I
107TH CONGRESS
1ST SESSION
H. R. 2980
To amend title XVIII of the Social Security Act to stabilize and improve
the Medicare+Choice Program.
IN THE HOUSE OF REPRESENTATIVES
OCTOBER 2, 2001
Mr. GREENWOOD (for himself, Mr. FOSSELLA, and Mr. SIMMONS) introduced
the following bill; which was referred to the Committee on Ways and
Means, and in addition to the Committee on Energy and Commerce, for
a period to be subsequently determined by the Speaker, in each case for
consideration of such provisions as fall within the jurisdiction of the com-
mittee concerned
A BILL
To amend title XVIII of the Social Security Act to stabilize
and improve the Medicare+Choice Program.
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+Choice Sta-
bilization and Improvement Act of 2001’’.
SEC. 2. MEDICARE+CHOICE PAYMENT FLOOR BASED ON
FEE-FOR-SERVICE PAYMENTS.
(a) IN GENERAL.—Section 1853(c)(1) (42 U.S.C.
1395w–23(c)(1)) is amended—
(1) in the matter before subparagraph (A), by
striking ‘‘or (C)’’ and inserting ‘‘(C), or (D)’’; and
(2) by adding at the end the following new sub-
paragraph:
‘‘(D) BASED
ON
100
PERCENT
OF
FEE-
FOR-SERVICE COST.—
‘‘(i) IN GENERAL.—The fee-for-service
rate computed under clause (ii) for the
year for the Medicare+Choice payment
area.
‘‘(ii) RATE.—The fee-for-service rate
under this clause for a Medicare+Choice
payment area—
‘‘(I) for 2000, is the adjusted av-
erage per capita cost for 2000, deter-
mined under section 1876(a)(4) for
the Medicare+Choice payment area
for services covered under parts A and
B for individuals entitled to benefits
under part A and enrolled under part
B 
who 
are 
not 
enrolled 
in 
a
Medicare+Choice plan under this part
for the year; or
‘‘(II) for a subsequent year, is
the fee-for-service rate determined
under this clause for the preceding
year increased by the national per
capita Medicare+Choice growth per-
centage for such subsequent year.’’.
(b) EFFECTIVE DATE.—The amendments made by
subsection (a) shall apply to years beginning with 2002.
SEC. 3. LIMITATION ON REDUCTION IN PAYMENT FOR
GRADUATE MEDICAL EDUCATION.
(a) IN GENERAL.—Section 1853(c)(3)(B) of the So-
cial Security Act (42 U.S.C. 1395w–23(c)(3)(B)) is
amended—
(1) in clause (i), by inserting ‘‘subject to clause
(iii),’’ after ‘‘(beginning with 1998),’’; and
(2) by adding at the end the following new
clause:
‘‘(iii) LIMITATION.—In no case shall
the rate reduction effected under this sub-
paragraph for a Medicare+Choice payment
area for a year exceed the sum (for all
Medicare+Choice payment areas) of the
product of—
‘‘(I) the average number of indi-
viduals enrolled in a Medicare+Choice
plan 
and 
residing 
in 
the
Medicare+Choice payment area, di-
vided by the average number of indi-
viduals enrolled in a Medicare+Choice
plan in the previous year; and
‘‘(II) the payment adjustment
otherwise calculated under clause (i)
(without regard to this clause) for the
Medicare+Choice payment area for
the year, divided by the annual area-
specific Medicare+Choice capitation
rate for the payment area for the year
(computed without regard to the re-
duction under this subparagraph).’’.
(b) EFFECTIVE DATE.—The amendments made by
subsection (a) shall apply to payment for months begin-
ning with January 2002.
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