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<PRE>[DOCID: f:h3318ih.txt]






107th CONGRESS
  1st Session
                                H. R. 3318

 To amend title XVIII of the Social Security Act to specify the update 
    for payments under the Medicare physician fee schedule for 2002.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           November 16, 2001

 Mrs. Capps (for herself, Mr. Thompson of California, Mr. McHugh, Mr. 
 Hinchey, Mr. Schrock, Mr. Weiner, Mr. Forbes, Mr. Frost, Mr. Udall of 
New Mexico, Mr. Murtha, and Mr. Filner) 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 specify the update 
    for payments under the Medicare physician fee schedule for 2002.

    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 ``Medicare Physician Protection Act of 
2001''.

SEC. 2. SPECIFICATION OF THE UPDATE FOR PAYMENTS UNDER THE MEDICARE 
              PHYSICIAN FEE SCHEDULE FOR 2002.

    (a) In General.--Section 1848(d) of the Social Security Act (42 
U.S.C. 1395w-4(d)) is amended by adding at the end the following new 
paragraph:
            ``(5) Conversion factor for 2002.--
                    ``(A) In general.--The conversion factor 
                established under this subsection for 2002 shall be 
                equal to the conversion factor established under this 
                subsection for 2001.
                    ``(B) No effect for subsequent periods.--The 
                conversion factor under paragraph (1) and the update 
                adjustment factor under paragraph (4)(B) for a year 
                after 2002 shall be applied and computed as if 
                subparagraph (A) had not been in effect.
                    ``(C) Conforming provisions to ensure no effect for 
                subsequent periods.--In carrying out subparagraph (B):
                            ``(i) No effect on target for allowed 
                        expenditures.--The allowed expenditures under 
                        paragraph (4)(C)(iii) for years after 2002 
                        shall be applied and computed as if 
                        subparagraph (A) had not been in effect.
                            ``(ii) Removal of additional expenditures 
                        from actual expenditures.--In applying 
                        paragraph (4)(B) for years beginning with 2003, 
                        the actual expenditures for 2002 shall be the 
                        actual expenditures otherwise determined 
                        multiplied by the ratio of (I) the amount of 
                        the conversion factor that would have applied 
                        for 2002 under this subsection but for this 
                        paragraph, to (II) the amount of the conversion 
                        factor that is applied for 2002 under this 
                        paragraph.
                            ``(iii) Not treated as change in law and 
                        regulation in sustainable growth rate 
                        determination.--The enactment of this paragraph 
                        shall not be treated as a change in law for 
                        purposes of applying subsection (f)(2)(D).''.
    (b) Conforming Amendments.--Section 1848(d) of the such Act (42 
U.S.C. 1395w-4(d)) is amended--
            (1) in paragraph (1)(A), by inserting ``and subject to 
        paragraph (5)'' after ``with 2001'';
            (2) in paragraph (4)(A), by inserting ``(including 
        paragraph (5))'' after ``Unless otherwise provided by law'';
            (3) in paragraph (4)(B), by inserting ``and subparagraphs 
        (B) and (C) of paragraph (5)'' after ``subparagraph (D)'' in 
        the matter preceding clause (i); and
            (4) in paragraph (4)(C)(iii), by striking ``The allowed 
        expenditures'' and inserting ``Subject to paragraph (5)(C)(i), 
        the allowed expenditures''.
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