Page:United States Statutes at Large Volume 95.djvu/936

 95 STAT. 910 42 USC 254n.

42 USC 1395n. 42 USC 1395J. 42 USC 1396.

Breach of contract.

U.S. equipment and other property, sale.

PUBLIC LAW 97-35—AUG. 13, 1981 (d)(1) Section 338C(a) (as redesignated by subsection (a) of this section) is amended— (A) by inserting a comma and "to the extent permitted by, and consistent with, the requirements of applicable State law, after "shall"; (B) by striking out "section 752(a)" and inserting in lieu thereof "section 338B(a) or under section 225 (as in effect on September 30, 1977); and (C) by striking out "which has a priority for the assignment of Corps members under section 333(c)" in paragraph (2). (2) Section 338C(b)(l)(B) (as redesignated by subsection (a) of this subsection) is amended (A) by inserting "(i)" oefore "shall not", and (B) by inserting before the semicolon a comma and the following: "and (ii) shall agree to accept an assignment under section 18420t>)(3)(B)(ii) of such Act for all services for which payment may be made under part B of title XVIII of such Act and enter into an appropriate agreement with the State agency which administers the State plan for medical assistance under title XIX of such Act to provide services to individuals entitled to medical assistance under the plan". (3) Section 338C (as redesignated by subsection (a) of this section) is further amended by adding at the end thereof the following new subsections: "(c) If an individual breaches the contract entered into under section 338A by failing (for any reason) to begin his service obligation in accordance with an agreement entered into under subsection (a) or to complete such service obligation, the Secretary may permit such individual to perform such service obligation as a member of the Corps. "(d) The Secretary may pay an individual who has entered into an agreement with the Secretary under subsection (a) an amount to cover all or part of the individual's expenses reasonably incurred in transporting himself, his family, and his possessions to the location of his private clinical practice. "(e)(1) The Secretary may make such arrangements as he determines are necessary for the individual for the use of equipment and supplies and for the lease or acquisition of other equipment and supplies. (2) Upon the expiration of the written agreement under subsection (a), the Secretary may (notwithstanding any other provision of law) sell to the individual who has entered into an agreement with the Secretary under subsection (a), equipment and other property of the United States utilized by such individual in providing health services. Sales made under this subsection shall be made at the fair market value (as determined by the Secretary) of the equipment or such other property, except that the Secretary may make such sales for a lesser value to the individual if he determines that the individual is financially unable to pay the full market value. "(f) The Secretary may, out of appropriations authorized under section 338, pay to individuals participating in private practice under this section the cost of such individual's malpractice insurance and "(1)(A) $10,000 in the first year of obligated service; "(B) $7,500 in the second year of obligated service; "(C) $5,000 in the third year of obligated service; and "(D) $2,500 in the fourth year of obligated service; or "(2) an amount determined by subtracting such individual's net income before taxes from the income the individual would

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