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of clinical merit and the Secretary has determined that
the facility has the ability to—
(A) attract the participation of clinicians of out-
standing caliber and innovation to the project; and
(B) effectively evaluate the activities of the
project.
(6) In determining which medical centers to select as
locations for demonstration projects under this subsection,
the Secretary shall give special priority to medical centers
that have demonstrated a capability to compete success-
fully for extramural funding support for research into the
effectiveness and cost-effectiveness of the care provided
under the demonstration project.
SEC. 7. PERSONNEL POLICY.
Section 7425 of title 38, United States Code, is
amended by adding at the end the following new sub-
section:
‘‘(c)(1) Notwithstanding any other provision of law,
employees described in paragraph (2), and the personnel
positions in which such employees are employed, are not
subject to any reduction required by law or executive
branch policy in the number or percentage of employees,
or of personnel positions, within specified pay grades.
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‘‘(2) Paragraph (1) applies to employees, and person-
nel positions, of the Veterans Health Administration per-
forming the following functions:
‘‘(A) The provision of, or the supervision of the
provision of, care and services to patients.
‘‘(B) The conduct of research.’’.
SEC. 8. PURCHASES OF PHARMACEUTICAL PRODUCTS.
Section 8125 of title 38, United States Code, is
amended—
(1) by redesignating subsection (e) as sub-
section (f); and
(2) by inserting after subsection (d) the follow-
ing new subsection (e):
‘‘(e)(1) A drug, pharmaceutical or biological product,
or hematology-related product that is listed on the phar-
maceutical supply schedule described in section 8126(a)
of this title may only be procured or ordered from that
supply schedule by or for any entity specified in paragraph
(2), notwithstanding any other provision of law (whether
enacted before, on, or after the date of the enactment of
this subsection).
‘‘(2) An entity specified in this paragraph is (A) any
agency or instrumentality of the Federal Government, or
(B) any other entity that is specified in Federal law or
regulation, as in effect before July 1, 1997, as eligible to
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procure or order drugs, pharmaceutical or biological prod-
ucts, or hematology-related products from such pharma-
ceutical supply schedule.’’.
SEC. 9. TECHNICAL AMENDMENTS.
(a) 
SECTION
CROSS
REFERENCE.—Section
1717(a)(2)(B) of title 38, United States Code, is amended
by striking out ‘‘section 1710(a)(2)’’ and inserting in lieu
thereof ‘‘section 1710(a)’’.
(b) REFERENCES TO MEDICAL CENTERS.—(1) Para-
graphs (1) and (11) of section 7802 of such title are
amended by striking out ‘‘hospitals and homes’’ and in-
serting in lieu thereof ‘‘medical facilities’’.
(2) Section 7803 of such title is amended—
(A) by striking out ‘‘hospitals and homes’’ each
place it appears and inserting in lieu thereof ‘‘medi-
cal facilities’’; and
(B) by striking out ‘‘hospital or home’’ both
places it appears and inserting in lieu thereof ‘‘medi-
cal facility’’.
(c) NAME OF MEDICAL CENTER.—The Wm. Jen-
nings Bryan Dorn Veterans’ Hospital in Columbia, South
Carolina, shall hereafter be known and designated as the
‘‘Wm. Jennings Bryan Dorn Department of Veterans Af-
fairs Medical Center’’. Any reference to such hospital in
any law, regulation, document, map, record, or other
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paper of the United States shall be deemed to be a ref-
erence to the Wm. Jennings Bryan Dorn Department of
Veterans Affairs Medical Center.
Passed the House of Representatives October 6,
1997.
Attest:
ROBIN H. CARLE,
Clerk.