I 

114TH CONGRESS 

1ST SESSION H. R. 876 

To amend title XVIII of the Social Security Act to require hospitals to 

provide certain notifications to individuals classified by such hospitals 

under observation status rather than admitted as inpatients of such 

hospitals. 

IN THE HOUSE OF REPRESENTATIVES 

FEBRUARY 11, 2015 

Mr. DOGGETT (for himself and Mr. YOUNG of Indiana) introduced the following bill; which was referred to the Committee on Ways and Means, 

and in addition to the Committee on Energy and Commerce, for a period 

to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee 

concerned 

A BILL 

To amend title XVIII of the Social Security Act to require 

hospitals to provide certain notifications to individuals 

classified by such hospitals under observation status 

rather than admitted as inpatients of such hospitals. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Notice of Observation 

5 Treatment and Implication for Care Eligibility Act’’ or the 

6 ‘‘NOTICE Act’’. 


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1 SEC. 2. MEDICARE REQUIREMENT FOR HOSPITAL NOTIFI2 CATIONS OF OBSERVATION STATUS. 

3 (a) IN GENERAL.—Section 1866(a)(1) of the Social 

4 Security Act (42 U.S.C. 1395cc(a)(1)) is amended— 

5 (1) in subparagraph (V), by striking at the end 

6 ‘‘and’’; 

7 (2) in the first subparagraph (W), by striking 

8 at the end the period and inserting a comma; 

9 (3) in the second subparagraph (W)— 

10 (A) by redesignating such subparagraph as 

11 subparagraph (X); and 

12 (B) by striking at the end the period and 

13 inserting ‘‘, and’’; and 

14 (4) by inserting after such subparagraph (X) 

15 the following new subparagraph: 

16 ‘‘(Y) in the case of a hospital, to provide to 

17 each individual who is entitled to benefits under part 

18 A and who the hospital classifies for more than 24 

19 hours as an outpatient under observation status or 

20 any other similar status, as the Secretary determines 

21 appropriate (or to a person acting on the individual’s 

22 behalf), not later than 36 hours after the time of 

23 such classification of such individual under such sta24 tus (or, if sooner, upon discharge), an adequate oral 

25 and written notification (as defined by the Secretary 

26 pursuant to rulemaking and containing such lanVerDate Sep 11 2014 02:51 Feb 19, 2015 Jkt 049200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H876.IH H876

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1 guage as the Secretary prescribes consistent with 

2 this paragraph) which— 

3 ‘‘(i) explains the status of the individual as 

4 an outpatient under such observation status or 

5 any other such similar status and not as an in6 patient of the hospital; 

7 ‘‘(ii) explains the reason for the classifica8 tion of such individual under such status; 

9 ‘‘(iii) explains the implications of such sta10 tus as an outpatient on— 

11 ‘‘(I) eligibility for coverage of items 

12 and services under this title, including such 

13 items and services furnished by the hos14 pital with respect to such individual while 

15 under such status and for items and serv16 ices under this title for a subsequent dis17 charge to a skilled nursing facility or other 

18 facility; and 

19 ‘‘(II) cost-sharing requirements under 

20 this title, including with respect to items 

21 and services furnished by the hospital to 

22 such individual while under such status 

23 and with respect to items and services 

24 under this title for a subsequent discharge 


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1 to a skilled nursing facility or other facil2 ity; 

3 ‘‘(iv) includes the name and title of the 

4 staff of the hospital who provided the oral noti5 fication and the date and time of such oral noti6 fication; 

7 ‘‘(v) includes such additional information 

8 as the Secretary deems appropriate; and 

9 ‘‘(vi) in the case of the written notifica10 tion— 

11 ‘‘(I) is signed— 

12 ‘‘(aa) by such individual or a per13 son acting on such individual’s behalf 

14 to acknowledge receipt of such notifi15 cation; or 

16 ‘‘(bb) if such individual or person 

17 refuses to provide the signature, by 

18 the staff of the hospital who presented 

19 the written notification, who shall in20 clude his or her name and title, a cer21 tification that the notification was 

22 presented, and the date and time the 

23 notification was presented; 


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1 ‘‘(II) is written and formatted using 

2 language that is clear and easily under3 standable to Medicare beneficiaries; and 

4 ‘‘(III) is made available in different 

5 languages, as specified by the Secretary.’’. 

6 (b) EFFECTIVE DATE.—The amendments made by 

7 subsection (a) shall apply with respect to items and serv8 ices furnished on or after the date that is six months after 

9 the date of the enactment of this Act. 

Æ 


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