I 

112TH CONGRESS 

1ST SESSION H. R. 2694 

To firewall the Medicare Trusts Funds by restoring to those Trust Funds 

funds transferred by the Patient Protection and Affordable Care Act. 

IN THE HOUSE OF REPRESENTATIVES 

JULY 29, 2011 

Mr. CULBERSON (for himself, Mr. POE of Texas, Mrs. BLACKBURN, Mr. 

MCKINLEY, Mr. MCCAUL, Mr. PAUL, and Mr. SAM JOHNSON of Texas) 

introduced the following bill; which was referred to the Committee on 

Ways and Means, and in addition to the Committees on Energy and 

Commerce and Rules, 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 firewall the Medicare Trusts Funds by restoring to those 

Trust Funds funds transferred by the Patient Protection 

and Affordable Care Act. 

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; REFERENCES TO PPACA. 

4 (a) SHORT TITLE.—This Act may be cited as the 

5 ‘‘Medicare Firewall Act of 2011’’. 

6 (b) REFERENCES.—In this Act, the term ‘‘PPACA’’ 

7 means the Patient Protection and Affordable Care Act 


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1 (Public Law 111–148), as amended by the Health Care 

2 and Education Reconciliation Act of 2010 (Public Law 

3 111–152). 

4 SEC. 2. DEFUNDING OF CERTAIN PPACA PROVISIONS TO 

5 RESTORE FUNDING TO MEDICARE TRUST 

6 FUNDS. 

7 (a) DEFUNDING NEW DUTIES FOR CONSENSUS8 BASED ENTITIES AND MULTI-STAKEHOLDER GROUP

9 INPUT (SECTION 3014(c)).— 

10 (1) IN GENERAL.—Section 3014(c) of PPACA 

11 is amended— 

12 (A) by striking ‘‘through 2014’’ and insert13 ing ‘‘through 2011’’; and 

14 (B) by striking ‘‘shall remain available 

15 until expended’’ and inserting ‘‘shall remain 

16 available through the date of the enactment of 

17 the Medicare Firewall Act of 2011’’. 

18 (2) RESTORATION TO MEDICARE TRUST FUNDS

19 OF UNOBLIGATED AMOUNTS THAT WERE TRANS20 FERRED.—Of the funds transferred under such sec21 tion on or before the date of the enactment of this 

22 Act, the unobligated balance shall be transferred 

23 back into the Medicare Trust Fund or Funds from 

24 which it was transferred. 


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1 (b) DEFUNDING OF INDEPENDENCE AT HOME DEM2 ONSTRATION PROGRAM (SECTION 3024).— 

3 (1) IN GENERAL.—Subsection (h) of section 

4 1866E of the Social Security Act (42 U.S.C. 

5 1395cc–5), as inserted by section 3024 of PPACA, 

6 is amended— 

7 (A) by striking ‘‘2015’’ and inserting 

8 ‘‘2011’’; and 

9 (B) by striking ‘‘shall be available until ex10 pended’’ and inserting ‘‘shall be available 

11 through the date of the enactment of the Medi12 care Firewall Act of 2011’’. 

13 (2) RESTORATION TO MEDICARE TRUST FUNDS

14 OF UNOBLIGATED AMOUNTS THAT WERE TRANS15 FERRED.—Of the funds transferred under such sec16 tion 1866D(h) on or before the date of the enact17 ment of this Act, the unobligated balance shall be 

18 transferred back into the Medicare Trust Fund or 

19 Funds from which it was transferred. 

20 (c) DEFUNDING COMMUNITY-BASED CARE TRANSI21 TIONS PROGRAM (SECTION 3026).— 

22 (1) IN GENERAL.—Section 3026(f) of PPACA 

23 is amended— 


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1 (A) by striking ‘‘ ‘the period of fiscal years 

2 2011 through 2015’ ’’ and inserting ‘‘fiscal year 

3 2011’’; and 

4 (B) by striking ‘‘shall remain available 

5 until expended’’ and inserting ‘‘shall remain 

6 available through the date of the enactment of 

7 the Medicare Firewall Act of 2011’’. 

8 (2) RESCISSION OF UNOBLIGATED BALANCE.— 

9 Of the funds transferred under such section on or 

10 before the date of the enactment of this Act, the un11 obligated balance shall be transferred back into the 

12 Medicare Trust Fund or Funds from which it was 

13 transferred. 

14 (d) DEFUNDING DEMONSTRATION PROJECT ON SEP15 ARATE PAYMENTS FOR COMPLEX DIAGNOSTIC LABORA16 TORY TESTS (SECTION 3113).— 

17 (1) IN GENERAL.—Section 3113(b) of PPACA 

18 is amended by inserting after ‘‘July 1, 2011’’ the 

19 following: ‘‘, except that the Secretary shall termi20 nate such project as soon as possible after the date 

21 of the enactment of the Medicare Firewall Act of 

22 2011.’’. 

23 (2) RESCISSION OF UNOBLIGATED BALANCE.— 

24 Of the payments made under such section on or be25 fore the date of the enactment of this Act, the unobVerDate Mar 15 2010 02:54 Jul 30, 2011 Jkt 099200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H2694.IH H2694

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1 ligated balance shall be transferred back into the 

2 Medicare Trust Fund or Funds from which it was 

3 transferred. 

4 (e) DEFUNDING OUTREACH AND ASSISTANCE FOR

5 LOW-INCOME PROGRAMS (SECTION 3306).— 

6 (1) IN GENERAL.—Subsections (a)(1)(B), 

7 (b)(1)(B), (c)(1)(B), and (d)(1)(B) of section 119 of 

8 the Medicare Improvements for Patients and Pro9 viders Act of 2008 (42 U.S.C. 1395b–3 note), as 

10 amended by section 3306 of PPACA, are each 

11 amended— 

12 (A) in clause (ii), by striking ‘‘through 

13 2012’’ and inserting ‘‘and 2011’’; and 

14 (B) by striking ‘‘shall remain available 

15 until expended’’ and inserting ‘‘shall remain 

16 available through the date of the enactment of 

17 the Medicare Firewall Act of 2011’’. 

18 (2) RESCISSION OF UNOBLIGATED BALANCE.— 

19 Of the amounts transferred under such subsections 

20 on or before the date of the enactment of this Act, 

21 the unobligated balances shall be transferred back 

22 into the Medicare Trust Fund or Funds from which 

23 it was transferred. 

24 (f) DEFUNDING INDEPENDENT PAYMENT ADVISORY

25 BOARD (IPAB) (SECTION 3403).— 


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1 (1) IN GENERAL.—Section 1899A of the Social 

2 Security Act (42 U.S.C. 1395kkk), as added by sec3 tion 3403(a)(1) of PPACA, is repealed. 

4 (2) CONFORMING AMENDMENTS.— 

5 (A) Section 1805(b) of such Act (42 

6 U.S.C. 1395b–6(b)) is amended by striking 

7 paragraph (4). 

8 (B) Section 207(c) of title 18, United 

9 States Code, is amended by striking paragraph 

10 (3). 

11 (C) Section 10320 of PPACA is amended 

12 by striking subsection (c). 

13 (g) DEFUNDING PREVENTION AND WELLNESS EVAL14 UATION (SECTION 4202(b)).— 

15 (1) IN GENERAL.—Section 4202(b)(4) of 

16 PPACA (42 U.S.C. 300u–14) is amended by strik17 ing ‘‘shall remain available until expended’’ and in18 serting ‘‘shall remain available through the date of 

19 the enactment of the Medicare Firewall Act of 

20 2011’’. 

21 (2) RESCISSION OF UNOBLIGATED BALANCE.— 

22 Of the amounts transferred under such section on or 

23 before the date of the enactment of this Act, the un24 obligated balance shall be transferred back into the 


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1 Medicare Trust Fund or Funds from which it was 

2 transferred. 

3 (h) DEFUNDING PILOT PROGRAM FOR INDIVIDUALS

4 RESIDING IN EMERGENCY DECLARATION AREAS (SEC5 TION 10323(b)).— 

6 (1) IN GENERAL.—Section 1881A(b)(7) of the 

7 Social Security Act (42 U.S.C. 1395rr–1(b)(7)), as 

8 inserted by section 10323(b) of PPACA, is amended 

9 by adding at the end the following: ‘‘No such trans10 fer shall be made after the date of the enactment of 

11 the Medicare Firewall Act of 2011.’’. 

12 (2) RESTORATION OF UNOBLIGATED BAL13 ANCE.—Of the amounts transferred under such sec14 tion on or before the date of the enactment of this 

15 Act, the unobligated balance shall be transferred 

16 back into the Medicare Trust Fund or Funds from 

17 which it was transferred. 

18 SEC. 3. ACCOUNTABILITY FOR TRUST FUND DEMONSTRA19 TION PROJECT EXPENDITURES. 

20 (a) IN GENERAL.—Not later than 1 year after the 

21 date of the enactment of this Act, the Secretary of Health 

22 and Human Services shall submit to the Congress a report 

23 that describes covered demonstration projects and identi24 fies those projects for which initial period of the project 

25 has— 


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1 (1) not demonstrated that the project has met 

2 the objectives specified for the project; or 

3 (2) resulted in net expenditures from the Medi4 care Trust Funds. 

5 (b) PLAN FOR TERMINATION OR MODIFICATION.— 

6 For those covered demonstration projects identified under 

7 subsection (a), the Secretary shall include the report 

8 under such subsection a plan for the termination or modi9 fication of each such project. 

10 (c) COVERED DEMONSTRATION PROJECT.—In this 

11 section, the term ‘‘covered demonstration project’’ means 

12 a demonstration, pilot, or similar project undertaken with 

13 some or all funding from any of the Medicare Trust 

14 Funds. 

Æ 


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