86 STAT. ]
1413
PUBLIC LAW 92-603-OCT. 30, 1972
(3) by inserting after paragraph (9) the follo\\'ing new paragraph: "(10) has in effect an overall plan and budget that meets the requirements of subsection (z); and ". (e) Section 1861(o) of such Act is amended— (1) by striking out "and" at the end of paragraph (4); (2) by redesignating paragraph (5) as paragraph (6); and (3) by inserting after paragraph (4) the following new paragraph: "(5) has in effect an overall plan and budget that meets the requirements of subsection (z); and". (f) Section 1861 of such Act is further amended by adding at the end thereof the following new subsection:
Intra, 42 USC 1395x.
79 Stat. 3 1 3. 42 USC 1395x.
"Institutional Planning "(z) An overall plan and budget of a hospital, extended care facility, or home health agency shall be considered sufficient if it— "(1) provides for an annual operating budget which includes all anticipated income and expenses related to items which would, under generally accepted accounting principles, be considered income and expense items (except that nothing in this paragraph shall require that there be prepared, in connection with any budget, an item-by-item identification of the components of each type of anticipated expenditure or income); "(2) provides for a capital expenditures plan for at least a 3-year period (including the year to which the operating budget described in subparagraph (1) is applicable) which includes and identifies in detail the anticipated sources of financing for, and the objectives of, each anticipated expenditure in excess of $100,000 related to the acquisition of land, the improvement of land, buildings, and equipment, and the replacement, modernization, and expansion of the buildings and e<][uipment which would, under generally accepted accounting principles, be considered capital items; "(3) provides for review and updating at least annually; and " (4) is prepared, under the direction of the governing body of the institution or agency, by a committee consisting of representatives of the governing body, the administrative staff, and the medical staff (if any) of the institution or agency." (g)(1) Section 1814(a)(2)(C) and section 1814(a)(2)(D) of such Act are each amended by striking out "and (8) " and inserting in lieu thereof "and (9)". (2) Section 1863 of such Act is amended by striking out "subsections (e)(8), (f)(4), (g)(4), (j) ( 1 0), and (o)(5) " and inserting in lieu thereof "subsections (e)(9), (f)(4), (g)(4), (j) (11), and (o)(6) ". (h) Section 1865 of such Act is amended— (1) by striking out "(except paragraph (6) thereof)" in the first sentence and inserting in lieu thereof "(except paragraphs (6) and (8) thereof)", and (2) by striking out the second sentence and inserting in lieu thereof the following: "If such Commission, as a condition for accreditation of a hospital, (1) requires a utilization review plan as defined in section 1861(k) or imposes another requirement which serves substantially the same purpose, or (2) requires institutional plans as defined in section 1861(z) or imposes another requirement which serves substantially the same purpose, the
42 USC 139Sf. 42 USC 1395Z.
42 USC 139Sbb.
42 USC 1395X. Supra,
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