LIMITATION ON PAYMENTS FOR PROCEDURES IN AMBULATORY SURGICAL CENTERS.

SEC. 5103. LIMITATION ON PAYMENTS FOR PROCEDURES IN AMBULATORY SURGICAL CENTERS. Section 1833(i)(2) of the Social Security Act (42 U.S.C. 1395l(i)(2)) is amended—(1) in subparagraph (A), by inserting “subject to subparagraph (E),” after “subparagraph (D),”;(2) in subparagraph (D)(ii), by inserting before the period at the end the following: “and taking into account reduced expenditures that would apply if subparagraph (E) were to continue to apply, as estimated by the Secretary”; and(3) by adding at the end the following new subparagraph:“(E) With respect to surgical procedures furnished on or after January 1, 2007, and before the effective date of the implementation of a revised payment system under subparagraph (D), if—“(i) the standard overhead amount under subparagraph (A) for a facility service for such procedure, without the application of any geographic adjustment, exceeds“(ii) the Medicare OPD fee schedule amount established under the prospective payment system for hospital outpatient department services under paragraph (3)(D) of section 1833(t) for such service for such year, determined without regard to geographic adjustment under paragraph (2)(D) of such section,the Secretary shall substitute under subparagraph (A) the amount described in clause (ii) for the standard overhead amount for such service referred to in clause (i).”.