June 10th, 2026
HHSC has transitioned to a new web-based software application to collect information from providers for Medicaid and non-Medicaid financial compliance reports. The new system, STEPS, will update and simplify financial compliance reporting.
HHSC will begin collecting fiscal year 2025 Financial Compliance Reports as of July 20th, 2026.
HHSC has published a list of the identified Primary Entity Contacts (PECs) on the HHSC STEPS website for each of the requested Financial Compliance Reports.
The PEC is responsible for assigning Financial Contacts (FCs), assigning Financial Compliance Report Preparers, and certifying the Financial Compliance Report, along with other responsibilities.
HHSC encourages PECs, FCs, and Financial Compliance Report Preparers to acquire STEPS system access as soon as possible.
Updating the Primary Entity Contact (PEC) in PEMS
The Financial Compliance Reports will not populate in STEPS unless the PEC’s email address in PEMS matches the email address used to register in STEPS.
HHSC cannot update a PEC designation on behalf of a provider in PEMS or in STEPS. For instructions on updating the PEC in PEMS, please follow Step 5 on page 10 of the STEPS User Guide.
STEPS Resources and Updates
For questions about STEPS functionality or issues within the application, contact HHSC using one of the following:
- Live Support Line 1-737-86-STEPS (78377)
- Submit a ticket in STEPS
- Email the costinformationpfd@hhs.texas.gov
