraudulent 
        claims.
            ``(7) 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.
            ``(8) Updates to detect new models of fraud, waste and 
        abuse.
            ``(9) Any other function determined necessary by the 
        Secretary.
    ``(c) Use of Franchise Fund.--To carry out this section, the 
Secretary shall use funds from the Department of Veterans Affairs 
franchise fund established under title I of Public Law 104-204 (38 
U.S.C. 301 note).
    ``(d) Report.--Not later than two years after the date of the 
enactment of the FRAUD Act of 2025, and annually thereafter for five 
additional years, the Secretary shall submit to the Committees on 
Veterans' Affairs of the Senate and House of Representatives a report 
regarding the operation of the processes and systems under subsection 
(a) during the preceding year. Each such report shall include the 
determination of the Secretary regarding the following elements:
            ``(1) The effectiveness of such processes and systems in 
        detecting fraud, waste, and abuse described in subsection (a).
            ``(2) The estimated savings to the Department arising from 
        the use of such processes and systems.
            ``(3) Any plans to enhance, modify, or add new capabilities 
        to such processes and systems.''.
    (b) Implementation Date.--The Secretary of Veterans Affairs shall 
carry out section 1706B of such title, as added by subsection (a), not 
later than one year after the date of the enactment of this Act.

SEC. 3. EXTENSION OF CERTAIN LIMITS ON PAYMENT OF PENSION.

    Section 5503(d)(7) of title 38, United States Code, is amended by 
striking ``November 30, 2031'' and inserting ``January 30, 2034''.
                                                 Union Calendar No. 300

119th CONGRESS

  1st Session

                               H. R. 3483

                          [Report No. 119-348]

_______________________________________________________________________

                                 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 submitted to the Secretary under the 
                    Veterans Community Care Program.

_______________________________________________________________________

                            October 21, 2025

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed