(c) APPLICATION
TO MEDICARE MANAGED CARE
PLANS.—
(1) 
MEDICARE+CHOICE
PLANS.—Section
1852(d)(1) of the Social Security Act (42 U.S.C.
1395w–22(d)(1)) is amended—
(A) by striking ‘‘and’’ at the end of sub-
paragraph (D);
(B) by striking the period at the end of
subparagraph (E) and inserting ‘‘; and’’; and
(C) by adding at the end the following new
subparagraph:
‘‘(F) meets the requirements of section
2753 of the Public Health Service Act with re-
spect to individuals enrolled with the organiza-
tion under this part.’’.
(2) SECTION 1876.—Section 1876(c)(4) of the
Social Security Act (42 U.S.C. 1395mm(c)(4)) is
amended—
(A) by striking ‘‘and’’ at the end of sub-
paragraph (A);
(B) by striking the period at the end of
subparagraph (B) and inserting ‘‘, and’’; and
(C) by adding at the end the following new
subparagraph:
‘‘(C) meets the requirements of section 2753 of
the Public Health Service Act with respect to indi-
viduals enrolled with the organization under this sec-
tion.’’.
(d) APPLICATION
TO MEDICAID MANAGED CARE
PLANS.—Title XIX of such Act (42 U.S.C. 1396 et seq.)
is amended by inserting after section 1908 the following
new section:
‘‘EQUITY IN PROVISION OF PRESCRIPTION DRUG
COVERAGE
‘‘SEC. 1909. (a) IN GENERAL.—A State plan may
not be approved under this title, and Federal financial
participation not available under section 1903(a) with re-
spect to such a plan, unless the plan requires each health
insurance issuer or other entity with a contract with such
plan to provide coverage or benefits to individuals eligible
for medical assistance under the plan to comply with the
provisions of section 2753 of the Public Health Service
Act with respect to such coverage or benefits.
‘‘(b) WAIVERS PROHIBITED.—The requirement of
subsection (a) may not be waived under section 1115 or
section 1915(b).’’.
(e) MEDIGAP AND MEDICARE SELECT POLICIES.—
Section 1882 of such Act (42 U.S.C. 1395ss) is
amended—
(1) in subsection (s)(2), by adding at the end
the following new subparagraph:
‘‘(E) An issuer of a medicare supplemental policy (as
defined in section 1882(g)) shall comply with the require-
ments of section 2753 of the Public Health Service Act
with respect to benefits offered under such policy.’’; and
(2) in subsection (t)(1)—
(A) in subparagraph (B), by inserting
‘‘subject to subparagraph (G),’’ after ‘‘(B)’’,
(B) by striking ‘‘and’’ at the end of sub-
paragraph (E),
(C) by striking the period at the end of
subparagraph (F) and inserting ‘‘; and’’, and
(D) by adding at the end the following new
subparagraph:
‘‘(G) the issuer of the policy complies with the
requirements of section 2753 of the Public Health
Service Act with respect to enrollees under this sub-
section.’’.
(f) FEHBP.—Section 8902 of title 5, United States
Code, is amended by adding at the end the following new
subsection:
‘‘(p) A contract may not be made or a plan approved
which excludes does not comply with the requirements of
section 2753 of the Public Health Service Act.’’.
(g) EFFECTIVE DATES.—(1)(A) Subject to subpara-
graph (B), the amendments made by subsection (a) apply
with respect to group health plans for plan years begin-
ning on or after January 1, 2003.
(B) In the case of a group health plan maintained
pursuant to 1 or more collective bargaining agreements
between employee representatives and 1 or more employ-
ers ratified before the date of enactment of this Act, the
amendments made by subsection (a) do not apply to plan
years beginning before the later of—
(i) the date on which the last collective bar-
gaining agreements relating to the plan terminates
(determined without regard to any extension thereof
agreed to after the date of enactment of this Act),
or
(ii) January 1, 2003.
For purposes of clause (i), any plan amendment made pur-
suant to a collective bargaining agreement relating to the
plan which amends the plan solely to conform to any re-
quirement added by subsection (a) shall not be treated as
a termination of such collective bargaining agreement.
(2) The amendments made by subsection (b) apply
with respect to health insurance coverage offered, sold,
issued, renewed, in effect, or operated in the individual
market on or after January 1, 2003.
(3) The amendment made by subsection (c) apply to
contracts for contract periods beginning on or after Janu-
ary 1, 2003.
(4) The amendment made by subsection (d) apply to
Federal financial participation for State plan expenditures
made on or after January 1, 2003.
(5) The amendments made by subsection (e) apply
with respect to medicare supplemental policies and medi-
care select policies offered, sold, issued, renewed, in effect,
or operated on and after January 1, 2003.
(6) The amendment made by subsection (f) apply
with respect to contracts for periods beginning on and
after January 1, 2003.
(h) COORDINATION OF ADMINISTRATION.—The Sec-
retary of Labor, the Secretary of the Treasury, and the
Secretary of Health and Human Services shall ensure,
through the execution of an interagency memorandum of
understanding among such Secretaries, that—
(1) regulations, rulings, and interpretations
issued by such Secretaries relating to the same mat-
ter over which two or more such Secretaries have re-
sponsibility under the provisions of this Act (and the
amendments made thereby) are administered so as
to have the same effect at all times; and
(2) coordination of policies relating to enforcing
the same requirements through such Secretaries in
order to have a coordinated enforcement strategy
that avoids duplication of enforcement efforts and
assigns priorities in enforcement.
Æ