Page:United States Statutes at Large Volume 117.djvu/2178

 PUBLIC LAW 108–173—DEC. 8, 2003

117 STAT. 2159

‘‘(1) IN GENERAL.—In the case of a State, other than the 50 States and the District of Columbia— ‘‘(A) the previous provisions of this section shall not apply to residents of such State; and ‘‘(B) if the State establishes and submits to the Secretary a plan described in paragraph (2) (for providing medical assistance with respect to the provision of prescription drugs to part D eligible individuals), the amount otherwise determined under section 1108(f) (as increased under section 1108(g)) for the State shall be increased by the amount for the fiscal period specified in paragraph (3). ‘‘(2) PLAN.—The Secretary shall determine that a plan is described in this paragraph if the plan— ‘‘(A) provides medical assistance with respect to the provision of covered part D drugs (as defined in section 1860D–2(e)) to low-income part D eligible individuals; ‘‘(B) provides assurances that additional amounts received by the State that are attributable to the operation of this subsection shall be used only for such assistance and related administrative expenses and that no more than 10 percent of the amount specified in paragraph (3)(A) for the State for any fiscal period shall be used for such administrative expenses; and ‘‘(C) meets such other criteria as the Secretary may establish. ‘‘(3) INCREASED AMOUNT.— ‘‘(A) IN GENERAL.—The amount specified in this paragraph for a State for a year is equal to the product of— ‘‘(i) the aggregate amount specified in subparagraph (B); and ‘‘(ii) the ratio (as estimated by the Secretary) of— ‘‘(I) the number of individuals who are entitled to benefits under part A or enrolled under part B and who reside in the State (as determined by the Secretary based on the most recent available data before the beginning of the year); to ‘‘(II) the sum of such numbers for all States that submit a plan described in paragraph (2). ‘‘(B) AGGREGATE AMOUNT.—The aggregate amount specified in this subparagraph for— ‘‘(i) the last 3 quarters of fiscal year 2006, is equal to $28,125,000; ‘‘(ii) fiscal year 2007, is equal to $37,500,000; or ‘‘(iii) a subsequent year, is equal to the aggregate amount specified in this subparagraph for the previous year increased by annual percentage increase specified in section 1860D–2(b)(6) for the year involved. ‘‘(4) REPORT.—The Secretary shall submit to Congress a report on the application of this subsection and may include in the report such recommendations as the Secretary deems appropriate.’’. (2) CONFORMING AMENDMENT.—Section 1108(f) (42 U.S.C. 1308(f)) is amended by inserting ‘‘and section 1935(e)(1)(B)’’ after ‘‘Subject to subsection (g)’’. (e) AMENDMENT TO BEST PRICE.— (1) IN GENERAL.—Section 1927(c)(1)(C)(i) (42 U.S.C. 1396r– 8(c)(1)(C)(i)) is amended—

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