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<PRE>[DOCID: f:h2942ih.txt]






107th CONGRESS
  1st Session
                                H. R. 2942

 To amend title XVIII of the Social Security Act to make permanent the 
 hold harmless treatment for small rural hospitals under the Medicare 
prospective payment system for hospital outpatient department services 
  and to provide a transitional adjustment for certain sole community 
 hospitals in order to limit any decline in payment under that system.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 21, 2001

     Mr. Moran of Kansas (for himself, Mr. McIntyre, and Mr. Ross) 
 introduced the following bill; which was referred to the Committee on 
   Energy and Commerce, and in addition to the Committee on Ways and 
 Means, 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 committee concerned

_______________________________________________________________________

                                 A BILL


 
 To amend title XVIII of the Social Security Act to make permanent the 
 hold harmless treatment for small rural hospitals under the Medicare 
prospective payment system for hospital outpatient department services 
  and to provide a transitional adjustment for certain sole community 
 hospitals in order to limit any decline in payment under that system.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Rural Hospital and Health Network 
Preservation Act of 2001''.

SEC. 2. TREATMENT OF RURAL HOSPITALS UNDER OPD PPS.

    (a) Making Permanent the Hold Harmless for Small Rural Hospitals.--
Section 1833(t)(7)(D)(ii) of the Social Security Act (42 U.S.C. 
1395l(t)(7)(D)(ii)) is amended--
            (1) in the heading, by striking ``and children's 
        hospitals'' and inserting ``, children's hospitals, and small 
        rural hospitals''; and
            (2) by inserting after ``section 1886(d)(1)(B)'' the 
        following: ``and in the case of a hospital located in a rural 
        area and that has not more than 100 beds''.
    (b) Temporary Hold Harmless for Sole Community Hospitals That Are 
Rural Referral Centers With Not More Than 400 Beds.--Section 
1833(t)(7)(D)(i) of such Act (42 U.S.C. 1395l(t)(7)(D)(i)) is amended--
            (1) in the heading, by striking ``small rural hospitals'' 
        and inserting ``certain sole community hospitals''; and
            (2) by striking ``and that has not more than 100 beds'' and 
        inserting ``, that has more than 100 (but not more than 400) 
        beds, that is a sole community hospital (as defined in section 
        1886(d)(5)(D)(iii)), and that is classified as a rural referral 
        center under section 1886(d)(5)(C)''.
    (c) Effective Date.--The amendments made by this section shall take 
effect as if included in the amendments made by section 202(a) of the 
Medicare, Medicaid, and SCHIP Balanced Budget Refinement Act of 1999 
(113 Stat. 1501A-342), as enacted into law by section 1000(a)(6) of 
Public Law 106-113.
                                 &lt;all&gt;

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