Ill STAT. 466 PUBLIC LAW 105-33—AUG. 5, 1997 Subtitle G—Provisions Relating to Parts A andB 42 USC 1395x note. CHAPTER 1—HOME HEALTH SERVICES AND BENEFITS Subchapter A—Payments For Home Health Services SEC. 4601. RECAPTURING SAVINGS RESULTING FROM TEMPORARY FREEZE ON PAYMENT INCREASES FOR HOME HEALTH SERVICES. (a) BASING UPDATES TO PER VISIT COST LIMITS ON LIMITS FOR FISCAL YEAR 1993. —Section 1861(v)(l)(L) (42 U.S.C. 1395x(v)(l)(L)) is amended by adding at the end the following: "(iv) In establishing limits under this subparagraph for cost reporting periods beginning after September 30, 1997, the Secretary shall not take into account any changes in the home health market basket, as determined by the Secretary, with respect to cost reporting periods which began on or after July 1, 1994, and before July 1, 1996.". (b) No EXCEPTIONS PERMITTED BASED ON AMENDMENT. — The Secretary of Health and Human Services shall not consider the amendment made by subsection (a) in making any exemptions and exceptions pursuant to section 1861(v)(l)(L)(ii) of the Social Security Act (42 U.S.C. 1395x(v)(l)(L)(ii)). SEC. 4602. INTERIM PAYMENTS FOR HOME HEALTH SERVICES. (a) REDUCTIONS IN COST LIMITS.— Section 1861(v)(l)(L)(i) (42 U.S.C. 1395x(v)(l)(L)(i)) is amended— (1) by moving the indentation of subclauses (I) through (III) 2-ems to the left; (2) in subclause (I), by inserting "of the mean of the laborrelated and nonlabor per visit costs for freestanding home health agencies" before the comma at the end; (3) in subclause (II), by striking ", or" and inserting "of such mean,"; (4) in subclause (III)— (A) by inserting "and before October 1, 1997," after "July 1, 1987,", and (B) by striking the comma at the end and inserting "of such mean, or"; and (5) by striking the matter following subclause (III) and inserting the following: "(IV) October 1, 1997, 105 percent of the median of the labor-related and nonlabor per visit costs for freestanding home health agencies.". (b) DELAY IN UPDATES.—Section 1861(v)(l)(L)(iii) (42 U.S.C. 1395x(v)(l)(L)(iii)) is amended by inserting ", or on or after July 1, 1997, and before October 1, 1997" after "July 1, 1996". (c) ADDITIONS TO COST LIMITS. —Section 1861(v)(l)(L) (42 U.S.C. 1395x(v)(l)(L)) (as amended by section 4601(a)) is amended by adding at the end the following new clauses: "(v) For services furnished by home health agencies for cost reporting periods beginning on or after October 1, 1997, the Secretary shall provide for an interim system of limits. Payment shall not exceed the costs determined under the preceding provisions of this subparagraph or, if lower, the product of—
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