Page:United States Statutes at Large Volume 102 Part 1.djvu/581

 PUBLIC LAW 100-322—MAY 20, 1988

102 STAT. 543

accepted title thereto pursuant to subsection (a) and shall use the funds or property involved for the intended purpose. (h) GRAVE MARKERS.—Notwithstanding section 1004(c)(2) of title 38, United States Code, the Administrator shall provide for the use of flat grave markers for interments at the Arizona Veterans Memorial Cemetery after the conveyance of the cemetery to the United States. TITLE IV—VETERANS' ADMINISTRATION MANAGEMENT AND ADMINISTRATION PART A—PROCUREMENT POLICY SEC. 401. INTEGRITY OF CONTRACTING OUT PROCESS AT HEALTH-CARE FACILITIES.

(a) REQUIREMENT FOR TWO BIDDERS.—Section 5010(c)(2) is amended

by inserting "responsive bids are received from at least two responsible, financially autonomous bidders and" after "only i f. (b) APPLICABILITY.—The amendment made by subsection (a) shall 38 USC 5010 apply only with respect to the awarding of contracts under solicita- note, tions issued after the date of the enactment of this Act. SEC. 402. STANDARDIZATION ITEMS.

OF

MEDICAL

AND PHARMACEUTICAL

38 USC 5025 note.

Not later than October 1, 1989, the Administrator shall develop and fully implement an agency-wide plan for the cost-effective standardization, in a manner consistent with the effective furnishing of health-care services, of medical and pharmaceutical items procured by the Veterans' Administration. The plan shall provide for the procurement of generic pharmaceutical items when such procurement is more economical than procurement of a name-brand pharmaceutical item unless the Chief Medical Director of the Veterans' Administration (1) determines, after consultation with the Commissioner of the Food and Drug Administration, that an equivalent generic item is not available, or (2) determines that the procurement of a name-brand item is necessary in the interests of effective patient care. SEC. 403. REQUIREMENTS FOR THE PROCUREMENT OF HEALTH-CARE ITEMS.

(a) IN GENERAL.—(1) Subchapter II of chapter 81 is amended by adding at the end the following new section: "§ 5025. Procurement of health-care items 38 USC 5025. "(a) Except as provided in subsections (b) and (c) of this section, the Administrator may not procure health-care items under local contracts. "(b)(1) A health-care item for use by the Veterans' Administration may be procured under a local contract if— "(A) the procurement is within the limits prescribed in paragraph (3) of this subsection; and "(B)(i) the item is not otherwise available to the Veterans' Administration medical center concerned, "(ii) procurement of the item by a local contract is necessary for the effective furnishing of health-care services or the conduct of a research or education program at a Veterans' Administration medical center, sis determined by the director of

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