Health Care: Harder Introduces Bipartisan Bill to Protect Patients and Providers from Shady Contractors

WASHINGTON – Today, Rep. Josh Harder (CA-09) announced bipartisan legislation to protect patients and providers from shady contractors that withhold funding in health care claim reviews. Led with Rep. Young Kim (CA-40), Harder’s Contractors Accountability and Transparency (CAT) Act would ensure strong oversight of our health care institutions while stopping third-party contractors from disrupting access to care or forcing legitimate businesses under a mountain of bureaucracy.

Medicare uses a network of third-party contractors to carry out program integrity audits and claims reviews. These reviews are intended to safeguard taxpayer dollars, but suppliers across the country report that vague documentation requests, inconsistent standards, and long delays in reimbursement have created significant challenges. These problems can disrupt care for Medicare beneficiaries and strain small and mid-sized businesses that depend on predictable cash flow and clear rules to operate. 

“Contractors are supposed to be protecting patients and taxpayers, not creating avoidable obstacles for the legitimate providers our communities depend on,” said Rep. Harder. “The CAT Act makes the audit process clear and predictable for providers, cuts out disruptions to patients, and stops bad actors from messing with our health care. That’s how it's supposed to work.”

The CAT Act sets clearer performance expectations for Medicare's auditing contractors, improves communication requirements, and increases transparency throughout the audit process. That ensures a more consistent system that allows suppliers to plan, grow, and invest in their businesses while maintaining strong program integrity. 

“Pacific Medical supports thousands of patients and a large workforce across California and the western United States,” said Mark Weaver, General Counsel for Pacific Medical. “Unpredictable Medicare audits and delayed reimbursements strain our operations, disrupt patient care, and limit our ability to grow and plan for the future. We appreciate Representatives Harder and Kim for their leadership in introducing the CAT Act and for advancing needed reforms that bring greater transparency and accountability to the audit process.”

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