The Medicaid RAC Improvement Act of 2026 aims to enhance the effectiveness of the Medicaid Recovery Audit Contractor (RAC) program, which is designed to identify and recover overpayments made by Medicaid. This legislation seeks to ensure that Medicaid funds are utilized efficiently and appropriately, ultimately benefiting Medicaid beneficiaries by minimizing overpayments. Key provisions of the act include improved oversight and communication regarding state Medicaid RAC programs.