H.R. 5347House119th Congress (2025-2027)Passed House

Health Care Efficiency Through Flexibility Act

Introduced September 15, 2025

AI-Generated Summary

Updated July 1, 2026 at 3:52 AM UTC

The Health Care Efficiency Through Flexibility Act updates the Medicare Shared Savings Program rules so ACOs have specific electronic and other collection methods for reporting quality data from 2025 through 2029. It also creates a pilot to test a new digital reporting system for selected ACOs from 2028 to 2032, with technical assistance and a requirement to report the pilot’s results. Funding is provided to support these changes, and a small correction is made to the Medicare Improvement Fund amount.

Key Provisions

  • For the 2025‑2029 performance years, the Health and Human Services Secretary must make three types of quality‑measure collection methods available to Accountable Care Organizations (ACOs) in the Medicare Shared Savings Program: electronic clinical quality measures, MIPS clinical quality measures, and Medicare Clinical Quality Measures for ACOs.
  • The rule clarifies that an ACO’s data won’t be deemed unrepresentative just because it’s missing information from one or more ACO participants, as long as the ACO meets overall data‑completeness standards and can show the missing participant couldn’t provide the data using the chosen collection method.
  • A pilot program is created for the 2028‑2032 performance years. The Secretary will select ACOs that apply to test a new “digital quality measure” reporting method, require them to report only two specific measures through that method, and will not count those pilot data toward the ACO’s quality‑performance scores.
  • The Secretary must give technical help to pilot participants and publish an analysis of the pilot, recommendations for broader use, and a timeline for making the digital method required, by Dec. 31, 2032.
  • An $8 million appropriation for FY 2026 is set aside to fund the implementation of these changes, and the Medicare Improvement Fund’s authorized amount is adjusted slightly from $2.062 billion to $2.054 billion.

Legislative Activity

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15 earlier actions
SenateIntro Referral Latest Action

Received in the Senate and Read twice and referred to the Committee on Finance.

July 13, 2026

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HouseIntro Referral

Introduced in House

September 15, 2025

HouseCommittee

Referred to the Subcommittee on Health.

September 15, 2025

HouseIntro Referral

Referred to the Committee on Ways and Means, and in addition to the Committee on Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

September 15, 2025

HouseCommittee

Committee Consideration and Mark-up Session Held

September 17, 2025

HouseCommittee

Ordered to be Reported in the Nature of a Substitute (Amended) by the Yeas and Nays: 43 - 0.

September 17, 2025

HouseCommittee

Subcommittee Consideration and Mark-up Session Held

May 13, 2026

HouseCommittee

Forwarded by Subcommittee to Full Committee (Amended) by Voice Vote.

May 13, 2026

HouseCommittee

Committee Consideration and Mark-up Session Held

May 21, 2026

HouseCommittee

Ordered to be Reported by the Yeas and Nays: 44 - 0.

May 21, 2026

HouseFloor

Mr. Smith (MO) moved to suspend the rules and pass the bill, as amended.

June 29, 2026 • 2:46 PM

HouseFloor

Considered under suspension of the rules. (consideration: CR H4272-4273)

June 29, 2026 • 2:46 PM

HouseFloor

DEBATE - The House proceeded with forty minutes of debate on H.R. 5347.

June 29, 2026 • 2:46 PM

HouseFloor

Passed/agreed to in House: On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote. (text: CR H4272)

June 29, 2026 • 2:57 PM

HouseFloor

On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote. (text: CR H4272)

June 29, 2026 • 2:57 PM

HouseFloor

Motion to reconsider laid on the table Agreed to without objection.

June 29, 2026 • 2:57 PM

SenateIntro Referral

Received in the Senate and Read twice and referred to the Committee on Finance.

July 13, 2026

Floor Debate

3 members

What members said about H.R. 5347 on the floor

2 Republicans1 Democrat
Jason Smith
Rep. Jason SmithR-MO-8 · Jun 29, 2026

Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 5347) to amend title XVIII of the Social Security Act to ensure the availability of appropriate collection types for quality reporting…

Thomas R. Suozzi
Rep. Thomas R. SuozziD-NY-3 · Jun 29, 2026

Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, I rise in support of H.R. 5347, the Health Care Efficiency Through Flexibility Act, which was introduced by two of my good…

Vern Buchanan
Rep. Vern BuchananR-FL-16 · Jun 29, 2026

Mr. Speaker, I thank Chairman Smith for his incredible leadership over the years. Mr. Speaker, I rise in strong support of my bill, the Health Care Efficiency Through Flexibility Act, which helps…

Bill Text

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Latest
Referred in SenateIssued July 13, 2026

IIB

119th CONGRESS

2d Session

H. R. 5347

IN THE SENATE OF THE UNITED STATES

July 13, 2026

Received; read twice and referred to the Committee on Finance

AN ACT

To amend title XVIII of the Social Security Act to ensure the availability of appropriate collection types for quality reporting under the Medicare Shared Savings Program, and for other purposes.

1.

Short title

This Act may be cited as the Health Care Efficiency Through Flexibility Act.

2.

Ensuring availability of appropriate collection types for quality reporting under the Medicare Shared Savings Program

Section 1899(b)(3)(B) of the Social Security Act (42 U.S.C. 1395jjj(b)(3)(B)) is amended—

(1)

by striking An ACO shall submit and inserting the following:

(i)

In general

An ACO shall submit

; and

(2)

by adding at the end the following new clauses:

(ii)

Required availability of collection types for certain years

For performance years 2025 through 2029, the Secretary shall ensure that the following collection types (as described in section 414.1305 of title 42, Code of Federal Regulations (or a successor regulation)) are available with respect to each measure described in subparagraph (A)(i) required to be reported by an ACO under this paragraph:

(I)

Electronic clinical quality measures.

(II)

MIPS clinical quality measures.

(III)

Medicare Clinical Quality Measures for Accountable Care Organizations Participating in the Medicare Shared Savings Program.

(iii)

Clarification on application of data completeness requirements in certain cases

(I)

In general

In determining whether data submitted by an ACO with respect to a measure described in subparagraph (A)(i) for a performance year beginning on or after January 1, 2026, satisfies the data completeness requirements applicable to such measure under section 414.1340 of title 42, Code of Federal Regulations (or a successor regulation) (as applied pursuant to section 425.512 of title 42, Code of Federal Regulations (or a successor regulation)), the Secretary may not find such data to be unrepresentative of such ACO’s performance for such year (as described in paragraph (e) of such section 414.1340) based solely on the fact that such data excludes applicable data from 1 or more ACO participants in such ACO if—

(aa)

such data submitted by the ACO otherwise complies with the data completeness requirements of such section 414.1340; and

(bb)

such ACO demonstrates to the satisfaction of the Secretary that such ACO participant was unable to collect such data through the collection type (as described in clause (ii)) selected by the ACO for the submission of such data.

(II)

Definition

In this clause, the term ACO participant has the meaning given such term in section 425.20 of title 42, Code of Federal Regulations (or a successor regulation).

(III)

Implementation

The Secretary may implement this clause by program instruction or otherwise.

.

3.

Pilot program for digital quality measure reporting

Section 1899(b)(3)(B) of the Social Security Act (42 U.S.C. 1395jjj(b)(3)(B)), as amended by section 2, is further amended by adding at the end the following new clause:

(iv)

Pilot program for digital quality measure reporting

(I)

In general

For each of performance years 2028 through 2032, the Secretary shall establish a digital quality measure reporting pilot program (in this clause referred to as the program) under which ACOs selected under subclause (II) for such performance year report quality measures specified by the Secretary under subclause (III) for such performance year through a digital quality measure (as defined by the Secretary) collection type specified by the Secretary.

(II)

Selection

The Secretary shall select ACOs to participate in the program for a performance year from ACOs that submit an application at such time and in such form and manner as specified by the Secretary.

(III)

Specification of quality measures

For each performance year of the program, the Secretary shall specify 2 measures described in subparagraph (A)(i) otherwise required to be reported by ACOs for such performance year for which an ACO selected under subclause (II) shall submit data through the collection type specified in subclause (I).

(IV)

Waiver of requirement to report other measures

The Secretary may not require an ACO selected under subclause (II) for a performance year to report data on any measure described in subparagraph (A)(i) otherwise required to be reported by an ACO under this paragraph for such performance year, other than such a measure specified under subclause (III) for such performance year.

(V)

Disregard of data for certain measures

The Secretary may not take into account any data for a measure specified under subclause (III) for a performance year submitted by an ACO selected under subclause (II) for such performance year, or any data for a measure with respect to which such ACO is not required to report data for such performance year under subclause (IV), in determining—

(aa)

whether such ACO has met quality performance standards established by the Secretary under subparagraph (C) for such performance year; or

(bb)

any score for the quality performance category (as described in section 1848(q)(2)(A)(i)) for an ACO participant (as defined in clause (iii)(II)) in such ACO for such performance year.

(VI)

Technical assistance

The Secretary shall provide such technical assistance to ACOs selected to participate in the program as is practicable.

(VII)

Provision of information

Not later than December 31, 2032, the Secretary shall publicly post (or include as part of annual rulemaking for this section) the following:

(aa)

An analysis of the program.

(bb)

Any recommendations for increasing submissions of data for measures described in subparagraph (A)(i) through the collection type specified in subclause (I); and

(cc)

A proposed timeline for requiring such measures to be submitted through such collection type.

.

4.

Implementation funding

(a)

In general

There are appropriated, out of any funds in the Treasury not otherwise obligated, $8,000,000 for fiscal year 2026, to remain available until expended, to the Centers for Medicare & Medicaid Services Program Management Account for purposes of implementing the amendments made by sections 2 and 3.

(b)

Medicare Improvement Fund

Section 1898(b)(1) of the Social Security Act (42 U.S.C. 1395iii(b)(1)) is amended by striking $2,062,000,000 and inserting $2,054,000,000.

Passed the House of Representatives June 29, 2026.

Kevin F. McCumber,

Clerk.