PAYMENT FOR AMBULATORY SURGERY AT EYE, AND EYE AND EAR, SPECIALTY HOSPITALS.

SEC. 4068. PAYMENT FOR AMBULATORY SURGERY AT EYE, AND EYE AND EAR, SPECIALTY HOSPITALS. (a) In General.— Section 1833(i)(3)(B)(ii) of the Social Security Act (42 U.S.C. 13951(i)(3)(B)(ii)) is amended— (1) by striking “In” and inserting “Subject to the last sentence of this clause, in”; and (2) by adding at the end thereof the following: “In the case of a hospital that makes application to the Secretary and demonstrates that it specializes in eye services or eye and ear services (as determined by the Secretary), receives more than 30 percent of its total revenues from outpatient services and was an eye specialty hospital or an eye and ear specialty hospital on October 1, 1987, the cost proportion and ASC proportion in effect under101 STAT. 1330–114 subclauses (I) and (II) for cost reporting periods beginning in fiscal year 1988 shall remain in effect for cost reporting periods beginning in fiscal year 1989 or fiscal year 1990.”. (b) Development of Prospective Payment Methodology for Outpatient Hospital Services.— Section 1135(d) of the Social Security Act (42 U.S.C. 1320b–5(d)) is amended— (1) by adding at the end of paragraph (3) the following: “In establishing such rates, the Secretary shall consider whether a differential payment rate is appropriate for speciality hospitals.”; and (2) by adding at the end the following new paragraph: “(7) The Secretary shall solicit the views of the Prospective Payment Assessment Commission in developing the systems under paragraphs (1) and (6), and shall include in the Secretary’s reports under this subsection any views the Commission may submit with respect to such systems.”. (c) Effective Date.— The amendments made by subsection (a) shall be effective as if included in the amendment made by section 9343(a)(1)(B) of the Omnibus Budget Reconciliation Act of 1986.