DISCLOSURE OF INFORMATION AND SURETY BONDS.

SEC. 4312. DISCLOSURE OF INFORMATION AND SURETY BONDS. (a) Disclosure of Information and Surety Bond Requirement for Suppliers of Durable Medical Equipment.—Section 1834(a) (42 U.S.C. 1395m(a)) is amended by inserting after paragraph (15) the following new paragraph: “(16) Disclosure of information and surety bond.—The Secretary shall not provide for the issuance (or renewal) of a provider number for a supplier of durable medical equipment, for purposes of payment under this part for durable medical equipment furnished by the supplier, unless the supplier provides the Secretary on a continuing basis— “(A) with— “(i) full and complete information as to the identity of each person with an ownership or control interest (as defined in section 1124(a)(3)) in the supplier or in any subcontractor (as defined by the Secretary in regulations) in which the supplier directly or indirectly has a 5 percent or more ownership interest; and “(ii) to the extent determined to be feasible under regulations of the Secretary, the name of any disclosing entity (as defined in section 1124(a)(2)) with respect to which a person with such an ownership or control interest in the supplier is a person with such an ownership or control interest in the disclosing entity; and “(B) with a surety bond in a form specified by the Secretary and in an amount that is not less than $50,000. The Secretary may waive the requirement of a bond under subparagraph (B) in the case of a supplier that provides a comparable surety bond under State law.”. (b) Surety Bond Requirement for Home Health Agencies.— (1) In general.—Section 1861(o) (42 U.S.C. 1395x(o)) is amended— (A) in paragraph (6), by striking “and” at the end; (B) by redesignating paragraph (7) as paragraph (8); (C) by inserting after paragraph (6) the following new paragraph: “(7) provides the Secretary on a continuing basis with a surety bond in a form specified by the Secretary and in an amount that is not less than $50,000; and”; and111 STAT. 387 (D) by adding at the end the following: “The Secretary may waive the requirement of a surety bond under paragraph (7) in the case of an agency or organization that provides a comparable surety bond under State law.”. (2) Conforming amendments.—Section 1861(v)(1)(H) (42 U.S.C. 1395x(v)(1)(H)) is amended— (A) in clause (i), by striking “the financial security requirement described in subsection (o)(7)” and inserting “the surety bond requirement described in subsection (o)(7) and the financial security requirement described in subsection (o)(8)”; and (B) in clause (ii), by striking “the financial security requirement described in subsection (o)(7) applies” and inserting “the surety bond requirement described in subsection (o)(7) and the financial security requirement described in subsection (o)(8) apply”. (3) Reference to current disclosure requirement.—For additional provisions requiring home health agencies to disclose information on ownership and control interests, see section 1124 of the Social Security Act (42 U.S.C. 1320a–3). (c) Authorizing Application of Disclosure and Surety Bond Requirements to Other Health Care Providers.—Section 1834(a)(16) (42 U.S.C. 1395m(a)(16)), as added by subsection (a), is amended by adding at the end the following: “The Secretary, at the Secretary’s discretion, may impose the requirements of the first sentence with respect to some or all providers of items or services under part A or some or all suppliers or other persons (other than physicians or other practitioners, as defined in section 1842(b)(18)(C)) who furnish items or services under this part.”. (d) Application to Comprehensive Outpatient Rehabilitation Facilities (CORFs).—Section 1861(cc)(2) (42 U.S.C. 1395x(cc)(2)) is amended— (1) in subparagraph (H), by striking “and” at the end; (2) by redesignating subparagraph (I) as subparagraph (J); (3) by inserting after subparagraph (H) the following new subparagraph: “(I) provides the Secretary on a continuing basis with a surety bond in a form specified by the Secretary and in an amount that is not less than $50,000; and”; and (4) by adding at the end the following flush sentence: “The Secretary may waive the requirement of a surety bond under subparagraph (I) in the case of a facility that provides a comparable surety bond under State law.”. (e) Application to Rehabilitation Agencies.—Section 1861(p) (42 U.S.C. 1395x(p)) is amended— (1) in paragraph (4)(A)(v), by inserting after “as the Secretary may find necessary,” the following: “and provides the Secretary on a continuing basis with a surety bond in a form specified by the Secretary and in an amount that is not less than $50,000,”, and (2) by adding at the end the following: “The Secretary may waive the requirement of a surety bond under paragraph (4)(A)(v) in the case of a clinic or agency that provides a comparable surety bond under State law.”. (f) Effective Dates.— (1) Suppliers of durable medical equipment.—The amendment made by subsection (a) shall apply to suppliers 111 STAT. 388of durable medical equipment with respect to such equipment furnished on or after January 1, 1998. (2) Home health agencies.—The amendments made by subsection (b) shall apply to home health agencies with respect to services furnished on or after January 1, 1998. The Secretary of Health and Human Services shall modify participation agreements under section 1866(a)(1) of the Social Security Act (42 U.S.C. 1395cc(a)(1)) with respect to home health agencies to provide for implementation of such amendments on a timely basis. (3) Other amendments.—The amendments made by subsections (c) through (e) shall take effect on the date of the enactment of this Act and may be applied with respect to items and services furnished on or after January 1, 1998.