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‘‘(3) COMPLIANCE WITH MANAGED CARE RE-
QUIREMENTS.—The State child health plan shall 
provide for the application of subsections (a)(4), 
(a)(5), (b), (c), (d), and (e) of section 1932 (relating 
to requirements for managed care) to coverage, 
State agencies, enrollment brokers, managed care 
entities, and managed care organizations under this 
title in the same manner as such subsections apply 
to coverage and such entities and organizations 
under title XIX.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
subsection (a) shall apply to contract years for health 
plans beginning on or after July 1, 2008. 
SEC. 153. UPDATED FEDERAL EVALUATION OF CHIP. 
Section 2108(c) of the Social Security Act (42 U.S.C. 
1397hh(c)) is amended by striking paragraph (5) and in-
serting the following: 
‘‘(5) SUBSEQUENT
EVALUATION
USING
UP-
DATED INFORMATION.— 
‘‘(A) IN
GENERAL.—The Secretary, di-
rectly or through contracts or interagency 
agreements, shall conduct an independent sub-
sequent evaluation of 10 States with approved 
child health plans. 
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‘‘(B) SELECTION
OF
STATES
AND
MAT-
TERS INCLUDED.—Paragraphs (2) and (3) shall 
apply to such subsequent evaluation in the 
same manner as such provisions apply to the 
evaluation conducted under paragraph (1). 
‘‘(C) SUBMISSION
TO
CONGRESS.—Not 
later than December 31, 2010, the Secretary 
shall submit to Congress the results of the eval-
uation conducted under this paragraph. 
‘‘(D) FUNDING.—Out of any money in the 
Treasury of the United States not otherwise ap-
propriated, there are appropriated $10,000,000 
for fiscal year 2009 for the purpose of con-
ducting the evaluation authorized under this 
paragraph. Amounts appropriated under this 
subparagraph shall remain available for expend-
iture through fiscal year 2011.’’. 
SEC. 154. ACCESS TO RECORDS FOR IG AND GAO AUDITS 
AND EVALUATIONS. 
Section 2108(d) of the Social Security Act (42 U.S.C. 
1397hh(d)) is amended to read as follows: 
‘‘(d) ACCESS TO RECORDS FOR IG AND GAO AUDITS 
AND EVALUATIONS.—For the purpose of evaluating and 
auditing the program established under this title, the Sec-
retary, the Office of Inspector General, and the Comp-
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troller General shall have access to any books, accounts, 
records, correspondence, and other documents that are re-
lated to the expenditure of Federal funds under this title 
and that are in the possession, custody, or control of 
States receiving Federal funds under this title or political 
subdivisions thereof, or any grantee or contractor of such 
States or political subdivisions.’’. 
SEC. 155. REFERENCES TO TITLE XXI. 
Section 704 of the Medicare, Medicaid, and SCHIP 
Balanced Budget Refinement Act of 1999 (Appendix F, 
113 Stat. 1501A–321), as enacted into law by section 
1000(a)(6) of Public Law 106–113) is repealed and the 
item relating to such section in the table of contents of 
such Act is repealed. 
SEC. 156. RELIANCE ON LAW; EXCEPTION FOR STATE LEG-
ISLATION. 
(a) RELIANCE ON LAW.—With respect to amend-
ments made by this title or title VIII that become effective 
as of a date— 
(1) such amendments are effective as of such 
date whether or not regulations implementing such 
amendments have been issued; and 
(2) Federal financial participation for medical 
assistance or child health assistance furnished under 
title XIX or XXI, respectively, of the Social Security 
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Act on or after such date by a State in good faith 
reliance on such amendments before the date of pro-
mulgation of final regulations, if any, to carry out 
such amendments (or before the date of guidance, if 
any, regarding the implementation of such amend-
ments) shall not be denied on the basis of the 
State’s failure to comply with such regulations or 
guidance. 
(b) EXCEPTION FOR STATE LEGISLATION.—In the 
case of a State plan under title XIX or State child health 
plan under XXI of the Social Security Act, which the Sec-
retary of Health and Human Services determines requires 
State legislation in order for respective plan to meet one 
or more additional requirements imposed by amendments 
made by this title or title VIII, the respective State plan 
shall not be regarded as failing to comply with the require-
ments of such title solely on the basis of its failure to meet 
such an additional requirement before the first day of the 
first calendar quarter beginning after the close of the first 
regular session of the State legislature that begins after 
the date of enactment of this Act. For purposes of the 
previous sentence, in the case of a State that has a 2- 
year legislative session, each year of the session shall be 
considered to be a separate regular session of the State 
legislature. 
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TITLE II—MEDICARE 
BENEFICIARY IMPROVEMENTS 
Subtitle A—Improvements in 
Benefits 
SEC. 201. COVERAGE AND WAIVER OF COST-SHARING FOR 
PREVENTIVE SERVICES. 
(a) PREVENTIVE SERVICES DEFINED; COVERAGE OF 
ADDITIONAL PREVENTIVE SERVICES.—Section 1861 of 
the Social Security Act (42 U.S.C. 1395x) is amended— 
(1) in subsection (s)(2)— 
(A) in subparagraph (Z), by striking 
‘‘and’’ after the semicolon at the end; 
(B) in subparagraph (AA), by adding 
‘‘and’’ after the semicolon at the end; and 
(C) by adding at the end the following new 
subparagraph: 
‘‘(BB) additional pre-
ventive services (described in 
subsection 
(ccc)(1)(M));’’; 
and 
(2) by adding at the end the following new sub-
section: 
‘‘Preventive Services 
‘‘(ccc)(1) The term ‘preventive services’ means the 
following: 
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‘‘(A) Prostate cancer screening tests (as 
defined in subsection (oo)). 
‘‘(B) Colorectal cancer screening tests (as 
defined in subsection (pp)). 
‘‘(C) Diabetes outpatient self-management 
training services (as defined in subsection (qq)). 
‘‘(D) Screening for glaucoma for certain 
individuals 
(as 
described 
in 
subsection 
(s)(2)(U)). 
‘‘(E) Medical nutrition therapy services for 
certain individuals (as described in subsection 
(s)(2)(V)). 
‘‘(F) An initial preventive physical exam-
ination (as defined in subsection (ww)). 
‘‘(G) Cardiovascular screening blood tests 
(as defined in subsection (xx)(1)). 
‘‘(H) Diabetes screening tests (as defined 
in subsection described in subsection (s)(2)(Y)). 
‘‘(I) Ultrasound screening for abdominal 
aortic aneurysm for certain individuals (as de-
scribed in described in subsection (s)(2)(AA)). 
‘‘(J) Pneumococcal and influenza vaccine 
and their administration (as described in sub-
section (s)(10)(A)). 
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‘‘(K) Hepatitis B vaccine and its adminis-
tration for certain individuals (as described in 
subsection (s)(10)(B)). 
‘‘(L) Screening mammography (as defined 
in subsection (jj)). 
‘‘(M) Screening pap smear and screening 
pelvic exam (as described in subsection (s)(14)). 
‘‘(N) Bone mass measurement (as defined 
in subsection (rr)). 
‘‘(O) Additional preventive services (as de-
termined under paragraph (2)). 
‘‘(2)(A) The term ‘additional preventive serv-
ices’ means items and services, including mental 
health services, not described in subparagraphs (A) 
through (N) of paragraph (1) that the Secretary de-
termines to be reasonable and necessary for the pre-
vention or early detection of an illness or disability. 
‘‘(B) In making determinations under subpara-
graph (1), the Secretary shall— 
‘‘(i) take into account evidence-based rec-
ommendations by the United States Preventive 
Services Task Force and other appropriate or-
ganizations; and 
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‘‘(ii) use the process for making national 
coverage determinations (as defined in section 
1869(f)(1)(B)) under this title.’’. 
(b) PAYMENT
AND ELIMINATION
OF COST-SHAR-
ING.— 
(1) IN GENERAL.— 
(A) IN GENERAL.—Section 1833(a)(1) of 
the Social Security Act (42 U.S.C. 1395l(a)(1)) 
is amended— 
(i) in clause (T), by striking ‘‘80 per-
cent’’ and inserting ‘‘100 percent’’; 
(ii) by striking ‘‘and’’ before ‘‘(V)’’; 
and 
(iii) by inserting before the semicolon 
at the end the following: ‘‘, and (W) with 
respect to additional preventive services (as 
defined in section 1861(ccc)(2)) and other 
preventive services for which a payment 
rate is not otherwise established under this 
section, the amount paid shall be 100 per-
cent of the lesser of the actual charge for 
the services or the amount determined 
under a fee schedule established by the 
Secretary for purposes of this clause’’. 
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