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The Health Reform Law Section-By-Section
Expansion of the Recovery Audit Contractor (RAC) Program
Section 6411 of the Affordable Care Act
Read the statutory language applicable to this section
Medicare Recovery Audit Contractors (RACs) are private entities
with which CMS contracts to identify
and collect improper payments made in
Medicare’s fee-for-service program.
Medicare RACs are pad on a contingency
fee rate ranging between 9 and 12 percent of the amount collected.
The Affordable Care Act expanded the RAC program to Medicaid and requires the states Act to require States
to establish programs by December 31,
2010, to contract with 1 or more
Medicaid RACs to audit Medicaid
claims and to identify underpayments
and overpayments. States must fully
implement their Medicaid RAC
programs by April 1, 2011.
Final RAC Expansion Rules
Final rules published September 16, 2011 to implement section 6411: Expansion of the Recovery Audit Contractor Program.
Effective Date: January 1, 2012