Safety Net Hospital Pharmacy Access Act of 2003

        [Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2409 Introduced in House (IH)]

108th CONGRESS
1st Session
H. R. 2409

To amend title XIX of the Social Security Act to clarify that inpatient
drug prices charged to certain public hospitals are included in the
best price exemptions for the Medicaid drug rebate program.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

June 10, 2003

Mr. Shadegg (for himself, Mr. Norwood, Mr. Markey, and Mr. Towns)
introduced the following bill; which was referred to the Committee on
Energy and Commerce

_______________________________________________________________________

A BILL

To amend title XIX of the Social Security Act to clarify that inpatient
drug prices charged to certain public hospitals are included in the
best price exemptions for the Medicaid drug rebate program.

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 ``Safety Net Hospital Pharmacy Access
Act of 2003''.

SEC. 2. CONSTITUTIONAL AUTHORITY.

The constitutional authority upon which this Act rests is the power
of the Congress to regulate commerce with foreign nations and among the
several States, set forth in section 8 of article I of the Constitution
of the United States.

SEC. 3. CLARIFICATION OF INCLUSION OF INPATIENT DRUG PRICES CHARGED TO
CERTAIN PUBLIC HOSPITALS IN THE BEST PRICE EXEMPTIONS FOR
THE MEDICAID DRUG REBATE PROGRAM.

(a) In General.--Section 1927(c)(1)(C)(i)(I) of the Social Security
Act (42 U.S.C. 1396r-8(c)(1)(C)(i)(I)) is amended by inserting before
the semicolon the following: ``(including inpatient prices charged to
hospitals described in section 340B(a)(4)(L) of the Public Health
Service Act)''.
(b) Anti-Diversion Protection.--Section 1927(c)(1)(C) of such Act
(42 U.S.C. 1396r-8(c)(1)(C)) is amended by adding at the end the
following:
``(iii) Application of auditing and
recordkeeping requirements.--With respect to a
covered entity described in section
340B(a)(4)(L) of the Public Health Service Act,
any drug purchased for inpatient use shall be
subject to the auditing and recordkeeping
requirements described in section 340B(a)(5)(C)
of the Public Health Service Act.''.
(c) Effective Date.--The amendments made by this section take
effect on October 1, 2003.
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