‘‘(c) CARRIER.—The term ‘carrier’ means the entity
responsible for administering the prescription drug benefit
program under this part. A carrier may be a prescription
claims processing vendor, wholesale and community phar-
macy delivery system, health care provider, insurer, or any
other type of entity as the Secretary may specify.
‘‘(d) PHARMACY PROVIDER.—The term ‘pharmacy
provider’ means a pharmacist or pharmacy that—
‘‘(1) is authorized by applicable State agencies
to engage in the practice of pharmacy;
‘‘(2) meets the requirements of section 1860G;
and
‘‘(3) participates in the program under this
part.’’.
(b) CONFORMING AMENDMENTS.—
(1) 
AMENDMENTS
TO
FEDERAL
SUPPLE-
MENTARY HEALTH INSURANCE TRUST FUND.—Sec-
tion 1841 of the Social Security Act (42 U.S.C.
1395t) is amended—
(A) in the last sentence of subsection (a)—
(i) by striking ‘‘and’’ after ‘‘section
201(i)(I)’’; and
(ii) by inserting before the period the
following: ‘‘, and such amounts as may be
deposited in, or appropriated to, the Pre-
scription Drug Benefit Insurance Account
established by section 1860B’’; and
(B) in subsection (g), by inserting after
‘‘by this part,’’ the following: ‘‘the payments
provided for under part D (in which case the
payments shall come from the Prescription
Drug Benefit Insurance Account in the Supple-
mentary Medical Insurance Trust Fund),’’.
(2) EXCLUSIONS FROM COVERAGE.—
(A) APPLICATION
TO
PART
D.—Section
1862(a) of such Act (42 U.S.C. 1395y(a)) is
amended in the matter preceding paragraph (1)
by striking ‘‘part A or part B’’ and inserting
‘‘part A, B, or D’’.
(B) PRESCRIPTION MEDICATIONS NOT EX-
CLUDED FROM COVERAGE IF APPROPRIATELY
PRESCRIBED.—Section 1862(a)(1) of such Act
(42 U.S.C. 1395y(a)(1)) is amended—
(i) in subparagraph (H), by striking
‘‘and’’ at the end;
(ii) in subparagraph (I), by striking
the semicolon at the end and inserting ‘‘,
and’’; and
(iii) by adding at the end the fol-
lowing new subparagraph:
‘‘(J) in the case of prescription medica-
tions covered under part D, which are not pre-
scribed in accordance with such part;’’.
(c) EFFECTIVE DATE.—The amendments made by
this section shall take effect on the date of the enactment
of this Act, and shall apply with respect to benefits for
prescription drugs furnished on or after January 1, 2003.
SEC. 3. GAO STUDY AND BIENNIAL REPORTS ON SAVINGS.
(a) ONGOING STUDY.—The Comptroller General of
the United States, in consultation with the Medicare Pre-
scription Drug Benefit Advisory Commission established
under section 1860H of the Social Security Act (as added
by section 2(a)), shall conduct an ongoing study and anal-
ysis of the prescription drug benefit program under part
D of the Social Security Act (as added by such section),
with an analysis of the savings to the medicare program
resulting from such drug benefit program, including sav-
ings to medicare parts A and B, by reason of, for example,
the reduction in the number or length of hospital visits.
(b) REPORT.—Not later than January 1, 2004, and
every 2 years thereafter, the Comptroller General of the
United States shall submit to Congress a report on the
results of the study conducted under this section, together
with any recommendation for legislation determined to be
appropriate as a result of such study.
SEC. 4. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated from time
to time, out of any moneys in the Treasury not otherwise
appropriated, to the Prescription Drug Benefit Insurance
Account within the Supplementary Medical Insurance
Trust Fund established under section 1841, an amount
equal to the amount by which the benefits and administra-
tive costs of providing the benefits under this part exceed
the premiums collected under section 1860E.
Æ