To extend for one year parity in the application of certain limits to mental health benefits, and for other purposes.

SECTION 1. PARITY IN APPLICATION OF CERTAIN LIMITS TO MENTAL HEALTH 
              BENEFITS.

    (a) Amendment to the Internal Revenue Code of 1986.--Section 
9812(f)(3) of the Internal Revenue Code of 1986 is amended by striking 
``2007'' and inserting ``2008''.
    (b) Amendment to the Employee Retirement Income Security Act of 
1974.--Section 712(f) of the Employee Retirement Income Security Act of 
1974 (29 U.S.C. 1185a(f)) is amended by striking ``2007'' and inserting 
``2008''.
    (c) Amendment to the Public Health Service Act.--Section 2705(f) of 
the Public Health Service Act (42 U.S.C. 300gg-5(f)) is amended by 
striking ``2007'' and inserting ``2008''.

SEC. 2. INCLUSION OF MEDICARE PROVIDERS AND SUPPLIERS IN FEDERAL 
              PAYMENT LEVY AND ADMINISTRATIVE OFFSET PROGRAM.

    (a) In General.--Section 1874 of the Social Security Act (42 U.S.C. 
1395kk) is amended by adding at the end the following new subsection:
    ``(d) Inclusion of Medicare Provider and Supplier Payments in 
Federal Payment Levy Program.--
            ``(1) In general.--The Centers for Medicare & Medicaid 
        Services shall take all necessary steps to participate in the 
        Federal Payment Levy Program under section 6331(h) of the 
        Internal Revenue Code of 1986 as soon as possible and shall 
        ensure that--
                    ``(A) at least 50 percent of all payments under 
                parts A and B are processed through such program 
                beginning within 1 year after the date of the enactment 
                of this section;
                    ``(B) at least 75 percent of all payments under 
                parts A and B are processed through such program 
                beginning within 2 years after such date; and
                    ``(C) all payments under parts A and B are 
                processed through such program beginning not later than 
                September 30, 2011.
            ``(2) Assistance.--The Financial Management Service and the 
        Internal Revenue Service shall provide assistance to the 
        Centers for Medicare & Medicaid Services to ensure that all 
        payments described in paragraph (1) are included in the Federal 
        Payment Levy Program by the deadlines specified in that 
        subsection.''.
    (b) Application of Administrative Offset Provisions to Medicare 
Provider or Supplier Payments.--Section 3716 of title 31, United States 
Code, is amended--
            (1) by inserting ``the Department of Health and Human 
        Services,'' after ``United States Postal Service,'' in 
        subsection (c)(1)(A); and
            (2) by adding at the end of subsection (c)(3) the following 
        new subparagraph:
                    ``(D) This section shall apply to payments made 
                after the date which is 90 days after the enactment of 
                this subparagraph (or such earlier date as designated 
                by the Secretary of Health and Human Services) with 
                respect to claims or debts, and to amounts payable, 
                under title XVIII of the Social Security Act.''.
    (c) Effective Date.--The amendments made by this section shall take 
effect on the date of the enactment of this Act.

SEC. 3. DEPOSIT OF EXCESS SAVINGS IN PAQI FUND.

    (a) In General.--In addition to any amounts otherwise made 
available to the Physician Assistance and Quality Initiative Fund under 
section 1848(l)(2) of the Social Security Act (42 U.S.C. 1395w-
4(l)(2)), there shall be made available to such Fund--
            (1) $93,000,000 for expenditures during or after 2009;
            (2) $212,000,000 for expenditures during or after 2014; and
            (3) $44,000,000 for expenditures during or after 2018.
    (b) Obligation.--The Secretary of Health and Human Services shall 
provide for expenditures from the Fund specified in subsection (a) in a 
manner designed to provide (to the maximum extent feasible) for the 
obligation of the entire amount specified in--
            (1) subsection (a)(1) for payment with respect to 
        physicians' services furnished during or after January 1, 2009;
            (2) subsection (a)(2) for payment with respect to 
        physicians' services furnished on or after January 1, 2014; and
            (3) subsection (a)(3) for payment with respect to 
        physicians' services furnished on or after January 1, 2018.

SEC. 4. PROTECTION OF SOCIAL SECURITY.

    To ensure that the assets of the trust funds established under 
section 201 of the Social Security Act (42 U.S.C. 401) are not reduced 
as a result of the enactment of this Act, the Secretary of the Treasury 
shall transfer from the general revenues of the Federal Government to 
those trust funds the following amounts:
            (1) For fiscal year 2008, $1,000,000.
            (2) For fiscal year 2009, $5,000,000.
            (3) For fiscal year 2010, $1,000,000.

            Passed the House of Representatives February 7, 2008.

            Attest:

                                            LORRAINE C. MILLER,

                                                                 Clerk.

Summary: Amends the Internal Revenue Code, the Employee Retirement Income Security Act of 1974 (ERISA), and the Public Health Service Act to extend until December 31, 2008, mental health parity provisions, which require group health plans to treat equally mental health benefits and medical and surgical benefits for purposes of lifetime limits or annual limits on benefits covered by the plan.

Amends title XVIII (Medicare) of the Social Security Act to direct the Centers for Medicare & Medicaid Services to take all necessary steps to participate in the Federal Payment Levy Program as soon as possible and ensure that: (1) at least 50% of all payments under parts A (Hospital Insurance) and B (Supplementary Medical Insurance) are processed through such program within one year after enactment of this Act; (2) at least 75% of all such payments are processed through such program within two years; and (3) all such payments are processed through such program by September 30, 2011.

Requires the Financial Management Service and the Internal Revenue Service (IRS) to provide assistance to the Centers for Medicare & Medicaid Services to ensure that all payments are included in the Federal Payment Levy Program by the deadlines specified.

Directs the Department of Health and Human Services (HHS) to offset Medicare payments by the amount of the payee's delinquent federal debt.

Requires the Secretary of HHS to provide for specified expenditures from the Physician Assistance and Quality Initiative Fund for payment for physicians' services.

Directs the Secretary of the Treasury to transfer specified funds from general revenues to Social Security trust funds to ensure that assets of such trust funds are not reduced as a result of enactment of this Act.