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S.1678
Medicare Beneficiary Access to Care Act of 1999 (Introduced in the
Senate)
TITLE II--GRADUATE MEDICAL EDUCATION
SEC. 201. REVISION OF MULTIYEAR REDUCTION OF INDIRECT GRADUATE MEDICAL EDUCATION PAYMENTS.
(a) IN GENERAL- Section 1886(d)(5)(B)(ii) (42 U.S.C. 1395ww(d)(5)(B)(ii))
is amended by striking subclauses (III), (IV), and (V) and inserting the
following:
`(III) during each of fiscal years 1999 through 2007, `c' is equal
to 1.6; and
`(IV) on or after October 1, 2007, `c' is equal to
1.35.'.
(b) EFFECTIVE DATE- The amendments made by subsection (a) shall take
effect as if included in section 4621 of the Balanced Budget Act of 1997
(Public Law 105-33; 111 Stat. 475).
SEC. 202. ACCELERATION OF GME PHASE-IN.
(a) ACCELERATION OF PAYMENT TO HOSPITALS OF INDIRECT AND DIRECT MEDICAL EDUCATION COSTS FOR MEDICARE+CHOICE
ENROLLEES-
(1) IN GENERAL- Section 1886(h)(3)(D)(ii) (42 U.S.C.
1395ww(h)(3)(D)(ii)) is amended by striking subclauses (IV) and (V) and
inserting the following:
`(IV) 100 percent in 2001 and subsequent years.'.
(2) ACCELERATION OF CARVE-OUT- Section 1853(c)(3)(B)(ii) (42 U.S.C.
1395w-23(c)(3)(B)(ii)) is amended--
(A) in subclause (III), by inserting `and' at the end;
(B) by striking subclause (IV); and
(C) by redesignating subclause (V) as subclause (IV).
(b) EFFECTIVE DATE- The amendments made by subsection (a) shall take
effect as if included in the enactment of the Balanced Budget Act of 1997
(Public Law 105-33; 111 Stat. 251).
SEC. 203. EXCLUSION OF NURSING AND ALLIED HEALTH EDUCATION COSTS IN CALCULATING
MEDICARE+CHOICE PAYMENT RATE.
(a) EXCLUDING COSTS IN CALCULATING PAYMENT RATE-
(1) IN GENERAL- Section 1853(c)(3)(C)(i) (42 U.S.C.
1395w-23(c)(3)(C)(i)) is amended--
(A) in subclause (I), by striking `and' at the end;
(B) in subclause (II), by striking the period at the end and inserting
`, and'; and
(C) by adding at the end the following:
`(III) for costs attributable to approved nursing and allied
health education
programs under section 1861(v).'.
(2) EFFECTIVE DATE- The amendments made by paragraph (1) shall apply in
determining the annual per capita rate of payment for years beginning with
2001.
(b) PAYMENT TO HOSPITALS OF NURSING AND ALLIED HEALTH EDUCATION PROGRAM COSTS FOR
MEDICARE+CHOICE ENROLLEES- Section 1861(v)(1) (42 U.S.C. 1395x(v)(1)) is
amended by adding at the end the following:
`(V)(i) In determining the amount of payment to a hospital for portions of
cost reporting periods occurring on or after January 1, 2001, with respect to
the reasonable costs for approved nursing and allied health education programs, individuals who
are enrolled with a Medicare+Choice organization under part C shall be treated
as if they were not so enrolled.
`(ii) The Secretary shall establish rules for applying clause (i) to a
hospital reimbursed under a reimbursement system authorized under section
1814(b)(3) in the same manner as it would apply to the hospital if it were not
reimbursed under such section.'.
SEC. 204. ADJUSTMENTS TO LIMITATIONS ON NUMBER OF INTERNS AND
RESIDENTS.
(a) INDIRECT GRADUATE MEDICAL EDUCATION ADJUSTMENT- Section
1886(d)(5)(B)(v) (42 U.S.C. 1395ww(d)(5)(B)(v)) is amended--
(1) by striking `(v) In determining' and inserting `(v)(I) Subject to
subclause (II), in determining';
(2) by striking `in the hospital with respect to the hospital's most
recent cost reporting period ending on or before December 31, 1996' and
inserting `who were appointed by the hospital's approved medical residency training programs
for the hospital's most recent cost reporting period ending on or before
December 31, 1996'; and
(3) by adding at the end the following:
`(II) Beginning on or after January 1, 1997, in the case of a hospital
that sponsors only 1 allopathic or osteopathic residency program, the limit
determined for such hospital under subclause (I) may, at the hospital's
discretion, be increased by 1 for each calendar year but shall not exceed a
total of 3 more than the limit determined for the hospital under subclause
(I).'.
(b) DIRECT GRADUATE MEDICAL EDUCATION ADJUSTMENT-
(1) LIMITATION ON NUMBER OF RESIDENTS- Section 1886(h)(4)(F) (42 U.S.C.
1395ww(h)(4)(F)) is amended by inserting `who were appointed by the
hospital's approved medical
residency training programs' after `may not exceed the number of such
full-time equivalent residents'.
(2) FUNDING FOR PROGRAMS- Section 1886(h)(4)(H)(i) (42 U.S.C.
1395ww(h)(4)(H)(i)) is amended in the second sentence, by inserting `,
including facilities that are not located in an underserved rural area but
have established separately accredited rural training tracks' before the
period.
(c) GME PAYMENTS FOR CERTAIN INTERNS AND RESIDENTS-
(1) INDIRECT AND DIRECT MEDICAL EDUCATION - Each limitation
regarding the number of residents or interns for which payment may be made
under section 1886 of the Social Security Act (42 U.S.C. 1395ww) is
increased by the number of applicable residents (as defined in paragraph
(2)).
(2) APPLICABLE RESIDENT DEFINED- In this subsection, the term
`applicable resident' means a resident or intern that--
(A) participated in graduate medical education at a facility of the
Department of Veterans Affairs;
(B) was subsequently transferred on or after January 1, 1997, and
before July 31, 1998, to a hospital and the hospital was not a Department
of Veterans Affairs facility; and
(C) was transferred because the approved medical residency program in which
the resident or intern participated would lose accreditation by the
Accreditation Council on Graduate Medical Education if such program
continued to train residents at the Department of Veterans Affairs
facility.
(d) EFFECTIVE DATE- This section shall take effect as if included in the
enactment of the Balanced Budget Act of 1997 (Public Law 105-33; 111 Stat.
251).
TITLE III--HOSPICE CARE
SEC. 301. INCREASE IN PAYMENTS FOR HOSPICE CARE.
(a) IN GENERAL- Section 1814(i)(1)(C)(ii)(VI) (42 U.S.C.
1395f(i)(1)(C)(ii)(VI)) is amended by striking `through 2002' and inserting
`and 1999'.
(b) EFFECTIVE DATE- The amendments made by this section shall take effect
as if included in the amendments made by section 4441 of the Balanced Budget
Act of 1997 (Public Law 105-33; 111 Stat. 422).
TITLE IV--SKILLED NURSING FACILITIES
SEC. 401. MODIFICATION OF CASE MIX CATEGORIES FOR CERTAIN CONDITIONS.
(a) IN GENERAL- For purposes of applying any formula under paragraph (1)
of section 1888(e) of the Social Security Act (42 U.S.C. 1395yy(e)), for
services provided on or after April 1, 2000, and before the earlier of October
1, 2001, or the date described in subsection (d), the Secretary of Health and
Human Services shall increase the adjusted Federal per diem rate otherwise
determined under paragraph (4) of such section for services provided to any
individual during the period in which such individual is in a RUG III category
by the applicable payment add-on as determined in accordance with the
following table:
RUG III category
Applicable paymentadd-on
RUB
$23.06
RVC
$76.25
RVB
$30.36
RHC
$54.07
RHB
$27.28
RMC
$69.98
RMB
$30.09
SE3
$98.41
SE2
$89.05
SSC
$46.80
SSB
$55.56
SSA
$59.94.
(b) UPDATE- The Secretary shall update the applicable payment add-on under
subsection (a) for fiscal year 2001 by the skilled nursing facility market
basket percentage change (as defined under section 1888(e)(5)(B) of the Social
Security Act (42 U.S.C. 1395yy(e)(5)(B))) applicable to such fiscal year.
(c) RULE OF CONSTRUCTION- Nothing in this section shall be construed as
permitting the Secretary of Health and Human Services to include any
applicable payment add-on determined under subsection (a) in updating the
Federal per diem rate under section 1888(e)(4) of the Social Security Act (42
U.S.C. 1395yy(e)(4)).
(d) DATE DESCRIBED- The date described in this subsection is the date that
the Secretary of Health and Human Services--
(1) refines the case mix classification system under section
1888(e)(4)(G)(i) of the Social Security Act (42 U.S.C. 1395yy(e)(4)(G)(i))
to better account for medically complex patients; and
(2) implements such refined system.
SEC. 402. EXCLUSION OF CLINICAL SOCIAL WORKER SERVICES AND SERVICES
PERFORMED UNDER A CONTRACT WITH A RURAL HEALTH CLINIC OR FEDERALLY QUALIFIED
HEALTH CENTER FROM THE PPS FOR SNFs.
(a) IN GENERAL- Section 1888(e)(2)(A)(ii) (42 U.S.C. 1395yy(e)(2)(A)(ii))
is amended--
(1) in the first sentence, by inserting `clinical social worker
services,' after `qualified psychologist services,'; and
(2) by inserting after the first sentence the following: `Services
described in this clause also include services that are provided by a
physician, a physician assistant, a nurse practitioner, a qualified
psychologist, or a clinical social worker who is employed, or otherwise
under contract, with a rural health clinic or a Federally qualified health
center.'.
(b) CONFORMING AMENDMENT- Section 1861(hh)(2) (42 U.S.C. 1395x(hh)(2)) is
amended by striking `and other than services furnished to an inpatient of a
skilled nursing facility which the facility is required to provide as a
requirement for participation'.
(c) EFFECTIVE DATE- The amendments made by this section shall apply to
services provided on or after the date which is 60 days after the date of
enactment of this Act.
SEC. 403. EXCLUSION OF CERTAIN SERVICES FROM THE PPS FOR SNFs.
(a) IN GENERAL- Section 1888(e)(2)(A)(ii) (42 U.S.C. 1395yy(e)(2)(A)(ii)),
as amended by section 402, is amended--
(1) in the first sentence, by inserting `ambulance services, services
identified by HCPCS code in Program Memorandum Transmittal No. A-98-37
issued in November 1998 (but without regard to the setting in which such
services are furnished),' after `subparagraphs (F) and (O) of section
1861(s)(2),'; and
(2) by inserting after the second sentence the following: `In addition
to the services described in the previous sentences, services described in
this clause include chemotherapy items (identified as of July 1, 1999, by
HCPCS codes J9000-J9020, J9040-J9151, J9170-J9185, J9200-J9201, J9206-J9208,
J9211, J9230-J9245, and J9265-J9600), chemotherapy administration services
(identified as of July 1, 1999, by HCPCS codes 36260-36262, 36489,
36530-36535, 36640, 36823, and 96405-96542), radioisotope services
(identified as of July 1, 1999, by HCPCS codes 79030-79440), and customized
prosthetic devices (identified as of July 1, 1999, by HCPCS codes
L5050-L5340, L5500-L5610, L5613-L5986, L5988, L6050-L6370, L6400-L6880,
L6920-L7274, and L7362-L7366).'.
(b) EFFECTIVE DATE- The amendments made by this section shall apply to
services furnished on or after the date which is 60 days after the date of
enactment of this Act.
SEC. 404. EXCLUSION OF SWING BEDS IN CRITICAL ACCESS HOSPITALS FROM THE PPS
FOR SNFs.
(a) IN GENERAL- Section 1888(e)(7) of the Social Security Act (42 U.S.C.
1395yy(e)(7)) is amended--
(1) in the heading, by striking `TRANSITION' and inserting `SPECIAL
RULES';
(2) in subparagraph (A), by striking `IN GENERAL- The' and inserting
`TRANSITION- Except as provided in subparagraph (C), the'; and
(3) by adding at the end the following:
`(C) EXEMPTION OF SWING BEDS IN CRITICAL ACCESS HOSPITALS FROM PPS-
The prospective payment system under this subsection shall not apply
(and section 1834(g) shall apply) to services provided by a critical
access hospital under an agreement described in subparagraph
(B).'.
(b) EFFECTIVE DATE- The amendments made by this section shall apply to
services provided on or after October 1, 1999.
TITLE V--OUTPATIENT REHABILITATION SERVICES
SEC. 501. MODIFICATION OF FINANCIAL LIMITATION ON REHABILITATION
SERVICES.
(a) 3-YEAR REPEAL- Section 1833(g) (42 U.S.C. 1395l(g)) is amended by
adding at the end the following:
`(4) Subject to paragraph (6), the provisions of paragraphs (1) through
(3) shall not apply to outpatient physical therapy services, outpatient
occupational therapy services, and outpatient speech-language pathology
services covered under this title and furnished on or after January 1,
2000.
`(5)(A) Notwithstanding the preceding provisions of this subsection and
subject to subparagraph (B), with respect to services described in paragraph
(4) that are furnished on or after January 1, 2003, the Secretary shall
implement, by not later than January 1, 2003, a payment system for such
services that takes into account the needs of beneficiaries under this title
for differing amounts of therapy based on factors such as diagnosis,
functional status, and prior use of services.
`(B) The payment system established under subparagraph (A) shall be
designed so that the system shall not result in any increase or decrease in
the expenditures under this title on a fiscal year basis, determined as if
paragraph (4) had not been enacted.
`(6) If the Secretary for any reason does not implement the payment system
described in paragraph (5) on or before January 1, 2003, paragraph (4) shall
not apply with respect to services described in such paragraph that are
furnished on or after such date and before the date on which the Secretary
implements such payment system.'.
(b) EFFECTIVE DATE- The amendment made by this section shall take effect
as if included in the enactment of the Balanced Budget Act of 1997 (Public Law
105-33; 111 Stat. 251).
TITLE VI--PHYSICIANS' SERVICES
SEC. 601. TECHNICAL AMENDMENT TO UPDATE ADJUSTMENT FACTOR AND PHYSICIAN
SUSTAINABLE GROWTH RATE.
(a) UPDATE ADJUSTMENT FACTOR-
(1) CHANGE TO CALENDAR YEAR BASIS- Section 1848(d) (42 U.S.C.
1395w-4(d)) is amended--
(A) in paragraph (1), by striking subparagraph (E) and inserting the
following:
`(E) PUBLICATION- The Secretary shall publish in the Federal
Register--
`(i) not later than November 1 of each year (beginning with 1999),
the conversion factor that will apply to physicians' services for the
succeeding year and the update determined under paragraph (3) for such
year; and
`(ii) not later than November 1 of 1999--
`(I) the special update for the year 2000 under paragraph
(3)(E)(i); and
`(II) the estimated special adjustments for years 2001 through
2006 under paragraph (3)(E)(ii).'; and
(B) in paragraph (3)(C)--
(i) in the matter preceding clause (i), by striking `the 12-month
period ending with March 31 of';
(I) by striking `1997' and inserting `1996,'; and
(II) by striking `such 12-month period' and inserting `1996';
and
(I) by inserting a comma after `subsequent year';
and
(II) by striking `fiscal year which begins during such 12-month
period' and inserting `year involved'.
(2) FORMULA FOR DETERMINING THE UPDATE ADJUSTMENT FACTOR- Section
1848(d)(3) (42 U.S.C. 1395w-4(d)(3)) is amended--
(A) in subparagraph (A)--
(i) in clause (ii), by striking `(divided by 100),' and inserting a
period; and
(ii) by striking the matter following clause (ii);
(B) in subparagraph (B)--
(i) in the matter preceding clause (i), by inserting `the sum of'
after `Secretary) to'; and
(ii) by striking clauses (i) and (ii) and inserting the
following:
`(i) the figure arrived at by--
`(I) determining the difference between the allowed expenditures
for physicians' services for the prior year (as determined under
subparagraph (C)) and the actual expenditures for such services for
that year;
`(II) dividing that difference by the actual expenditures for such
services in that year; and
`(III) multiplying that quotient by 0.75; and
`(ii) the figure arrived at by--
`(I) determining the difference between the allowed expenditures
for physicians' services (as determined under subparagraph (C)) from
1996 through the prior year and the actual expenditures for such
services during that period, corrected with the best available
data;
`(II) dividing that difference by actual expenditures for such
services for the prior year as increased by the sustainable growth
rate under subsection (f) for the year whose update
adjustment factor is to be determined; and
`(III) multiplying that quotient by 0.33.'; and
(C) by amending subparagraph (D) to read as follows:
`(D) RESTRICTION ON UPDATE ADJUSTMENT FACTOR- The update adjustment
factor determined under subparagraph (B) for a year may not be less than
negative 0.07 or greater than 0.03.'.
(3) SPECIAL PROVISIONS- Section 1848(d)(3) (42 U.S.C. 1395w-4(d)(3)) is
amended--
(A) in subparagraph (A), in the matter preceding clause (i), by
striking `subparagraph (D)' and inserting `subparagraphs (D) and (E)';
and
(B) by adding at the end the following:
`(E) SPECIAL UPDATE AND ADJUSTMENTS-
`(i) YEAR 2000- For the year 2000, the update under this paragraph
shall be the percentage that the Secretary estimates will, without
regard to any otherwise applicable restriction, result in expenditures
equal to the expenditures that would have occurred in that year in the
absence of the amendments made by section 601 of the Medicare
Beneficiary Access to Care Act of 1999.
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