I 
110TH CONGRESS 
1ST SESSION H. R. 3193 
To amend title XIX of the Social Security Act to establish a minimum 
State dispensing fee for covered outpatient multiple source drugs under 
the Medicaid Program, to modify the application of the average manufac-
turer price (AMP) methodology to drug rebates, to eliminate the State 
option to increase the cap amount on the equity asset test for individuals’ 
eligibility for long-term care assistance under such program, and to 
extend an SSI asset verification demonstration to Medicaid. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 26, 2007 
Mr. DEAL of Georgia (for himself, Mr. BARTON of Texas, and Mr. BUYER) 
introduced the following bill; which was referred to the Committee on En-
ergy and Commerce 
A BILL 
To amend title XIX of the Social Security Act to establish 
a minimum State dispensing fee for covered outpatient 
multiple source drugs under the Medicaid Program, to 
modify the application of the average manufacturer price 
(AMP) methodology to drug rebates, to eliminate the 
State option to increase the cap amount on the equity 
asset test for individuals’ eligibility for long-term care 
assistance under such program, and to extend an SSI 
asset verification demonstration to Medicaid. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
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SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Access to Community 
Pharmacy Preservation Act of 2007’’. 
SEC. 2. DISPENSING FEES FOR MEDICAID COVERED OUT-
PATIENT DRUGS. 
(a) IN GENERAL.—Section 1927(e) of the Social Se-
curity Act (42 U.S.C. 1396r–8(e)) is amended by adding 
at the end the following new paragraph: 
‘‘(6) DISPENSING FEES.— 
‘‘(A) IN
GENERAL.—A State which pro-
vides medical assistance for covered outpatient 
drugs shall pay a dispensing fee for each cov-
ered outpatient drug that is dispensed, in ac-
cordance with this paragraph. A State may vary 
the amount of such dispensing fees, including 
taking into account the special circumstances of 
pharmacies that are serving rural or under-
served areas or that are sole community phar-
macies, so long as such variation is consistent 
with subparagraph (B). 
‘‘(B) MINIMUM DISPENSING FEE PAYMENT 
FOR MULTIPLE SOURCE DRUGS.—A State shall 
establish a dispensing fee under this title for a 
covered outpatient drug that is a multiple 
source drug described in paragraph (4) (wheth-
er or not it may be an innovator multiple source 
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drug) in an amount that is not less than $8 per 
prescription unit. The Secretary shall define 
what constitutes a prescription unit for pur-
poses of the previous sentence.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
subsection (a) shall take effect with respect to a State on 
the later of (1)— 
(1) the date that is 3 months after the date of 
the enactment of this Act; or 
(2) the date that is 3 months after the close of 
the first regular session of the State legislature that 
begins after the date of the enactment of this Act. 
SEC. 3. IMPROVING STATE FLEXIBILITY IN PHARMACY RE-
IMBURSEMENT. 
(a) IN GENERAL.—Section 1927(e)(5) of the Social 
Security Act (42 U.S.C. 1396r–8(e)(5)) is amended by 
striking ‘‘250 percent’’ and inserting ‘‘300 percent’’. 
(b) VARIANCE PERMITTED IN APPLICATION OF AV-
ERAGE MANUFACTURER PRICE.—Such section is further 
amended by adding at the end the following: ‘‘Nothing in 
this paragraph shall be construed as preventing a State 
from varying the amount paid different pharmacies for 
such a product, including taking into account the special 
circumstances of pharmacies that are serving rural or un-
derserved areas or that are sole community pharmacies.’’. 
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(c) EFFECTIVE DATE.—The amendments made by 
this section shall take effect on January 1, 2008. 
SEC. 4. ELIMINATION OF STATE OPTION TO INCREASE CAP 
AMOUNT ON INDIVIDUALS’ EQUITY ASSET 
TEST 
FOR 
ELIGIBILITY 
FOR 
LONG-TERM 
CARE ASSISTANCE UNDER MEDICAID. 
(a) IN GENERAL.—Section 1917(f)(1) of the Social 
Security Act (42 U.S.C. 1396p(f)(1)) is amended by strik-
ing subparagraph (B). 
(b) CONFORMING AMENDMENTS.—Such section is 
further amended— 
(1) in subparagraph (A), by striking ‘‘subpara-
graphs (B) and (C)’’ and inserting ‘‘subparagraph 
(B)’’; 
(2) by redesignating subparagraph (C) as sub-
paragraph (B); and 
(3) in subparagraph (B), as so redesignated, by 
striking ‘‘dollar amounts’’ and inserting ‘‘dollar 
amount’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to individuals who are determined 
eligible for medical assistance with respect to nursing fa-
cility services or other long-term care services based on 
an application filed on or after the date of the enactment 
of this section. 
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SEC. 5. EXTENSION OF SSI ASSET VERIFICATION DEM-
ONSTRATION TO MEDICAID. 
(a) IN GENERAL.—Subject to subsection (b), the Sec-
retary of Health and Human Services shall collaborate 
with the Commissioner of Social Security to provide for 
the use, for purposes of verifying financial eligibility for 
medical assistance under State plans under title XIX of 
the Social Security Act, of the system administered by the 
Commissioner (under section 1631(e)(1)(B)(ii) of such 
Act, 42 U.S.C. 1383(e)(1)(B)(ii)) under which the Com-
missioner may obtain information held by financial institu-
tions in order to verify eligibility for benefits under title 
XVI of such Act. 
(b) LIMITATION.—For purposes of this section, use 
of the system described in subsection (a), and the informa-
tion obtained through such system, shall be limited to de-
terminations of eligibility for medical assistance in States 
in which such system is being used by the Commissioner 
to verify eligibility for benefits under such title XVI. 
(c) SHARING BY COMMISSIONER OF INFORMATION 
OBTAINED FROM FINANCIAL INSTITUTIONS.—Notwith-
standing the Right to Financial Privacy Act of 1978 (12 
U.S.C. 3401 et seq.) or any other provision of law, infor-
mation obtained by the Commissioner from financial insti-
tutions under the system described in subsection (a) may, 
for purposes of carrying out this section, be shared with 
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the agencies of the State specified in subsection (b) which 
are administering the plans of such States under title XIX 
of the Social Security Act. 
Æ 
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