FIED
HEALTH
CENTER
SERVICES.—Serv-
ices described in this clause are—
‘‘(I) rural health clinic services
(as defined in paragraph (1) of sec-
tion 1861(aa)); and
‘‘(II) Federally qualified health
center services (as defined in para-
graph (3) of such section);
that would be described in clause (ii) if
such services were not furnished by an in-
dividual affiliated with a rural health clinic
or a Federally qualified health center.’’.
(b) EFFECTIVE DATE.—The amendments made by
subsection (a) shall apply to services furnished on or after
January 1, 2003.
SEC. 303. TWO-YEAR EXTENSION OF INCREASE FOR MEDI-
CARE HOME HEALTH SERVICES FURNISHED
IN RURAL AREAS.
(a) IN GENERAL.—Section 508(a) of the Medicare,
Medicaid, and SCHIP Benefits Improvement and Protec-
tion Act of 2000 (114 Stat. 2763A–533), as enacted into
law by section 1(a)(6) of Public Law 106–554, is amended
by striking ‘‘April 1, 2003’’ and inserting ‘‘April 1, 2005’’.
(b) TECHNICAL AMENDMENT.—Section 547(c)(2) of
the Medicare, Medicaid, and SCHIP Benefits Improve-
ment and Protection Act of 2000 (114 Stat. 2763A–553),
as enacted into law by section 1(a)(6) of Public Law 106–
554, is amended by striking ‘‘September 30, 2002’’ and
inserting ‘‘April 1, 2005’’.
SEC. 304. FIVE-YEAR EXTENSION OF AVAILABILITY OF
MEDICARE COST CONTRACTS FOR MEDICARE
BENEFICIARIES.
Section 1876(h)(5)(C) of the Social Security Act (42
U.S.C. 1395mm(h)(5)(C)) is amended by striking ‘‘2004’’
and inserting ‘‘2009’’.
TITLE IV—PEDIATRIC DENTAL
PROVISIONS
Subtitle A—Medicaid and SCHIP
SEC. 401. GRANTS TO IMPROVE THE PROVISION OF DENTAL
SERVICES UNDER MEDICAID AND SCHIP.
Title V of the Social Security Act (42 U.S.C. 701
et seq.) is amended by adding at the end the following
new section:
‘‘SEC. 511. GRANTS TO IMPROVE THE PROVISION OF DEN-
TAL SERVICES UNDER MEDICAID AND SCHIP.
‘‘(a) AUTHORITY TO MAKE GRANTS.—In addition to
any other payments made under this title to a State, the
Secretary shall award grants to States that satisfy the re-
quirements of subsection (b) to improve the provision of
dental services to children who are enrolled in a State plan
under title XIX or a State child health plan under title
XXI (in this section, collectively referred to as the ‘State
plans’).
‘‘(b) REQUIREMENTS.—In order to be eligible for a
grant under this section, a State shall provide the Sec-
retary with the following assurances:
‘‘(1) 
IMPROVED
SERVICE
DELIVERY.—The
State shall have a plan to improve the delivery of
dental services to children who are enrolled in the
State plans, including providing outreach and ad-
ministrative case management, improving collection
and reporting of claims data, and providing incen-
tives, in addition to raising reimbursement rates, to
increase provider participation.
‘‘(2) ADEQUATE PAYMENT RATES.—The State
has provided for payment under the State plans for
dental services for children at levels consistent with
the market-based rates and sufficient enough to en-
list providers to treat children in need of dental serv-
ices.
‘‘(3) ENSURED ACCESS.—The State shall en-
sure it will make dental services available to children
enrolled in the State plans to the same extent as
such services are available to the general population
of the State.
‘‘(c) APPLICATION.—A State shall submit an applica-
tion to the Secretary for a grant under this section in such
form and manner and containing such information as the
Secretary may require.
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There
are authorized to be appropriated to make grants under
this section $50,000,000 for fiscal year 2003 and each fis-
cal year thereafter.
‘‘(e) APPLICATION
OF
OTHER
PROVISIONS
OF
TITLE.—
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), the other provisions of this title shall not
apply to a grant made under this section.
‘‘(2) EXCEPTIONS.—The following provisions of
this title shall apply to a grant made under sub-
section (a) to the same extent and in the same man-
ner as such provisions apply to allotments made
under section 502(c):
‘‘(A) Section 504(b)(6) (relating to prohi-
bition on payments to excluded individuals and
entities).
‘‘(B) Section 504(c) (relating to the use of
funds for the purchase of technical assistance).
‘‘(C) Section 504(d) (relating to a limita-
tion on administrative expenditures).
‘‘(D) Section 506 (relating to reports and
audits), but only to the extent determined by
the Secretary to be appropriate for grants made
under this section.
‘‘(E) Section 507 (relating to penalties for
false statements).
‘‘(F) 
Section 
508 
(relating 
to 
non-
discrimination).
‘‘(G) Section 509 (relating to the adminis-
tration of the grant program).’’.
SEC. 402. AUTHORITY TO PROVIDE DENTAL COVERAGE
UNDER SCHIP AS A SUPPLEMENT TO OTHER
HEALTH COVERAGE.
(a) AUTHORITY TO PROVIDE COVERAGE.—
(1) SCHIP.—
(A) IN GENERAL.—Section 2105(a)(1)(C)
of 
the 
Social 
Security 
Act 
(42 
U.S.C.
1397ee(a)(1)(C)) is amended—
(i) by inserting ‘‘(i)’’ after ‘‘(C)’’; and
(ii) by adding at the end the following
new clause:
‘‘(ii) notwithstanding clause (i), in the case
of a State that satisfies the conditions described
in subsection (c)(8), for child health assistance
that consists only of coverage of dental services
for a child who would be considered a targeted
low-income child if that portion of subpara-
graph (C) of section 2110(b)(1) relating to cov-
erage of the child under a group health plan or
under health insurance coverage did not apply,
and such child has such coverage that does not
include dental services; and’’.
(B) 
CONDITIONS
DESCRIBED.—Section
2105(c) of the Social Security Act (42 U.S.C.
1397ee(c)) is amended by adding at the end the
following new paragraph:
‘‘(8) CONDITIONS FOR PROVISION OF DENTAL
SERVICES ONLY COVERAGE.—For purposes of sub-
section (a)(1)(C)(ii), the conditions described in this
paragraph are the following:
‘‘(A) INCOME
ELIGIBILITY.—The State
child health plan (whether implemented under
title XIX or this title)—
‘‘(i) has the highest income eligibility
standard permitted under this title as of
January 1, 2002;
‘‘(ii) subject to subparagraph (B),
does not limit the acceptance of applica-
tions for children; and