SEC. 2. SUNSETTING CERTAIN PENALTIES RELATING TO 
MEANINGFUL EHR USE. 
(a) ELIGIBLE PROFESSIONALS.— 
(1) IN GENERAL.—Section 1848(a)(7) of the 
Social Security Act (42 U.S.C. 1395w–4(a)(7)) is 
amended by striking subparagraph (A). 
(2) EFFECTIVE DATE; REBATE.— 
(A) EFFECTIVE
DATE.—The amendment 
made by paragraph (1) shall apply with respect 
to items and services furnished on or after Jan-
uary 1, 2015. 
(B) REBATE.—With respect to items and 
services furnished during the period beginning 
on January 1, 2015, and ending on the date of 
the enactment of this Act, the Secretary of 
Health and Human Services shall implement a 
method to provide eligible professionals (as de-
fined in section 1848(o)(5)(C) of the Social Se-
curity Act (42 U.S.C. 1395w–4(o)(5)(C))) a re-
imbursement equal to the amount by which— 
(i) the amount of reimbursement 
made under section 1848 of such Act (42 
U.S.C. 1395w–4), before application of 
this subsection, for such items and services 
furnished during such period by such pro-
fessionals; is less than 
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(ii) the amount of reimbursement that 
would have been made under such section, 
after application of this subsection, for 
such items and services furnished by such 
professionals during such period. 
(b) ELIGIBLE HOSPITALS.— 
(1) IN
GENERAL.—Section 1886(b)(3)(B) of 
the 
Social 
Security 
Act 
(42 
U.S.C. 
1395ww(b)(3)(B)) is amended by striking clause 
(ix). 
(2) EFFECTIVE DATE; REBATE.— 
(A) EFFECTIVE
DATE.—The amendment 
made by paragraph (1) shall apply with respect 
to items and services furnished on or after Oc-
tober 1, 2014. 
(B) REBATE.—With respect to items and 
services furnished during the period beginning 
on October 1, 2014, and ending on the date of 
the enactment of this Act, the Secretary of 
Health and Human Services shall implement a 
method to provide eligible hospitals (as defined 
in section 1886(n)(6)(A) of the Social Security 
Act (42 U.S.C. 1395ww(n)(6)(A))) a reimburse-
ment equal to the amount by which— 
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(i) the amount of reimbursement 
made under section 1886 of such Act (42 
U.S.C. 1395ww), before application of this 
subsection, for such items and services fur-
nished during such period by such hos-
pitals; is less than 
(ii) the amount of reimbursement that 
would have been made under such section, 
after application of this subsection, for 
such items and services furnished by such 
hospitals during such period. 
(c) CRITICAL ACCESS HOSPITALS.— 
(1) IN GENERAL.—Section 1814(l) of the Social 
Security Act (42 U.S.C. 1395f(l)) is amended by 
striking paragraph (4). 
(2) EFFECTIVE DATE; REBATE.— 
(A) EFFECTIVE
DATE.—The amendment 
made by paragraph (1) shall apply with respect 
to items and services furnished during a report-
ing period beginning on or after October 1, 
2014. 
(B) REBATE.—With respect to items and 
services furnished during the period beginning 
on the first day on which paragraph (1) applies, 
and ending on the date of the enactment of this 
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Act, the Secretary of Health and Human Serv-
ices shall implement a method to provide crit-
ical access hospitals a reimbursement equal to 
the amount by which— 
(i) the amount of reimbursement 
made under section 1814 of the Social Se-
curity Act (42 U.S.C. 1395f), before appli-
cation of this subsection, for such items 
and services furnished during such period 
by such hospitals; is less than 
(ii) the amount of reimbursement that 
would have been made under such section, 
after application of this subsection, for 
such items and services furnished by such 
hospitals during such period. 
(d) MEDICARE ADVANTAGE.— 
(1) IN GENERAL.—Section 1853 of the Social 
Security Act (42 U.S.C. 1395w–23) is amended— 
(A) in subsection (l)— 
(i) in paragraph (1)— 
(I) by striking ‘‘paragraphs (3) 
and (4)’’ and inserting ‘‘paragraph 
(3)’’; 
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(II) by striking ‘‘sections 1848(o) 
and 1848(a)(7)’’ and inserting ‘‘sec-
tion 1848(o)’’; and 
(III) by striking ‘‘and payment 
adjustments under paragraph (4) 
shall apply to’’; and 
(ii) by striking paragraph (4); and 
(B) in subsection (m)— 
(i) in paragraph (1)— 
(I) by striking ‘‘paragraphs (3) 
and (4)’’ and inserting ‘‘paragraph 
(3)’’; 
(II) by striking ‘‘sections 1886(n) 
and 1886(b)(3)(B)(ix)’’ and inserting 
‘‘section 1886(n)’’; and 
(III) by striking ‘‘and payment 
adjustments under paragraph (4) 
shall apply to’’; and 
(ii) by striking paragraph (4). 
(2) EFFECTIVE DATE; REBATE.— 
(A) EFFECTIVE DATE.—The amendments 
made by paragraph (1) shall apply with respect 
to items and services furnished during an appli-
cable period beginning on or after October 1, 
2014. 
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(B) REBATE.—With respect to items and 
services furnished during the period beginning 
on the first day on which paragraph (1) applies, 
and ending on the date of the enactment of this 
Act, the Secretary of Health and Human Serv-
ices shall implement a method to provide MA 
organizations a reimbursement equal to the 
amount by which— 
(i) the payment amount payable under 
section 1853 of the Social Security Act (42 
U.S.C. 1395w–23) for such organization, 
before application of this subsection, for 
such items and services furnished during 
such period; is less than 
(ii) the payment amount that would 
have been payable under such section for 
such organization, after application of this 
subsection, for such items and services fur-
nished during such period. 
Æ 
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