of services previously performed by employees
of the Department.
‘‘(b) The Secretary may establish alternative person-
nel systems or procedures for personnel at facilities oper-
ating as or with health plans under the Health Security
Act whenever the Secretary considers such action nec-
essary in order to carry out the terms of that Act, except
that the Secretary shall provide for preference eligibles (as
defined in section 2108 of title 5, United States Code)
in a manner comparable to the preference for such eligi-
bles under subchapter I of chapter 33, and subchapter I
of chapter 35, of such title.
‘‘(c) Subject to the provisions of section 1404 of the
Health Security Act, the Secretary may carry out appro-
priate promotional, advertising, and marketing activities
to inform individuals of the availability of facilities of the
Department operating as or within health plans.
‘‘§ 7344. Veterans Health Care Transition Fund
‘‘(a) For each of fiscal years 1995, 1996, and 1997,
the Secretary of the Treasury shall, subject to subsection
(a), credit to a special fund (in this section referred to
as the ‘Fund’) of the Treasury an amount equal to—
‘‘(1) $1,250,000,000 for fiscal year 1995;
‘‘(2) $850,000,000 for fiscal year 1996; and
‘‘(3) $1,950,000,000 for fiscal year 1997.
‘‘(b) Amounts in the Fund shall be available to the
Secretary only for the VA health plans authorized under
this chapter. Such amounts are available without fiscal
year limitation for costs of commencing operation of VA
health plans, including consulting services, procurement of
equipment, marketing, and other costs, minor construc-
tion, and (subject to section 8104 of this title) major con-
struction.
‘‘(c) The Secretary shall submit to Congress, no later
than March 1, 1997, a report concerning the operation
of the Department of Veterans Affairs health care system
in preparing for, and operating under, national health care
reform under the Health Security Act during fiscal years
1995 and 1996. The report shall include a discussion of—
‘‘(1) the adequacy of amounts in the Fund for
the operation of VA health plans;
‘‘(2) the quality of care provided by such plans;
‘‘(3) the ability of such plans to attract pa-
tients; and
‘‘(4) the need (if any) for additional funds for
the Fund in fiscal years after fiscal year 1997.
‘‘§ 7345. Funding provisions: grants and other sources
of assistance
‘‘The Secretary may apply for and accept, if awarded,
any grant or other source of funding that is intended to
meet the needs of special populations and that but for this
section is unavailable to facilities of the Department or
to health plans operated by the Government if funds ob-
tained through the grant or other source of funding will
be used through a facility of the Department operating
as or within a health plan.’’.
(b) CLERICAL AMENDMENT.—The table of sections
at the beginning of chapter 73 is amended by striking out
the item relating to the heading for subchapter IV and
inserting in lieu thereof the following:
‘‘SUBCHAPTER IV—PARTICIPATION AS PART OF NATIONAL HEALTH CARE
REFORM
‘‘7341. Organization of health care facilities as health plans.
‘‘7342. Health care resource agreements.
‘‘7343. Administrative and personnel flexibility.
‘‘7344. Veterans Health Care Transition Fund.
‘‘7345. Funding provisions: grants and other sources of assistance.
‘‘SUBCHAPTER V—RESEARCH CORPORATIONS’’.
SEC. 3. ELIGIBILITY FOR CHAPTER 17 CARE.
(a) NURSING HOME CARE.—Section 1710(a)(1) of
title 38, United States Code, is amended by inserting ‘‘(or,
in the case of a veteran described in subparagraph (A)
or (D) below, shall furnish nursing home care)’’ after
‘‘may furnish nursing home care’’.
(b) OUTPATIENT CARE
FOR ENROLLED VETER-
ANS.—Paragraph (1) of section 1712(a) of such title is
amended—
(1) by striking out ‘‘and’’ at the end of sub-
paragraph (B);
(2) by striking out the period at the end of sub-
paragraph (C) and inserting in lieu thereof ‘‘; and’’;
and
(3) by adding at the end the following:
‘‘(D) to any veteran described in section
1831(b) of this title who is enrolled under section
1811 of this title and the Health Security Act with
a VA health plan (as defined in section 1801 of this
title), for any disability for which care and treatment
is not included within the comprehensive benefit
package (as defined in section 1801 of this title).’’.
(c) OBVIATE-THE-NEED OUTPATIENT CARE.—(1)
Paragraph (2) of such section is amended by striking out
‘‘The Secretary’’ and all the follows through ‘‘this sub-
section—’’ and inserting in lieu thereof ‘‘Except as pro-
vided in subsection (b) of this section, the Secretary shall
furnish on an ambulatory or outpatient basis such medical
services as the Secretary determines are needed—’’.
(2) Paragraph (4) of such section is amended by
striking out ‘‘medical services for a purpose described in
paragraph (5) of this subsection’’ and inserting in lieu
thereof ‘‘, to the extent that facilities are available, such
medical services as the Secretary determines are needed’’.
(3) Such section is further amended by striking out
paragraph (5) and redesignating paragraph (6) as para-
graph (5).
SEC. 4. EFFECTIVE DATE OF COVERAGE FOR HIGH-PRIOR-
ITY VETERANS.
Notwithstanding any other provision of this Act, the
provisions of the amendments made by sections 1, 2, and
3 shall take effect with respect to veterans described in
section 1831(b) of title 38, United States Code, as added
by section 1, on October 1, 1995. The Secretary of Veter-
ans Affairs shall take such steps as necessary to imple-
ment those provisions with respect to those veterans by
that date.
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HR 4124 IH——2