Bringing you the latest news impacting our network from Congress and the Administration.
In this Edition:
HHS Expands “Waste, Fraud, and Abuse” Efforts in Medicaid
Congress Advancing Bipartisan Housing Legislation
Cook Political Report on Upcoming Midterm Elections
DHS Shutdown Continues as Negotiations Drag On
Private Equity in Healthcare: Distinguishing Nonprofit Leadership in Care Delivery
Reminder: Update Us About Lawmaker Meetings or Site Visits
Next Capitol Conversations: 3/19 at 1:00 PM ET: REGISTER
and 3/26 webinar on Partnering for Impact: Navigating a Shifting Medicaid Landscape to Address Social Needs
Medicaid: Waste, Fraud, and Abuse Resources
What We’re Reading
HHS Expands “Waste, Fraud, and Abuse” Efforts in Medicaid
On February 13, the Department of Government Efficiency (DOGE) released on X/Twitter a dataset from the Department of Health and Human Services (HHS) with aggregated, provider-level claims data for specific billing codes based on an algorithm looking for outliers and inconsistencies. As part of a broader effort to address waste, fraud, and abuse in Medicaid, the release on X led to additional tweets with further allegations of wrongdoing without any specific knowledge or information related to the claims.
Now What?
The House Energy & Commerce Committee majority also tweeted that it intends to conduct further oversight based on the new dataset. Kaiser Health News and other sources have published articles to highlight what the data does and does not include, including deficiencies in the algorithm used.
More to come
Based on significant changes CMS is making in Minnesota to withhold a portion of their federal share of Medicaid funding and recent requests for information from providers in Wisconsin, among others, we are proactively engaging key committee staff on Capitol Hill with jurisdiction over Medicaid. Our goal is to learn and share more about how Congress is viewing these actions and how they plan to respond. We are also working to update Here We Stand. messaging as part of on-going campaign-related efforts. We have shared multiple additional resources and background articles below.
What You Can Do!
If you are experiencing inquiries related to waste, fraud or abuse, or if you have received communications from the federal government asking your organization to report on your Medicaid-related services, please let us know. Most importantly, if this is impacting your ability to provide services, please collect and share stories of impact. This information will be important as we continue to work with partners to address allegations.
Congress Advancing Bipartisan Housing Legislation
On February 9, a bi-partisan Housing for the 21st Century Act passed the House as theirresponse to an earlier Senate passed bill titled the ROAD to Housing Act (ROAD Act).
What’s the Difference between the House and Senate bills?
The Senate bill, which Lutheran Services in America endorsed,was included in the National Defense Authorization Act (NDAA) before being stripped from the final package in the House, necessitating the recent House action. While both bills would further address needed changes to housing law, they have significant differences, which are outlined by the Bipartisan Policy Center. Key priorities for our network are included in the ROAD Act , such as strengthening rural housing programs, improving the HOME program, and requiring interagency collaboration among HUD, USDA, and the VA.
Notably absent from both bills, however, is the White House priority to ban large investors from purchasing single-family homes, although Sen. Elizabeth Warren (D-MA) has signaled her support for a provision to address private equity in housing in any final bill.
Now what?
Given the realities of Congressional schedules in an election year, roughly 8 weeks remain to achieve passage of a final version of a housing bill. Despite this compressed timeline and other challenges, Senate Banking Committee Chair and ROAD lead sponsor Tim Scott (R-SC) remains optimistic and asks housing advocates and other supporters to urge their lawmakers to support the bill’s passage. You can help by finding your lawmakers with our easy lookup tool and calling their offices today.
Cook Political Report Editor on Upcoming Midterm Elections
Last week, our “Capitol Conversations” webinar featured Carrie Dann, Managing Editor at The Cook Political Report, who provided an overview of key dynamics shaping the upcoming midterm elections. We are pleased to share several highlights from her analysis.
What’s In Play?
Midterm elections are traditionally viewed, in part, as a reflection of public sentiment toward the party in the White House. According to Dann, this pattern may be especially pronounced in the current cycle, amid a notable decline in President Trump’s approval ratings. Recent shifts include decreased support among voters aged 18–29 and among Independents, with both groups showing approximately a 25% downturn. Dann noted that Republicans are defending a significant number of competitive seats, including districts the President carried in 2024. At the same time, Democrats have performed strongly in several 2025 special and gubernatorial elections, outperforming Vice President Harris’s margins in those areas. President Trump has issued relatively few endorsements so far, leaving additional uncertainty in primary contests.
Advertising trends also reveal early strategic priorities: Republican messaging has generally emphasized alignment with the President’s agenda, while Democratic campaigns have focused on issues such as affordability, healthcare and immigration policy. A few early primaries may offer insights into voter sentiment heading into November. The Texas primary in March—along with a potential April runoff—will be closely watched, followed by the Michigan Senate primary in August. For those interested in tracking polling and race ratings, in addition to subscribing to The Cook Political Report, Dann recommended several sources that aggregate and analyze election data, including The New York Times and NOTUS.
DHS Shutdown Continues as Negotiations Drag On
The Department of Homeland Security (DHS) remains shut down following the expiration on February 13 of a short-term Continuing Resolution funding the agency, as President Trump prepares to deliver his State of the Union Address this evening.
Any progress towards a compromise?
Rank and file lawmakers were absent from Washington last week for a recess while negotiations continued between the White House and Senate Democratic leaders in an attempt to resolve their differences. Key negotiation priorities include the handling of the President’s immigration crackdown including funding for Immigration and Customs Enforcement (ICE.) An obvious path forward has not yet emerged, given the distance between the two parties’ positions. Democrats continue to insist on much stronger guardrails for immigration enforcement, while Republicans insist that they won’t accept concessions that “meaningfully impact” the administration’s ability to carry out its agenda. Both sides are preparing for protracted negotiations, with FEMA left without any clear endgame.
Private Equity in Healthcare: Distinguishing Nonprofit Leadership in Care Delivery
Across the country, ownership models in health and human services continue to change. Investor-owned financial models are increasingly influencing care delivery, workforce stability, and access to services — prompting heightened scrutiny and new policy responses at both the state and federal levels. This is fundamentally changing the care delivery landscape in a way that directly affects the quality of care that people and communities receive, while also spurring governance and sustainability issues for nonprofit providers. Investor-owned models are structured to generate financial returns, whereas nonprofit providers reinvest margin into mission, workforce, and community benefit. When policymakers broadly interpret and apply efforts uniformly, mission-driven providers can face unintended consequences and significant burdens.
To better equip leaders for this moment, we have released a new issue brief outlining emerging policy trends and what they mean for nonprofit providers. The brief frames the changing health landscape and highlights the importance of holding harmful practices accountable without undermining strong nonprofit organizations.
Reminder: Update Us About Lawmaker Meetings or Site Visits
If you have meetings with federal lawmakers or their staff members, or if they have a site visit at one of your facilities, please let us know so we can track these advocacy engagements. We have a simple tool available for you to log these meetings/visits yourself, or simply contact our Policy team to let us know.
Save the Date for Two Upcoming Webinars
March 19, 1-2 pm ET:Capitol Conversations “How Nonprofits Can Engage in Advocacy”
Join us for an outline of what nonprofits CAN and CANNOT do when it comes to advocacy. You’ll hear from an expert on this topic with specific, real-world examples and plenty of time for your questions. LSA staff will also share updates on the latest with Medicaid, housing, and other activity on Capitol Hill.
NOTE: If you have already registered for an upcoming session, please note the updated registration link. You must re-register using the new registration form for each individual session that you would like to attend.
March 26, 1-2:15 pm ET:Partnering for Impact: Navigating a Shifting Medicaid Landscape to Address Social Needs
Join us for the initial launch of our new “Partnering for Impact” Guide: How SSOs and CBOs Can Navigate Change in a New Medicaid Landscape.
Hear from network members including Hector Colon, Lutheran Social Services Wisconsin and Mark Stutrud, Lutheran Social Services Illinois, as well as outside experts including:
Stuart Butler, Brookings Institution,
Enrique Vidal-Martinez, Association for Community-Affiliated Plans
Ji Im, CommonSpirit Health
Katie Horton, Research Professor, GWU
The discussion will focus on four key strategies including data, operational excellence, strategic alliances, and payment models/service delivery to illuminate pathways to strengthen partnership between SSOs/CBOs and Medicaid managed care.
For more information, please contact Sarah Dobson, Senior Director of Public Policy and Advocacy.
Lutheran Services in America is one of the nation’s largest national networks of health and human service providers with a mission to cultivate caring communities that advance health and opportunity for all. With 300 nonprofit organizations across 1,400 U.S. communities and more than $26 billion in combined annual services, the Lutheran Services in America network advances equitable outcomes for children, youth and families, improves independence and choice for older adults, champions meaningful services and support for people with intellectual and developmental disabilities, and strengthens stability and purpose for veterans and others. Formed in 1997, Lutheran Services in America brings together a network of leaders, partners and funders to catalyze innovation, strengthen organizational capacity and advance public policy.
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