Stop Unfair Medicaid Recoveries Act

This bill aims to significantly reform Medicaid recovery practices by repealing the federal mandate for states to establish a Medicaid Estate Recovery Program (MERP). It specifically prohibits states from initiating, maintaining, or collecting any adjustments or recoveries for medical assistance that was correctly paid to individuals under their State plan. The legislation further addresses the issue of liens by requiring states to withdraw any existing liens on a Medicaid beneficiary's property that are related to correctly paid medical assistance within 90 days of the bill's enactment. States must also notify affected individuals of these withdrawals and the new prohibition on recoveries, thereby limiting the circumstances under which a state can place or maintain a lien on a beneficiary's property for medical assistance costs.