I
106TH CONGRESS
1ST SESSION
H. R. 2618
To amend title XVIII of the Social Security Act and title IV of the Balanced
Budget Act of 1997 to eliminate the 15 percent reduction in payment
amounts to home health agencies furnishing home health services under
the medicare program, and to provide for a 36-month grace period
for home health agencies to repay overpayments made by the Secretary
of Health and Human Services.
IN THE HOUSE OF REPRESENTATIVES
JULY 27, 1999
Mr. ACKERMAN (for herself, Mr. BOEHLERT, Mr. SMITH of New Jersey, Mr.
BAKER, Mr. COBURN, Mr. COOK, Mr. CROWLEY, Mr. FORBES, Mr.
FROST, Mr. GILCHREST, Mr. GOODE, Mr. HALL of Texas, Mr. HILLIARD,
Mr. HINCHEY, Ms. KAPTUR, Mrs. KELLY, Mr. KING, Ms. LEE, Mrs.
MALONEY of New York, Mr. MASCARA, Mr. MCHUGH, Mr. MCNULTY,
Ms. MILLENDER-MACDONALD, Mr. NADLER, Mr. NEY, Mr. RAHALL, Mr.
ROMERO-BARCELO´, Mr. SANDERS, Mr. SERRANO, Ms. SLAUGHTER, Mr.
TOWNS, Mr. WALSH, Mr. WEINER, and Mr. WHITFIELD) introduced the
following bill; which was referred to the Committee on Ways and Means,
and in addition to the Committee on Commerce, for a period to be subse-
quently determined by the Speaker, in each case for consideration of such
provisons as fall within the jurisdiction of the committee concerned
A BILL
To amend title XVIII of the Social Security Act and title
IV of the Balanced Budget Act of 1997 to eliminate
the 15 percent reduction in payment amounts to home
health agencies furnishing home health services under
the medicare program, and to provide for a 36-month
grace period for home health agencies to repay overpay-
ments made by the Secretary of Health and Human
Services.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Medicare Home Health
Improvement Act of 1999’’.
SEC. 2. ELIMINATION OF AUTOMATIC 15 PERCENT REDUC-
TION IN PAYMENT LIMITS.
(a) PROSPECTIVE PAYMENT SYSTEM.—
(1) IN GENERAL.—Section 1895(b)(3) of the
Social Security Act (42 U.S.C. 1395fff(b)(3)) is
amended—
(A) in subparagraph (A)(i), by striking
‘‘but if the reduction in limits described in
clause (ii) had been in effect’’;
(B) by striking clause (ii); and
(C) in subparagraph (A)(i), by striking (i)
IN GENERAL.—’’ and adjusting the margin ac-
cordingly.
(2) 
CONFORMING
AMENDMENT.—Section
1895(d)(3) of such Act (42 U.S.C. 1395fff(d)(3)) is
amended by striking ‘‘(including the reduction de-
scribed in clause (ii) of such subsection)’’.
(b) INTERIM PAYMENT SYSTEM.—Section 4603 of
the Balanced Budget Act of 1997 (Public Law 105–33),
as amended by section 5101(c)(3) of the Tax and Trade
Relief Extension Act of 1998 (Public Law 105–277), is
amended by striking subsection (e).
SEC. 3. OVERPAYMENTS.
(a) 36-MONTH REPAYMENT PERIOD.—In the case of
an overpayment by the Secretary of Health and Human
Services to a home health agency for home health services
furnished during a cost reporting period beginning on or
after October 1, 1997, as a result of payment limitations
provided for under clause (v), (vi), or (viii) of section
1861(v)(1)(L) of the Social Security Act (42 U.S.C.
1395x(v)(1)(L)), the home health agency may elect to
repay the amount of such overpayment over a 36-month
period beginning on the date of notification of such over-
payment.
(b) INTEREST ON OVERPAYMENT AMOUNTS.—
(1) 36-MONTH GRACE PERIOD.—
(A) IN GENERAL.—In the case of an agen-
cy that makes an election under subsection (a),
no interest shall accrue on the outstanding bal-
ance of the amount of overpayment during such
36-month period.
(B) OVERDUE BALANCES.—In the case of
such an agency, interest shall accrue on any
outstanding balance of the amount of overpay-
ment after termination of such 36-month pe-
riod. Interest shall accrue under this subpara-
graph at the rate of interest charged by banks
for loans to their most favored commercial cus-
tomers, as published in the Wall Street Journal
on the Friday immediately following the date of
the enactment of this Act.
(2) OTHER AGENCIES.—In the case of an agen-
cy described in subsection (a) that does not make an
election under subsection (a), interest shall accrue
on the outstanding balance of the amount of over-
payment at the rate described in the second sentence
of paragraph (1)(B).
(c) TERMINATION.—No election under subsection (a)
may be made for cost reporting periods, or portions of cost
reporting periods, beginning on or after the date of the
implementation of the prospective payment system for
home health services under section 1895 of the Social Se-
curity Act (42 U.S.C. 1395fff).
(d) EFFECTIVE DATE.—The provisions of subsection
(a) shall take effect as if included in the enactment of the
Balanced Budget Act of 1997.
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