Fair Health Information Practices Act of 1994

Summary: TABLE OF CONTENTS: 
     Title I:  Fair Information Practices for Protected 
          Health Information 
     Title II:  Amendments to Title 5, United States Code 
     Title III:  Regulations; Effective Dates; Applicability; 
          and Relationship to Other Laws 
Fair Health Information Practices Act of 1994 - 
Title I:  Fair Information Practices for Protected Health Information
 - Sets forth: (1) the rights of an individual with respect to health information about the individual that is created or maintained as part of the health treatment and payment process; (2) the rights and responsibilities of any individual who creates or maintains such information; and (3) enforcement mechanisms. 
Title II:  Amendments to Title 5, United States Code
 - Amends provisions of title 5 (Government Organization and Employees) of the United States Code relating to agency records to provide that the provisions of this Act shall preempt the title V provisions regarding protected health information, except as specified. 
Title III:  Regulations;  Effective Dates; Applicability; and Relationship to Other Laws
 - Directs the Secretary of Health and Human Services to prescribe regulations to carry out this Act.  Sets forth provisions concerning effective dates, applicability, and relationship to other laws.

.

    (a) In General.--The Secretary shall, by regulation, develop 
alternative dispute resolution methods for use by individuals, health 
information trustees, and other persons in resolving claims under 
section 161.
    (b) Methods.--The methods under subsection (a) shall include at 
least the following:
            (1) Arbitration.--The use of arbitration.
            (2) Mediation.--The use of mediation.
            (3) Early offers of settlement.--The use of a process under 
        which parties make early offers of settlement.
    (c) Standards for Establishing Methods.--In developing alternative 
dispute resolution methods under subsection (a), the Secretary shall 
ensure that the methods promote the resolution of claims in a manner 
that--
            (1) is affordable for the parties involved;
            (2) provides for timely resolution of claims;
            (3) provides for the consistent and fair resolution of 
        claims; and
            (4) provides for reasonably convenient access to dispute 
        resolution for individuals.

SEC. 164. AMENDMENTS TO CRIMINAL LAW.

    (a) In General.--Title 18, United States Code, is amended by 
inserting after chapter 89 the following:

               ``CHAPTER 90--PROTECTED HEALTH INFORMATION

``Sec.
``1831. Definitions.
``1832. Obtaining protected health information under false pretenses.
``1833. Monetary gain from obtaining protected health information under 
                            false pretenses.
``1834. Knowing and unlawful obtaining of protected health information.
``1835. Monetary gain from knowing and unlawful obtaining of protected 
                            health information.
``1836. Knowing and unlawful use or disclosure of protected health 
                            information.
``1837. Monetary gain from knowing and unlawful sale, transfer, or use 
                            of protected health information.
``Sec. 1831. Definitions
    ``As used in this chapter--
            ``(1) the term `health information trustee' has the meaning 
        given such term in section 3(b)(3) of the Fair Health 
        Information Practices Act of 1994; and
            ``(2) the term `protected health information has the 
        meaning given such term in section 3(a)(3) of such Act.
``Sec. 1832. Obtaining protected health information under false 
              pretenses
    ``Whoever under false pretenses--
            ``(1) requests or obtains protected health information from 
        a health information trustee; or
            ``(2) obtains from an individual an authorization for the 
        disclosure of protected health information about the individual 
        maintained by a health information trustee;
shall be fined under this title or imprisoned not more than 5 years, or 
both.
``Sec. 1833. Monetary gain from obtaining protected health information 
              under false pretenses
    ``Whoever under false pretenses--
            ``(1) requests or obtains protected health information from 
        a health information trustee with the intent to sell, transfer, 
        or use such information for profit or monetary gain; or
            ``(2) obtains from an individual an authorization for the 
        disclosure of protected health information about the individual 
        maintained by a health information trustee with the intent to 
        sell, transfer, or use such authorization for profit or 
        monetary gain;
and knowingly sells, transfers, or uses such information or 
authorization for profit or monetary gain shall be fined under this 
title or imprisoned not more than 10 years, or both.
``Sec. 1834. Knowing and unlawful obtaining of protected health 
              information
    ``Whoever knowingly obtains protected health information from a 
health information trustee in violation of the Fair Health Information 
Practices Act of 1994, knowing that such obtaining is unlawful, shall 
be fined under this title or imprisoned not more than 5 years, or both.
``Sec. 1835. Monetary gain from knowing and unlawful obtaining of 
              protected health information
    ``Whoever knowingly--
            ``(1) obtains protected health information from a health 
        information trustee in violation of the Fair Health Information 
        Practices Act of 1994, knowing that such obtaining is unlawful 
        and with the intent to sell, transfer, or use such information 
        for profit or monetary gain; and
            ``(2) knowingly sells, transfers, or uses such information 
        for profit or monetary gain;
shall be fined under this title or imprisoned not more than 10 years, 
or both.
``Sec. 1836. Knowing and unlawful use or disclosure of protected health 
              information
    ``Whoever knowingly uses or discloses protected health information 
in violation of the Fair Health Information Practices Act of 1994, 
knowing that such use or disclosure is unlawful, shall be fined under 
this title or imprisoned not more than 5 years, or both.
``Sec. 1837. Monetary gain from knowing and unlawful sale, transfer, or 
              use of protected health information
    ``Whoever knowingly sells, transfers, or uses protected health 
information in violation of the Fair Health Information Practices Act 
of 1994, knowing that such sale, transfer, or use is unlawful, shall be 
fined under this title or imprisoned not more than 10 years, or 
both.''.
    (b) Clerical Amendment.--The table of chapters for part I of title 
18, United States Code, is amended by inserting after the item relating 
to chapter 89 the following:

``90. Protected health information..........................    1831''.

          TITLE II--AMENDMENTS TO TITLE 5, UNITED STATES CODE

SEC. 201. AMENDMENTS TO TITLE 5, UNITED STATES CODE.

    (a) New Subsection.--Section 552a of title 5, United States Code, 
is amended by adding at the end the following:

    ``(w) Medical Exemptions.--The head of an agency that is a health 
information trustee (as defined in section 3(b)(3) of the Fair Health 
Information Practices Act of 1994) shall promulgate rules, in 
accordance with the requirements (including general notice) of 
subsections (b)(1), (b)(2), (b)(3), (c), and (e) of section 553 of this 
title, to exempt a system of records within the agency, to the extent 
that the system of records contains protected health information (as 
defined in section 3(a)(3) of such Act), from all provisions of this 
section except subsections (e)(1), (e)(2), subparagraphs (A) through 
(C) and (E) through (I) of subsection (e)(4), and subsections (e)(5), 
(e)(6), (e)(9), (e)(12), (l), (m), (n), (o), (p), (q), (r), and (u).''.
    (b) Repeal.--Section 552a(f)(3) of title 5, United States Code, is 
amended by striking ``pertaining to him,'' and all that follows through 
the semicolon and inserting ``pertaining to the individual;''.

      TITLE III--REGULATIONS; EFFECTIVE DATES; APPLICABILITY; AND 
                       RELATIONSHIP TO OTHER LAWS

SEC. 301. REGULATIONS.

    Not later than July 1, 1996, the Secretary shall prescribe 
regulations to carry out this Act.

SEC. 302. EFFECTIVE DATES.

    (a) In General.--Except as provided in subsection (b), this Act, 
and the amendments made by this Act, shall take effect on January 1, 
1997.
    (b) Provisions Effective Immediately.--Any provision of this Act 
that imposes a duty on the Secretary shall take effect on the date of 
the enactment of this Act.

SEC. 303. APPLICABILITY.

    (a) Protected Health Information.--Except as provided in 
subsections (b) and (c), the provisions of this Act shall apply to any 
protected health information that exists in a State on or after January 
1, 1997, regardless of whether the information existed or was disclosed 
prior to such date.
    (b) Special Purpose Trustees.--The provisions of this Act shall not 
apply to any special purpose trustee, except with respect to protected 
health information that is received by such a trustee on or after 
January 1, 1997.
    (c) Authorizations for Disclosures.--An authorization for the 
disclosure of protected health information about an individual that is 
executed by the individual before January 1, 1997, and is recognized 
and valid under State law on December 31, 1996, shall remain valid and 
shall not be subject to the requirements of section 122 until July 1, 
1998, or the occurrence of the date or event (if any) specified in the 
authorization upon which the authorization expires, whichever occurs 
earlier.

SEC. 304. RELATIONSHIP TO OTHER LAWS.

    (a) State Law.--Except as provided in subsections (b) and (c), this 
Act shall prevent the establishment, continuing in effect, or 
enforcement of State law to the extent such law is inconsistent with a 
provision of this Act, but nothing in this Act shall be construed to 
indicate an intent on the part of Congress to occupy the field in which 
its provisions operate to the exclusion of the laws of any State on the 
same subject matter.
    (b) Privileges.--This Act does not preempt or modify State common 
or statutory law to the extent such law concerns a privilege of a 
witness or person in a court of the State. This Act does not supersede 
or modify Federal common or statutory law to the extent such law 
concerns a privilege of a witness or person in a court of the United 
States.
    (c) Certain Duties Under State or Federal Law.--This Act shall not 
be construed to preempt, supersede, or modify the operation of--
            (1) any law that provides for the reporting of vital 
        statistics such as birth or death information;
            (2) any law requiring the reporting of abuse or neglect 
        information about any individual; or
            (3) subpart II of part E of title XXVI of the Public Health 
        Service Act (relating to notifications of emergency response 
        employees of possible exposure to infectious diseases).

                                 

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