‘‘(II) For 2001 for any of the 50
States and the District of Columbia,
$450.’’.
(b) EFFECTIVE DATE.—The amendments made by
subsection (a) apply to years beginning with 2001.
SEC. 203. ALLOWING MOVEMENT TO 50:50 PERCENT BLEND
IN 2002.
Section 1853(c)(2) of the Social Security Act (42
U.S.C. 1395w–23(c)(2)) is amended—
(1) by striking the period at the end of sub-
paragraph (F) and inserting a semicolon; and
(2) by adding after and below subparagraph
(F) the following:
‘‘except that a Medicare+Choice organization may
elect to apply subparagraph (F) (rather than sub-
paragraph (E)) for 2001 and for 2002.’’.
SEC. 204. INCREASED UPDATE FOR PAYMENT AREAS WITH
ONLY ONE OR NO MEDICARE+CHOICE CON-
TRACTS.
(a) IN GENERAL.—Section 1853(c)(1)(C)(ii) of the
Social Security Act (42 U.S.C. 1395w–23(c)(1)(C)(ii)) is
amended—
(1) by striking ‘‘(ii) For a subsequent year’’
and inserting ‘‘(ii)(I) Subject to subclause (II), for
a subsequent year’’; and
(2) by adding at the end the following new sub-
clause:
‘‘(II) During 2001, 2002, 2003, 2004,
and 
2005, 
in 
the 
case 
of 
a
Medicare+Choice payment area in which
there is no more than one contract entered
into under this part as of July 1 before the
beginning of the year, 102.5 percent of the
annual Medicare+Choice capitation rate
under this paragraph for the area for the
previous year.’’.
(b) CONSTRUCTION.—The amendments made by sub-
section (a) do not affect the payment of a first time bonus
under section 1853(i) of the Social Security Act (42
U.S.C. 1395w–23(i)).
SEC. 205. PERMITTING HIGHER NEGOTIATED RATES IN
CERTAIN 
MEDICARE+CHOICE 
PAYMENT
AREAS BELOW NATIONAL AVERAGE.
Section 1853(c)(1) of the Social Security Act (42
U.S.C. 1395w–23(c)(1)) is amended—
(1) in the matter before subparagraph (A), by
striking ‘‘or (C)’’ and inserting ‘‘(C), or (D)’’; and
(2) by adding at the end the following new sub-
paragraph:
‘‘(D) 
PERMITTING
HIGHER
RATES
THROUGH NEGOTIATION.—
‘‘(i) IN GENERAL.—For each year be-
ginning with 2004, in the case of a
Medicare+Choice payment area for which
the Medicare+Choice capitation rate under
this paragraph would otherwise be less
than the United States per capita cost
(USPCC), as calculated by the Secretary,
a Medicare+Choice organization may ne-
gotiate with the Secretary an annual per
capita rate that—
‘‘(I) reflects an annual rate of in-
crease up to the rate of increase speci-
fied in clause (ii);
‘‘(II) takes into account audited
current data supplied by the organiza-
tion on its adjusted community rate
(as defined in section 1854(f)(3)); and
‘‘(III) does not exceed the United
States per capita cost, as projected by
the Secretary for the year involved.
‘‘(ii) MAXIMUM
RATE
DESCRIBED.—
The rate of increase specified in this clause
for a year is the rate of inflation in private
health insurance for the year involved, as
projected by the Secretary, and includes
such adjustments as may be necessary—
‘‘(I) to reflect the demographic
characteristics in the population under
this title; and
‘‘(II) to eliminate the costs of
prescription drugs.
‘‘(iii) ADJUSTMENTS
FOR
OVER
OR
UNDER PROJECTIONS.—If subparagraph is
applied to an organization and payment
area for a year, in applying this subpara-
graph for a subsequent year the provisions
of paragraph (6)(C) shall apply in the
same manner as such provisions apply
under this paragraph.’’.
TITLE III—SOCIAL SECURITY
AND MEDICARE LOCK-BOX
SEC. 301. SHORT TITLE.
This title may be cited as the ‘‘Social Security and
Medicare Lock-box Act of 2000’’.
SEC. 302. PROTECTION OF SOCIAL SECURITY SURPLUSES.
(a) POINTS OF ORDER TO PROTECT SOCIAL SECU-
RITY SURPLUSES.—Section 312 of the Congressional
Budget Act of 1974 is amended by adding at the end the
following new subsection:
‘‘(g) POINTS OF ORDER TO PROTECT SOCIAL SECU-
RITY SURPLUSES.—
‘‘(1) CONCURRENT
RESOLUTIONS
ON
THE
BUDGET.—It shall not be in order in the House of
Representatives or the Senate to consider any con-
current resolution on the budget, or conference re-
port thereon or amendment thereto, that would set
forth an on-budget deficit for any fiscal year.
‘‘(2) SUBSEQUENT
LEGISLATION.—Except as
provided by paragraph (3), it shall not be in order
in the House of Representatives or the Senate to
consider any bill, joint resolution, amendment, mo-
tion, or conference report if—
‘‘(A) the enactment of that bill or resolu-
tion as reported;
‘‘(B) the adoption and enactment of that
amendment; or
‘‘(C) the enactment of that bill or resolu-
tion in the form recommended in that con-
ference report,
would cause or increase an on-budget deficit for any
fiscal year.
‘‘(3) EXCEPTION.—Paragraph (2) shall not
apply to social security reform legislation as defined
in section 304(1) or Medicare reform legislation as
defined by section 304(2).
‘‘(4) DEFINITION.—For purposes of this sec-
tion, the term ‘on-budget deficit’, when applied to a
fiscal year, means the deficit in the budget as set
forth in the most recently agreed to concurrent reso-
lution on the budget pursuant to section 301(a)(3)
for that fiscal year.’’.
(b) CONTENT OF CONCURRENT RESOLUTION ON THE
BUDGET.—Section 301(a) of the Congressional Budget
Act of 1974 is amended by redesignating paragraphs (6)
and (7) as paragraphs (7) and (8), respectively, and by
inserting after paragraph (5) the following new paragraph:
‘‘(6) the receipts, outlays, and surplus or deficit
in the Federal Old-Age and Survivors Insurance
Trust Fund and the Federal Disability Insurance
Trust Fund, combined, established by title II of the
Social Security Act;’’.
(c) SUPER MAJORITY REQUIREMENT.—(1) Section
904(c)(1) of the Congressional Budget Act of 1974 is
amended by inserting ‘‘312(g),’’ after ‘‘310(d)(2),’’.
(b) SUPER MAJORITY REQUIREMENT.—
(1) POINT OF ORDER.—Section 904(c)(1) of the
Congressional Budget Act of 1974 (as amended by
section 3) is further amended by inserting ‘‘312(h),’’
after ‘‘312(g),’’.
(2) WAIVER.—Section 904(d)(2) of the Con-
gressional Budget Act of 1974 (as amended by sec-
tion 3) is further amended by inserting ‘‘312(h),’’
after ‘‘312(g),’’.
SEC. 304. DEFINITIONS.
As used in this Act:
(1) SOCIAL SECURITY REFORM LEGISLATION.—
The term ‘‘social security reform legislation’’ means
a bill or a joint resolution to save social security and
includes a provision stating the following: ‘‘For pur-
poses of the Social Security and Medicare Lock-box
Act of 2000, this Act constitutes social security re-
form legislation to save social security.’’.
(2) MEDICARE
REFORM
LEGISLATION.—The
term ‘‘Medicare reform legislation’’ means a bill or
a joint resolution to save Medicare and includes a
provision stating the following: ‘‘For purposes of the
Social Security and Medicare Lock-box Act of 2000,
this Act constitutes Medicare reform legislation to
save Medicare.’’.
SEC. 305. EFFECTIVE DATE.
(a) IN GENERAL.—This Act shall take effect upon
the date of its enactment and the amendments made by
this Act shall apply to fiscal year 2001 and subsequent
fiscal years.
(b) EXPIRATION.—(1) Sections 301(a)(6) and 312(g)
of the Congressional Budget Act of 1974 shall expire upon
the enactment of social security reform legislation.
(2) Section 312(h) of the Congressional Budget Act
of 1974 shall expire upon the enactment of Medicare re-
form legislation.
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