In the Senate of the United States,
September 2, 2003.
Resolved, That the bill from the House of Representa-
tives (H.R. 659) entitled ‘‘An Act to amend section 242 of
the National Housing Act regarding the requirements for
mortgage insurance under such Act for hospitals.’’, do pass
with the following
AMENDMENT:
Strike out all after the enacting clause and insert:
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Hospital Mortgage In-
surance Act of 2003’’.
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HR 659 EAS
SEC. 2. STANDARDS FOR DETERMINING NEED AND FEASI-
BILITY FOR HOSPITALS.
(a) IN GENERAL.—Paragraph (4) of section 242(d) of
the National Housing Act (12 U.S.C. 1715z–7) is amended
to read as follows:
‘‘(4)(A) The Secretary shall require satisfactory evi-
dence that the hospital will be located in a State or political
subdivision of a State with reasonable minimum standards
of licensure and methods of operation for hospitals and sat-
isfactory assurance that such standards will be applied and
enforced with respect to the hospital.
‘‘(B) The Secretary shall establish the means for deter-
mining need and feasibility for the hospital, if the State
does not have an official procedure for determining need
for hospitals. If the State has an official procedure for deter-
mining need for hospitals, the Secretary shall require that
such procedure be followed before the application for insur-
ance is submitted, and the application shall document that
need has also been established under that procedure.’’.
(b) EFFECTIVE DATE.—
(1) IN GENERAL.—The amendment made by this
subsection (a) shall take effect and apply as of the
date of the enactment of this Act.
(2) EFFECT OF REGULATORY AUTHORITY.—Any
authority of the Secretary of Housing and Urban De-
velopment to issue regulations to carry out the
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HR 659 EAS
amendment made by subsection (a) may not be con-
strued to affect the effectiveness or applicability of
such amendment under paragraph (1) of this sub-
section.
SEC. 3. EXEMPTION FOR CRITICAL ACCESS HOSPITALS.
(a) IN GENERAL.—Section 242 of the National Hous-
ing Act (12 U.S.C.1715z–7) is amended—
(1) in subsection (b)(1)(B), by inserting ‘‘, unless
the facility is a critical access hospital (as that term
is defined in section 1861(mm)(1) of the Social Secu-
rity Act (42 U.S.C. 1395x(mm)(1)))’’ after ‘‘tuber-
culosis’’; and
(2) by adding at the end the following:
‘‘(i) TERMINATION OF EXEMPTION FOR CRITICAL AC-
CESS HOSPITALS.—
‘‘(1) IN GENERAL.—The exemption for critical
access hospitals under subsection (b)(1)(B) shall have
no effect after July 31, 2006.
‘‘(2) REPORT TO CONGRESS.—Not later than 3
years after July 31, 2003, the Secretary shall submit
a report to Congress detailing the effects of the exemp-
tion of critical access hospitals from the provisions of
subsection (b)(1)(B) on—
‘‘(A) the provision of mortgage insurance to
hospitals under this section; and
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‘‘(B) the General Insurance Fund estab-
lished under section 519.’’.
SEC. 4. STUDY OF BARRIERS TO RECEIPT OF INSURED
MORTGAGES 
BY 
FEDERALLY 
QUALIFIED
HEALTH CENTERS.
(a) IN GENERAL.—The Secretary of Housing and
Urban Development shall conduct a study on the barriers
to the receipt of mortgage insurance by Federally qualified
health centers (as defined in section 1905(l)(2)(B) of the So-
cial Security Act (42 U.S.C. 1396d(l)(2)(B))) under section
1101 of the National Housing Act (12 U.S.C. 1749aaa), or
other programs under that Act.
(b) REPORT.—Not later than 6 months after the date
of enactment of this Act, the Secretary of Housing and
Urban Development shall submit a report regarding any
appropriate legislative and regulatory changes needed to en-
able Federally qualified health centers to access mortgage
insurance under section 1101 of the National Housing Act
(12 U.S.C. 1749aaa), or other programs under that Act
to—
(1) the Committee on Banking, Housing, and
Urban Affairs of the Senate; and
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(2) the Committee on Financial Services of the
House of Representatives.
Attest:
Secretary.