(f) DUTIES.— 
(1) IN GENERAL.—It shall be the duty of the 
Council— 
(A) to advise the Board on matters of gen-
eral policy in the administration of this Act, in 
the formulation of regulations, and in the per-
formance of the Board’s duties under section 
401; and 
(B) to study the operation of this Act and 
the utilization of health services under it, with 
a view to recommending any changes in the ad-
ministration of the Act or in its provisions 
which may appear desirable. 
(2) REPORT.—The Council shall make an an-
nual report to the Board on the performance of its 
functions, including any recommendations it may 
have with respect thereto, and the Board shall 
promptly transmit the report to the Congress, to-
gether with a report by the Board on any rec-
ommendations of the Council that have not been fol-
lowed. 
(g) STAFF.—The Council, its members, and any com-
mittees of the Council shall be provided with such secre-
tarial, clerical, or other assistance as may be authorized 
by the Board for carrying out their respective functions. 
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(h) MEETINGS.—The Council shall meet as fre-
quently as the Board deems necessary, but not less than 
4 times each year. Upon request by 7 or more members 
it shall be the duty of the Chair to call a meeting of the 
Council. 
(i) COMPENSATION.—Members of the Council shall 
be reimbursed by the Board for travel and per diem in 
lieu of subsistence expenses during the performance of du-
ties of the Board in accordance with subchapter I of chap-
ter 57 of title 5, United States Code. 
(j) FACA NOT APPLICABLE.—The provisions of the 
Federal Advisory Committee Act shall not apply to the 
Council. 
SEC. 403. CONSULTATION WITH PRIVATE ENTITIES. 
The Secretary and the Board shall consult with pri-
vate entities, such as professional societies, national asso-
ciations, nationally recognized associations of experts, 
medical schools and academic health centers, consumer 
groups, and labor and business organizations in the for-
mulation of guidelines, regulations, policy initiatives, and 
information gathering to assure the broadest and most in-
formed input in the administration of this Act. Nothing 
in this Act shall prevent the Secretary from adopting 
guidelines developed by such a private entity if, in the Sec-
retary’s and Board’s judgment, such guidelines are gen-
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erally accepted as reasonable and prudent and consistent 
with this Act. 
SEC. 404. STATE HEALTH SECURITY PROGRAMS. 
(a) SUBMISSION OF PLANS.— 
(1) IN GENERAL.—Each State shall submit to 
the Board a plan for a State health security pro-
gram for providing for health care services to the 
residents of the State in accordance with this Act. 
(2) REGIONAL PROGRAMS.—A State may join 
with 1 or more neighboring States to submit to the 
Board a plan for a regional health security program 
instead of separate State health security programs. 
(3) REGIONAL
PLANNING
MECHANISMS.—The 
Board shall provide incentives for States to develop 
regional planning mechanisms to promote the ration-
al distribution of, adequate access to, and efficient 
use of, tertiary care facilities, equipment, and serv-
ices. 
(b) REVIEW AND APPROVAL OF PLANS.— 
(1) IN
GENERAL.—The Board shall review 
plans submitted under subsection (a) and determine 
whether such plans meet the requirements for ap-
proval. The Board shall not approve such a plan un-
less it finds that the plan (or State law) provides, 
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consistent with the provisions of this Act, for the fol-
lowing: 
(A) Payment for required health services 
for eligible individuals in the State in accord-
ance with this Act. 
(B) Adequate administration, including the 
designation of a single State agency responsible 
for the administration (or supervision of the ad-
ministration) of the program. 
(C) The establishment of a State health se-
curity budget. 
(D) Establishment of payment methodolo-
gies (consistent with subtitle B of title VII). 
(E) Assurances that individuals have the 
freedom to choose practitioners and other 
health care providers for services covered under 
this Act. 
(F) A procedure for carrying out long-term 
regional management and planning functions 
with respect to the delivery and distribution of 
health care services that— 
(i) ensures participation of consumers 
of health services and providers of health 
services; and 
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