Page:United States Statutes at Large Volume 98 Part 1.djvu/1127

 PUBLIC LAW 98-369—JULY 18, 1984

98 STAT. 1079

"(3) such procedure has the potential to be more cost-effective in the treatment of a condition than procedures currently in use with respect to such condition.". (d) Section 1886(e)(6) of such Act is amended by adding at the end the following new subparagraph: "(J) The Commission shall submit requests for appropriations in the same manner as the Office submits requests for appropriations, but amounts appropriated for the Commission shall be separate from amounts appropriated for the Office.". (e) The amendments made by this section shall become effective on the date of the enactment of this Act.

97 Stat. 152. 42 USC 1395WW.

Effective date. 42 USC 1395y note.

REVALUATION OF ASSETS

SEC. 2314. (a) Section 1861(v)(l) of the Social Security Act is amended by adding at the end thereof the following new subparagraph: "(O)(i) In establishing an appropriate allowance for depreciation and for interest on capital indebtedness and (if applicable) a return on equity capital with respect to an asset of a hospital or skilled nursing facility which has undergone a change of ownership, such regulations shall provide that the valuation of the asset after such change of ownership shall be the lesser of the allowable acquisition cost of such asset to the owner of record as of the date of the enactment of this subparagraph (or, in the case of an asset not in existence as of such date, the first owner of record of the asset after such date), or the acquisition cost of such asset to the new owner. "(ii) Such regulations shall provide for recapture of depreciation in the same manner as provided under the regulations in effect on June 1, 1984. "(iii) Such regulations shall not recognize, as reasonable in the provision of health care services, costs (including legal fees, accounting and administrative costs, travel costs, and the costs of feasibility studies) attributable to the negotiation or settlement of the sale or purchase of any capital asset (by acquisition or merger) for which any payment has previously been made under this title.". (b) Section 1902(a)(13) of such Act is amended— (1) by striking out "and" at the end of subparagraph (A), (2) by redesignating subparagraph (B) as subparagraph (C), and (3) by inserting after subparagraph (A) the following new subparagraph: "(B) that the State shall provide assurances satisfactory to the Secretary that the payment methodology utilized by the State for payments to hospitals, skilled nursing facilities, and intermediate care facilities can reasonably be expected not to increase such payments, solely as a result of a change of ownership, in excess of the increase which would result from the application of section 1861(v)(l)(O); and". IcXD Clause (i) of section 1861(v)(l)(O) of the Social Security Act shall not apply to changes of ownership of gissets pursuant to an enforceable agreement entered into before the date of the enactment of this Act. (2) Clause (iii) of section 1861(v)(l)(O) of such Act shall apply to costs incurred on or after the date of the enactment of this Act.

42 USC I395x.

42 USC I396a.

Supra. 42 USC I395x note.

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