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Committee approves cleanup to align state false-claims law with federal rules, aiming to increase recoveries

3150740 · April 29, 2025
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Summary

HB 560, a proposal to align Louisiana’s civil false-claims law with federal standards, was reported with technical amendments. Supporters said the changes are intended to secure an additional 10% of federal share on Medicaid recoveries by meeting federal Deficit Reduction Act (DRA) compliance. Attorney general and Medicaid-fraud staff briefed the

The committee reported House Bill 560 with amendments after the sponsor described the measure as a technical cleanup to bring Louisiana's state false-claims provisions into alignment with the federal False Claims Act and the federal Deficit Reduction Act (DRA) of 2005.

Representative Egan said the bill is designed to ensure the state's statute is "as effective as" the federal False Claims Act so Louisiana can retain an additional 10% of the federal share of recoveries for Medicaid-related false-claims recoveries. Matthew Stafford, director of the attorney general's Medicaid Fraud Control Unit, testified he worked with the attorney general's office and the Office of Inspector General to make the statutory language consistent with federal requirements and said the amendments were largely technical.

Committee members asked about removing some definitions that staff described as overly restrictive and about the bill's civil (rather than criminal) prosecution track; witnesses explained criminal Medicaid-fraud statutes remain and this bill concerns civil false-claims remedies. The proposed amendments clarified definitions, altered which state entity receives certain information to qualify for reduced damages, and removed outdated definitions.

No opposition was recorded and the bill was reported with the adopted amendment sets.