‘‘(6) REIMBURSEMENTS
TO
SECRETARY
FOR 
AMOUNTS
PAID
TO
EXCLUDED
PROVIDERS.—The 
Secretary shall not enter into a contract with a 
medicare administrative contractor under this sec-
tion unless the contractor agrees to reimburse the 
Secretary for any amounts paid by the contractor 
for a service under this title which is furnished by 
an individual or entity during any period for which 
the individual or entity is excluded, pursuant to sec-
tion 1128, 1128A, or 1156, from participation in the 
health care program under this title if the amounts 
are paid after the 60-day period beginning on the 
date the Secretary provides notice of the exclusion to 
the contractor, unless the payment was made as a 
result of incorrect information provided by the Sec-
retary or the individual or entity excluded from par-
ticipation has concealed or altered their identity.’’. 
(b) CONFORMING REPEAL OF MANDATORY PAYMENT 
RULE.—Section 1862(e) of the Social Security Act (42 
U.S.C. 1395y(e)) is amended— 
(1) in paragraph (1)(B), by striking ‘‘and when 
the person’’ and all that follows through ‘‘person)’’; 
and 
(2) by amending paragraph (2) to read as fol-
lows: 
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‘‘(2) No individual or entity may bill (or collect any 
amount from) any individual for any item or service for 
which payment is denied under paragraph (1). No indi-
vidual is liable for payment of any amounts billed for such 
an item or service in violation of the preceding sentence.’’. 
(c) EFFECTIVE DATE.— 
(1) IN GENERAL.—The amendments made by 
this section shall apply to claims for payment sub-
mitted on or after the date of enactment of this Act. 
(2) CONTRACT MODIFICATION.—The Secretary 
of Health and Human Services shall take such steps 
as may be necessary to modify contracts entered 
into, renewed, or extended prior to the date of enact-
ment of this Act to conform such contracts to the 
provisions of this section. 
SEC. 6. COMMUNITY MENTAL HEALTH CENTERS. 
(a) IN GENERAL.—Section 1861(ff)(3)(B) of the So-
cial Security Act (42 U.S.C. 1395x(ff)(3)(B)) is amended 
by striking ‘‘entity that—’’ and all that follows and insert-
ing the following: ‘‘entity that— 
‘‘(i) provides the community mental health serv-
ices specified in paragraph (1) of section 1913(c) of 
the Public Health Service Act; 
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‘‘(ii) meets applicable certification or licensing 
requirements for community mental health centers 
in the State in which it is located; 
‘‘(iii) provides a significant share of its services 
to individuals who are not eligible for benefits under 
this title; and 
‘‘(iv) meets such additional standards or re-
quirements for obtaining medicare billing privileges 
as the Secretary may specify to ensure— 
‘‘(I) the health and safety of beneficiaries 
receiving such services; or 
‘‘(II) the furnishing of such services in an 
effective and efficient manner.’’. 
(b) RESTRICTION.—Section 1861(ff)(3)(A) of such 
Act (42 U.S.C. 1395x(ff)(3)(A)) is amended by inserting 
‘‘other than in an individual’s home or in an inpatient or 
residential setting’’ before the period. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to items and services furnished on 
or after the first day of the the sixth month that begins 
after the date of the enactment of this Act. 
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SEC. 7. LIMITING THE DISCHARGE OF DEBTS IN BANK-
RUPTCY PROCEEDINGS IN CASES WHERE A 
HEALTH CARE PROVIDER OR A SUPPLIER EN-
GAGES IN FRAUDULENT ACTIVITY. 
(a) IN GENERAL.— 
(1) CIVIL
MONETARY
PENALTIES.—Section 
1128A(a) of the Social Security Act (42 U.S.C. 
1320a–7a(a)) is amended by adding at the end the 
following: ‘‘Notwithstanding any other provision of 
law, amounts made payable under this section are 
not dischargeable under section 727, 944, 1141, 
1228, or 1328 of title 11, United States Code, or 
any other provision of such title.’’. 
(2) RECOVERY
OF
OVERPAYMENT
TO
PRO-
VIDERS
OF
SERVICES
UNDER
PART
A
OF
MEDI-
CARE.—Section 1815(d) of the Social Security Act 
(42 U.S.C. 1395g(d)) is amended— 
(A) by inserting ‘‘(1)’’ after ‘‘(d)’’; and 
(B) by adding at the end the following: 
‘‘(2) Notwithstanding any other provision of law, 
amounts due to the Secretary under this section are not 
dischargeable under section 727, 944, 1141, 1228, or 
1328 of title 11, United States Code, or any other provi-
sion of such title if the overpayment was the result of 
fraudulent activity, as may be defined by the Secretary.’’. 
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(3) RECOVERY OF OVERPAYMENT OF BENEFITS 
UNDER PART b OF MEDICARE.—Section 1833(j) of 
the Social Security Act (42 U.S.C. 1395l(j)) is 
amended— 
(A) by inserting ‘‘(1)’’ after ‘‘(j)’’; and 
(B) by adding at the end the following: 
‘‘(2) Notwithstanding any other provision of law, 
amounts due to the Secretary under this section are not 
dischargeable under section 727, 944, 1141, 1228, or 
1328 of title 11, United States Code, or any other provi-
sion of such title if the overpayment was the result of 
fraudulent activity, as may be defined by the Secretary.’’. 
(4) COLLECTION
OF
PAST-DUE
OBLIGATIONS 
ARISING FROM BREACH OF SCHOLARSHIP AND LOAN 
CONTRACT.—Section 1892(a) of the Social Security 
Act (42 U.S.C. 1395ccc(a)) is amended by adding at 
the end the following: 
‘‘(5) Notwithstanding any other provision of 
law, amounts due to the Secretary under this section 
are not dischargeable under section 727, 944, 1141, 
1228, or 1328 of title 11, United States Code, or 
any other provision of such title.’’. 
(b) EFFECTIVE DATE.—The amendments made by 
subsection (a) shall apply to bankruptcy petitions filed 
after the date of the enactment of this Act. 
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