453
HR 2015 EAS
payments that may be made by the Secretary under
this section shall not exceed $27,000,000.
Subtitle D—Anti-Fraud and Abuse
Provisions and Improvements in
Protecting Program Integrity
CHAPTER 1—REVISIONS TO SANCTIONS
FOR FRAUD AND ABUSE
SEC. 5201. AUTHORITY TO REFUSE TO ENTER INTO MEDI-
CARE AGREEMENTS WITH INDIVIDUALS OR
ENTITIES CONVICTED OF FELONIES.
(a) MEDICARE PART A.—Section 1866(b)(2) (42
U.S.C. 1395cc(b)(2)) is amended—
(1) in subparagraph (B), by striking ‘‘or’’ at the
end;
(2) in subparagraph (C), by striking the period
at the end and inserting ‘‘, or’’; and
(3) by adding at the end the following:
‘‘(D) has ascertained that the provider has
been convicted of a felony under Federal or State
law for an offense that the Secretary determines
is inconsistent with the best interests of program
beneficiaries.’’.
(b) MEDICARE PART B.—Section 1842 (42 U.S.C.
1395u) is amended by adding at the end the following:
454
HR 2015 EAS
‘‘(s) The Secretary may refuse to enter into an agree-
ment with a physician or supplier under subsection (h),
or may terminate or refuse to renew such agreement, in
the event that such physician or supplier has been convicted
of a felony under Federal or State law for an offense which
the Secretary determines is inconsistent with the best inter-
ests of program beneficiaries.’’.
(c) EFFECTIVE DATE.—The amendments made by this
section shall take effect on the date of the enactment of this
Act and apply to the entry and renewal of contracts on
or after such date.
SEC. 5202. EXCLUSION OF ENTITY CONTROLLED BY FAMILY
MEMBER OF A SANCTIONED INDIVIDUAL.
(a) IN GENERAL.—Section 1128 (42 U.S.C. 1320a–7)
is amended—
(1) in subsection (b)(8)(A)—
(A) in clause (i), by striking ‘‘or’’ at the
end;
(B) in clause (ii), by striking the dash at
the end and inserting ‘‘; or’’; and
(C) by inserting after clause (ii) the follow-
ing:
‘‘(iii) who was described in clause (i) but is
no longer so described because of a transfer of
ownership or control interest, in anticipation of
455
HR 2015 EAS
(or following) a conviction, assessment, or exclu-
sion described in subparagraph (B) against the
person, to an immediate family member (as de-
fined in subsection (j)(1)) or a member of the
household of the person (as defined in subsection
(j)(2)) who continues to maintain an interest de-
scribed in such clause—’’; and
(2) by adding at the end the following:
‘‘(j) DEFINITION OF IMMEDIATE FAMILY MEMBER AND
MEMBER
OF HOUSEHOLD.—For purposes of subsection
(b)(8)(A)(iii):
‘‘(1) The term ‘immediate family member’
means, with respect to a person—
‘‘(A) the husband or wife of the person;
‘‘(B) the natural or adoptive parent, child,
or sibling of the person;
‘‘(C) the stepparent, stepchild, stepbrother,
or stepsister of the person;
‘‘(D) 
the 
father-, 
mother-, 
daughter-,
son-, brother-, or sister-in-law of the person;
‘‘(E) the grandparent or grandchild of the
person; and
‘‘(F) the spouse of a grandparent or grand-
child of the person.
456
HR 2015 EAS
‘‘(2) The term ‘member of the household’ means,
with respect to any person, any individual sharing a
common abode as part of a single family unit with
the person, including domestic employees and others
who live together as a family unit, but not including
a roomer or boarder.’’.
(b) EFFECTIVE DATE.—The amendments made by sub-
section (a) shall take effect on the date that is 45 days after
the date of the enactment of this Act.
SEC. 5203. IMPOSITION OF CIVIL MONEY PENALTIES.
(a) CIVIL MONEY PENALTIES FOR PERSONS THAT
CONTRACT
WITH
EXCLUDED
INDIVIDUALS.—Section
1128A(a) (42 U.S.C. 1320a–7a(a)) is amended—
(1) in paragraph (4), by striking ‘‘or’’ at the
end;
(2) in paragraph (5), by adding ‘‘or’’ at the end;
and
(3) by inserting after paragraph (5) the follow-
ing:
‘‘(6) arranges or contracts (by employment or
otherwise) with an individual or entity that the per-
son knows or should know is excluded from participa-
tion in a Federal health care program (as defined in
section 1128B(f)), for the provision of items or serv-
457
HR 2015 EAS
ices for which payment may be made under such a
program;’’.
(b) CIVIL MONEY PENALTIES FOR SERVICES ORDERED
OR PRESCRIBED BY AN EXCLUDED INDIVIDUAL OR EN-
TITY.—Section 1128A(a)(1) (42 U.S.C. 1320a–7a(a)(1)) is
amended—
(1) in subparagraph (D)—
(A) by inserting ‘‘, ordered, or prescribed by
such person’’ after ‘‘other item or service fur-
nished’’;
(B) by inserting ‘‘(pursuant to this title or
title XVIII)’’ after ‘‘period in which the person
was excluded’’;
(C) by striking ‘‘pursuant to a determina-
tion by the Secretary’’ and all that follows
through ‘‘the provisions of section 1842(j)(2)’’;
and
(D) by striking ‘‘or’’ at the end;
(2) by redesignating subparagraph (E) as sub-
paragraph (F); and
(3) by inserting after subparagraph (D) the fol-
lowing:
‘‘(E) is for a medical or other item or serv-
ice ordered or prescribed by a person excluded
pursuant to this title or title XVIII from the pro-
458
HR 2015 EAS
gram under which the claim was made, and the
person furnishing such item or service knows or
should know of such exclusion, or’’.
(c) CIVIL MONEY PENALTIES FOR KICKBACKS.—
(1) PERMITTING SECRETARY TO IMPOSE CIVIL
MONEY
PENALTY.—Section 1128A(a) (42 U.S.C.
1320a–7a(a)), as amended by subsection (a), is
amended—
(A) in paragraph (5), by striking ‘‘or’’ at
the end;
(B) in paragraph (6), by adding ‘‘or’’ at
the end; and
(C) by adding after paragraph (6) the fol-
lowing:
‘‘(7) commits an act described in paragraph (1)
or (2) of section 1128B(b);’’.
(2) DESCRIPTION OF CIVIL MONEY PENALTY AP-
PLICABLE.—Section 1128A(a) (42 U.S.C. 1320a–
7a(a)), as amended by paragraph (1), is amended in
the matter following paragraph (7)—
(A) by striking ‘‘occurs).’’ and inserting
‘‘occurs; or in cases under paragraph (7),
$50,000 for each such act).’’; and
(B) by inserting after ‘‘of such claim’’ the
following: ‘‘(or, in cases under paragraph (7),
459
HR 2015 EAS
damages of not more than 3 times the total
amount of remuneration offered, paid, solicited,
or received, without regard to whether a portion
of such remuneration was offered, paid, solicited,
or received for a lawful purpose)’’.
(d) EFFECTIVE DATES.—
(1) CONTRACTS WITH EXCLUDED PERSONS.—The
amendments made by subsection (a) shall apply to
arrangements and contracts entered into after the
date of the enactment of this Act.
(2) SERVICES ORDERED OR PRESCRIBED.—The
amendments made by subsection (b) shall apply to
items and services furnished, ordered, or prescribed
after the date of the enactment of this Act.
(3) KICKBACKS.—The amendments made by sub-
section (c) shall apply to acts taken after the date of
the enactment of this Act.
CHAPTER 2—IMPROVEMENTS IN
PROTECTING PROGRAM INTEGRITY
SEC. 5211. DISCLOSURE OF INFORMATION, SURETY BONDS,
AND ACCREDITATION.
(a) DISCLOSURE OF INFORMATION, SURETY BOND,
AND ACCREDITATION REQUIREMENT FOR SUPPLIERS OF
DURABLE MEDICAL EQUIPMENT.—Section 1834(a) (42
460
HR 2015 EAS
U.S.C. 1395m(a)) is amended by inserting after paragraph
(15) the following:
‘‘(16) DISCLOSURE
OF
INFORMATION, SURETY
BOND, AND ACCREDITATION.—The Secretary shall not
provide for the issuance (or renewal) of a provider
number for a supplier of durable medical equipment,
for purposes of payment under this part for durable
medical equipment furnished by the supplier, unless
the supplier provides the Secretary on a continuing
basis—
‘‘(A) with—
‘‘(i) full and complete information as
to the identity of each person with an own-
ership or control interest (as defined in sec-
tion 1124(a)(3)) in the supplier or in any
subcontractor (as defined by the Secretary
in regulations) in which the supplier di-
rectly or indirectly has a 5 percent or more
ownership interest; and
‘‘(ii) to the extent determined to be fea-
sible under regulations of the Secretary, the
name of any disclosing entity (as defined in
section 1124(a)(2)) with respect to which a
person with such an ownership or control
interest in the supplier is a person with
461
HR 2015 EAS
such an ownership or control interest in the
disclosing entity;
‘‘(B) with a surety bond in a form specified
by the Secretary and in an amount that is not
less than $50,000; and
‘‘(C) at the discretion of the Secretary, with
evidence of compliance with the applicable condi-
tions or requirements of this title through an ac-
creditation survey conducted by a national ac-
creditation body under section 1865(b).
The Secretary may waive the requirement of a bond under
subparagraph (B) in the case of a supplier that provides
a comparable surety bond under State law.’’.
(b) SURETY BOND REQUIREMENT FOR HOME HEALTH
AGENCIES.—
(1) IN GENERAL.—Section 1861(o) (42 U.S.C.
1395x(o)) is amended—
(A) in paragraph (7), by inserting ‘‘and in-
cluding providing the Secretary on a continuing
basis with a surety bond in a form specified by
the Secretary and in an amount that is not less
than $50,000’’ after ‘‘financial security of the
program’’; and
(B) by adding at the end the following:
‘‘The Secretary may waive the requirement of a
462
HR 2015 EAS
surety bond under paragraph (7) in the case of
an agency or organization that provides a com-
parable surety bond under State law.’’.
(2) 
CONFORMING
AMENDMENTS.—Section
1861(v)(1)(H) (42 U.S.C. 1395x(v)(1)(H)) is amend-
ed—
(A) in clause (i), by striking ‘‘the financial
security requirement’’ and inserting ‘‘the finan-
cial security and surety bond requirements’’; and
(B) in clause (ii), by striking ‘‘the financial
security requirement described in subsection
(o)(7) applies’’ and inserting ‘‘the financial secu-
rity and surety bond requirements described in
subsection (o)(7) apply’’.
(3) REFERENCE TO CURRENT DISCLOSURE RE-
QUIREMENT.—For additional provisions requiring
home health agencies to disclose information on own-
ership and control interests, see section 1124 of the
Social Security Act (42 U.S.C. 1320a–3).
(c) AUTHORIZING APPLICATION OF DISCLOSURE AND
SURETY BOND REQUIREMENTS TO AMBULANCE SERVICES
AND CERTAIN CLINICS.—Section 1834(a)(16) (42 U.S.C.
1395m(a)(16)), as added by subsection (a), is amended by
adding at the end the following flush sentence:
463
HR 2015 EAS
The Secretary, in the Secretary’s discretion, may im-
pose the requirements of the previous sentence with re-
spect to some or all classes of suppliers of ambulance
services described in section 1861(s)(7) and clinics
that furnish medical and other health services (other
than physicians’ services) under this part.’’.
(d) APPLICATION TO COMPREHENSIVE OUTPATIENT
REHABILITATION
FACILITIES
(CORFS).—Section
1861(cc)(2) (42 U.S.C. 1395x(cc)(2)) is amended—
(1) in subparagraph (I), by inserting before the
period at the end the following: ‘‘and providing the
Secretary on a continuing basis with a surety bond
in a form specified by the Secretary and in an
amount that is not less than $50,000’’; and
(2) by adding at the end the following flush sen-
tence:
‘‘The Secretary may waive the requirement of a bond under
subparagraph (I) in the case of a facility that provides a
comparable surety bond under State law.’’.
(e) APPLICATION TO REHABILITATION AGENCIES.—
Section 1861(p) (42 U.S.C. 1395x(p)) is amended—
(1) in paragraph (4)(A)(v), by inserting after
‘‘as the Secretary may find necessary,’’ the following:
‘‘and provides the Secretary, to the extent required by
the Secretary, on a continuing basis with a surety
464
HR 2015 EAS
bond in a form specified by the Secretary and in an
amount that is not less than $50,000,’’, and
(2) by adding at the end the following: ‘‘The Sec-
retary may waive the requirement of a bond under
paragraph (4)(A)(v) in the case of a clinic or agency
that provides a comparable surety bond under State
law.’’.
(f) EFFECTIVE DATES.—
(1) SUPPLIERS
OF
DURABLE
MEDICAL
EQUIP-
MENT.—The amendment made by subsection (a) shall
apply to suppliers of durable medical equipment with
respect to such equipment furnished on or after Janu-
ary 1, 1998.
(2) HOME HEALTH AGENCIES.—The amendments
made by subsection (b) shall apply to home health
agencies with respect to services furnished on or after
January 1, 1998. The Secretary of Health and
Human Services shall modify participation agree-
ments under section 1866(a)(1) of the Social Security
Act (42 U.S.C. 1395cc(a)(1)) with respect to home
health agencies to provide for implementation of such
amendments on a timely basis.
(3) OTHER
AMENDMENTS.—The amendments
made by subsections (c) through (e) shall take effect
on the date of the enactment of this Act and may be
465
HR 2015 EAS
applied with respect to items and services furnished
on or after the date specified in paragraph (1).
SEC. 5212. PROVISION OF CERTAIN IDENTIFICATION NUM-
BERS.
(a) REQUIREMENTS TO DISCLOSE EMPLOYER IDENTI-
FICATION NUMBERS (EINS) AND SOCIAL SECURITY AC-
COUNT NUMBERS (SSNS).—Section 1124(a)(1) (42 U.S.C.
1320a–3(a)(1)) is amended by inserting before the period
at the end the following: ‘‘and supply the Secretary with
the both the employer identification number (assigned pur-
suant to section 6109 of the Internal Revenue Code of 1986)
and social security account number (assigned under section
205(c)(2)(B)) of the disclosing entity, each person with an
ownership or control interest (as defined in subsection
(a)(3)), and any subcontractor in which the entity directly
or indirectly has a 5 percent or more ownership interest’’.
(b) OTHER MEDICARE PROVIDERS.—Section 1124A
(42 U.S.C. 1320a–3a) is amended—
(1) in subsection (a)—
(A) in paragraph (1), by striking ‘‘and’’ at
the end;
(B) in paragraph (2), by striking the period
at the end and inserting ‘‘; and’’; and
(C) by adding at the end the following:
466
HR 2015 EAS
‘‘(3) including the employer identification num-
ber (assigned pursuant to section 6109 of the Internal
Revenue Code of 1986) and social security account
number (assigned under section 205(c)(2)(B)) of the
disclosing part B provider and any person, managing
employee, or other entity identified or described under
paragraph (1) or (2).’’; and
(2) in subsection (c)(1), by inserting ‘‘(or, for
purposes of subsection (a)(3), any entity receiving
payment)’’ after ‘‘on an assignment-related basis’’.
(c) VERIFICATION BY SOCIAL SECURITY ADMINISTRA-
TION (SSA).—Section 1124A (42 U.S.C. 1320a–3a), as
amended by subsection (b), is amended—
(1) by redesignating subsection (c) as subsection
(d); and
(2) by inserting after subsection (b) the follow-
ing:
‘‘(c) VERIFICATION.—
‘‘(1) TRANSMITTAL
BY
HHS.—The Secretary
shall transmit—
‘‘(A) to the Commissioner of Social Security
information concerning each social security ac-
count 
number 
(assigned 
under 
section
205(c)(2)(B)), and
467
HR 2015 EAS
‘‘(B) to the Secretary of the Treasury infor-
mation concerning each employer identification
number (assigned pursuant to section 6109 of the
Internal Revenue Code of 1986),
supplied to the Secretary pursuant to subsection
(a)(3) or section 1124(c) to the extent necessary for
verification of such information in accordance with
paragraph (2).
‘‘(2) VERIFICATION.—The Commissioner of So-
cial Security and the Secretary of the Treasury shall
verify the accuracy of, or correct, the information
supplied by the Secretary to such official pursuant to
paragraph (1), and shall report such verifications or
corrections to the Secretary.
‘‘(3) FEES
FOR
VERIFICATION.—The Secretary
shall reimburse the Commissioner and Secretary of
the Treasury, at a rate negotiated between the Sec-
retary and such official, for the costs incurred by such
official in performing the verification and correction
services described in this subsection.’’.
(d) REPORT.—The Secretary of Health and Human
Services shall submit to Congress a report on steps the Sec-
retary has taken to assure the confidentiality of social secu-
rity account numbers that will be provided to the Secretary
under the amendments made by this section.
468
HR 2015 EAS
(e) EFFECTIVE DATES.—
(1) DISCLOSURE REQUIREMENTS.—The amend-
ment made by subsection (a) shall apply to the appli-
cation of conditions of participation, and entering
into and renewal of contracts and agreements, occur-
ring more than 90 days after the date of submission
of the report under subsection (d).
(2) OTHER PROVIDERS.—The amendments made
by subsection (b) shall apply to payment for items
and services furnished more than 90 days after the
date of submission of such report.
SEC. 5213. APPLICATION OF CERTAIN PROVISIONS OF THE
BANKRUPTCY CODE.
(a) RESTRICTED
APPLICABILITY
OF
BANKRUPTCY
STAY, DISCHARGE, AND PREFERENTIAL TRANSFER PROVI-
SIONS TO MEDICARE AND MEDICAID DEBTS.—Part A of
title XI (42 U.S.C. 1301 et seq.) is amended by inserting
after section 1143 the following:
‘‘APPLICATION OF CERTAIN PROVISIONS OF THE
BANKRUPTCY CODE
‘‘SEC. 1144. (a) MEDICARE AND MEDICAID-RELATED
ACTIONS NOT STAYED BY BANKRUPTCY PROCEEDINGS.—
The commencement or continuation of any action against
a debtor under this title or title XVIII or XIX (other than
an action with respect to health care services for the debtor
under title XVIII), including any action or proceeding to
469
HR 2015 EAS
exclude or suspend the debtor from program participation,
assess civil money penalties, recoup or set off overpayments,
or deny or suspend payment of claims shall not be subject
to the provisions of section 362(a) of title 11, United States
Code.
‘‘(b) CERTAIN MEDICARE- AND MEDICAID-RELATED
DEBT NOT DISCHARGEABLE
IN BANKRUPTCY.—A debt
owed to the United States or to a State for an overpayment
under title XVIII or XIX (other than an overpayment for
health care services for the debtor under title XVIII) result-
ing from the fraudulent actions of the debtor, or for a pen-
alty, fine, or assessment under this title or title XVIII or
XIX, shall not be dischargeable under any provision of title
11, United States Code.
‘‘(c) REPAYMENT OF CERTAIN DEBTS CONSIDERED
FINAL.—Payments made to repay a debt to the United
States or to a State with respect to items or services pro-
vided, or claims for payment made, under title XVIII or
XIX (including repayment of an overpayment (other than
an overpayment for health care services for the debtor under
title XVIII) resulting from the fraudulent actions of the
debtor), or to pay a penalty, fine, or assessment under this
title or title XVIII or XIX, shall be considered final and
not preferential transfers under section 547 of title 11,
United States Code.’’.
470
HR 2015 EAS
(b) MEDICARE RULES APPLICABLE TO BANKRUPTCY
PROCEEDINGS.—Title XVIII (42 U.S.C. 1395 et seq.) is
amended by adding at the end the following:
‘‘APPLICATION OF PROVISIONS OF THE BANKRUPTCY CODE
‘‘SEC. 1894. (a) USE OF MEDICARE STANDARDS AND
PROCEDURES.—Notwithstanding any provision of title 11,
United States Code, or any other provision of law, in the
case of claims by a debtor in bankruptcy for payment under
this title, the determination of whether the claim is allow-
able and of the amount payable, shall be made in accord-
ance with the provisions of this title and title XI and imple-
menting regulations.
‘‘(b) NOTICE TO CREDITOR OF BANKRUPTCY PETI-
TIONER.—In the case of a debt owed to the United States
with respect to items or services provided, or claims for pay-
ment made, under this title (including a debt arising from
an overpayment or a penalty, fine, or assessment under title
XI or this title), the notices to the creditor of bankruptcy
petitions, proceedings, and relief required under title 11,
United States Code (including under section 342 of that
title and section 2002(j) of the Federal Rules of Bankruptcy
Procedure), shall be given to the Secretary. Provision of
such notice to a fiscal agent of the Secretary shall not be
considered to satisfy this requirement.
‘‘(c) TURNOVER OF PROPERTY TO THE BANKRUPTCY
ESTATE.—For purposes of section 542(b) of title 11, United
471
HR 2015 EAS
States Code, a claim for payment under this title shall not
be considered to be a matured debt payable to the estate
of a debtor until such claim has been allowed by the Sec-
retary in accordance with procedures under this title.’’.
(c) EFFECTIVE DATE.—The amendments made by this
section shall apply to bankruptcy petitions filed after the
date of the enactment of this Act.
SEC. 5214. REPLACEMENT OF REASONABLE CHARGE METH-
ODOLOGY BY FEE SCHEDULES.
(a) IN GENERAL.—Section 1833(a)(1) (42 U.S.C.
1395l(a)(1)) is amended in the matter preceding subpara-
graph (A) by striking ‘‘the reasonable charges for the serv-
ices’’ and inserting ‘‘the lesser of the actual charges for the
services and the amounts determined by the applicable fee
schedules developed by the Secretary for the particular serv-
ices’’.
(b) CONFORMING AMENDMENTS.—
(1) Section 1833(a)(1) (42 U.S.C. 1395l(a)(1)) is
amended—
(A) in subparagraph (A), by striking ‘‘rea-
sonable charges for’’ and inserting ‘‘payment
bases otherwise applicable to’’;
(B) in subparagraph (B), by striking ‘‘rea-
sonable charges’’ and inserting ‘‘fee schedule
amounts’’; and
472
HR 2015 EAS
(C) by inserting after subparagraph (F) the
following: ‘‘(G) with respect to services described
in clause (i) or (ii) of section 1861(s)(2)(K) (re-
lating to physician assistants and nurse practi-
tioners), the amounts paid shall be 80 percent of
the lesser of the actual charge for the services and
the applicable amount determined under sub-
clause (I) or (II) of section 1842(b)(12)(A)(ii),’’.
(2) Section 1833(a)(2) (42 U.S.C. 1395l(a)(2)) is
amended—
(A) in subparagraph (B), in the matter pre-
ceding clause (i), by striking ‘‘(C), (D),’’ and in-
serting ‘‘(D)’’; and
(B) by striking subparagraph (C).
(3) Section 1833(l) (42 U.S.C. 1395l(l)) is
amended—
(A) in paragraph (3)—
(i) by striking subparagraph (B); and
(ii) by striking ‘‘(3)(A)’’ and inserting
‘‘(3)’’; and
(B) by striking paragraph (6).
(4) 
Section 
1834(a)(10)(B) 
(42 
U.S.C.
1395m(a)(10)(B)) is amended by striking ‘‘para-
graphs (8) and (9)’’ and all that follows through ‘‘sec-
tion 1848(i)(3).’’ and inserting ‘‘section 1842(b)(8) to
473
HR 2015 EAS
covered items and suppliers of such items and pay-
ments under this subsection as such provisions would
otherwise apply to physicians’ services and physi-
cians.’’.
(5) 
Section 
1834(g)(1)(A)(ii) 
(42 
U.S.C.
1395m(g)(1)(A)(ii)) is amended in the heading by
striking 
‘‘REASONABLE
CHARGES
FOR
PROFES-
SIONAL’’ and inserting ‘‘PROFESSIONAL’’.
(6) Section 1842(a) (42 U.S.C. 1395u(a)) is
amended—
(A) in the matter preceding paragraph (1),
by striking ‘‘reasonable charge’’ and inserting
‘‘fee schedule’’; and
(B) in paragraph (1)(A), by striking ‘‘rea-
sonable charge’’ and inserting ‘‘other’’.
(7) Section 1842(b)(3) (42 U.S.C. 1395u(b)(3))
is amended—
(A) in subparagraph (B)—
(i) in the matter preceding clause (i),
by striking ‘‘where payment’’ and all that
follows through ‘‘made—’’ and inserting
‘‘where payment under this part for a serv-
ice is on a basis other than a cost basis,
such payment will (except as otherwise pro-
vided in section 1870(f)) be made—’’; and
474
HR 2015 EAS
(ii) by striking clause (ii)(I) and in-
serting the following: ‘‘(I) the amount deter-
mined by the applicable payment basis
under this part is the full charge for the
service,’’; and
(B) by striking the second, third, fourth,
fifth, sixth, eighth, and ninth sentences.
(8) Section 1842(b)(4) (42 U.S.C. 1395u(b)(4))
is amended to read as follows:
‘‘(4) In the case of an enteral or parenteral pump that
is furnished on a rental basis during a period of medical
need—
‘‘(A) monthly rental payments shall not be made
under this part for more than 15 months during that
period, and
‘‘(B) after monthly rental payments have been
made for 15 months during that period, payment
under this part shall be made for maintenance and
servicing of the pump in amounts that the Secretary
determines to be reasonable and necessary to ensure
the proper operation of the pump.’’.
(9) Section 6112(b) (42 U.S.C. 1395m note; Pub-
lic Law 101–239) of OBRA—1989 is repealed.
(10) Section 1842(b)(7) (42 U.S.C. 1395u(b)(7))
is amended—
475
HR 2015 EAS
(A) in subparagraph (D)(i), in the matter
preceding subclause (I), by striking ‘‘, to the ex-
tent that such payment is otherwise allowed
under this paragraph,’’;
(B) in subparagraph (D)(ii), by striking
‘‘subparagraph’’ and inserting ‘‘paragraph’’;
(C) by striking ‘‘(7)(A) In the case of’’ and
all that follows through subparagraph (C);
(D) by striking ‘‘(D)(i)’’ and inserting
‘‘(7)(A)’’;
(E) by redesignating clauses (ii) and (iii)
as subparagraphs (B) and (C), respectively; and
(F) by redesignating subclauses (I), (II),
and (III) of subparagraph (A) (as redesignated
by subparagraph (D) of this paragraph) as
clauses (i), (ii), and (iii), respectively.
(11) Section 1842(b)(9) (42 U.S.C. 1395u(b)(9))
is repealed.
(12) 
Section 
1842(b)(10) 
(42 
U.S.C.
1395u(b)(10)) is repealed.
(13) 
Section 
1842(b)(11) 
(42 
U.S.C.
1395u(b)(11)) is amended—
(A) by striking subparagraphs (B) through
(D);
481
HR 2015 EAS
SEC. 5217. REPORT BY GAO ON OPERATION OF FRAUD AND
ABUSE CONTROL PROGRAM.
Section 1817(k)(6) (42 U.S.C. 1395i(k)(6)) is amended
by inserting ‘‘June 1, 1998, and’’ after ‘‘Not later than’’.
SEC. 5218. COMPETITIVE BIDDING.
(a) GENERAL RULE.—Part B of title XVIII (42 U.S.C.
1395j et seq.) is amended by inserting after section 1846
the following:
‘‘SEC. 1847. COMPETITIVE ACQUISITION OF ITEMS AND
SERVICES.
‘‘(a) ESTABLISHMENT OF BIDDING AREAS.—
‘‘(1) IN GENERAL.—The Secretary shall establish
competitive acquisition areas for contract award pur-
poses for the furnishing under this part after 1997 of
the items and services described in subsection (c). The
Secretary may establish different competitive acquisi-
tion areas under this subsection for different classes of
items and services.
‘‘(2) CRITERIA FOR ESTABLISHMENT.—The com-
petitive acquisition areas established under para-
graph (1) shall be chosen based on the availability
and accessibility of entities able to furnish items and
services, and the probable savings to be realized by the
use of competitive bidding in the furnishing of items
and services in the area.
‘‘(b) AWARDING OF CONTRACTS IN AREAS.—
1077
HR 2015 EAS
1999, through December 31, 2002, the amount
withheld and deducted from the basic pay of a
participant in the Foreign Service Retirement
and Disability System shall be as follows:
‘‘7.25 .......
January 1, 1999, to December 31, 1999.
7.4 .........
January 1, 2000, to December 31, 2000.
7.5 .........
January 1, 2001, to December 31, 2002.
7 ............
After December 31, 2002.’’.
(B) FOREIGN
SERVICE
CRIMINAL
INVES-
TIGATORS/INSPECTORS OF THE OFFICE OF THE
INSPECTOR
GENERAL, 
AGENCY
FOR
INTER-
NATIONAL DEVELOPMENT.—Notwithstanding sec-
tion 805(a)(2) of the Foreign Service Act of 1980
(22 U.S.C. 4045(a)(2)), beginning on January 1,
1999, through December 31, 2002, the amount
withheld and deducted from the basic pay of an
eligible Foreign Service criminal investigator/in-
spector of the Office of the Inspector General,
Agency for International Development partici-
pating in the Foreign Service Retirement and
Disability System shall be as follows:
‘‘7.75 .......
January 1, 1999, to December 31, 1999.
7.9 .........
January 1, 2000, to December 31, 2000.
8 ............
January 1, 2001, to December 31, 2002.
7.5 .........
After December 31, 2002.’’.
(C) MILITARY SERVICE.—Section 805(e) of
the Foreign Service Act of 1980 (22 U.S.C.
4045(e)) is amended—