The Affordable Care Act requires the Alabama Medicaid Agency to select and provide oversight for a Medicaid Recovery Audit Contractor (RAC) to perform provider audits. The RAC program is focused on improving payment accuracy by identifying underpayments and overpayments in Medicaid. This program is separate and apart from the Medicare RAC which is overseen by the Centers for Medicare and Medicaid Services (CMS).
Alivia has been informed and is aware of the critical role that all providers play in the Medicaid program and requires that reviewers be professional, objective, and consistent in performing all required audits/reviews.
Recent Updates
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Effective May 6, 2026, and with approval from the Alabama Medicaid Agency, Alivia will begin submitting notices of Recovery Audit Contractor (RAC) audits to Alabama Medicaid providers. If you receive an audit notice or medical record request letter, please log in to Alivia’s secure Provider Portal and create a user account. To access the list of active audits, please navigate to the Improper Payment Scenario subpage.
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Alabama Medicaid: RAC 101 is an educational presentation designed to introduce healthcare providers to the fundamentals of the Alabama Medicaid Recovery Audit Contractor (RAC) program. Led by Alivia Analytics, the presentation explains the purpose of the RAC program, outlines how improper payment scenarios are developed and approved, and provides clarity on RAC review processes. The content walks providers through the distinctions between Complex and Automated RAC reviews, including timelines, documentation requirements, and steps to follow when…
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On October 1, 2024, Alabama Medicaid entered into a contract with Alivia Analytics, LLC (Alivia) to perform Recovery Audit Contractor (RAC) activities for Medicaid services paid to Alabama Medicaid providers. Alabama Medicaid anticipates Alivia will begin reviews in the Spring 2026.