PAYMENT PROCESS UNDER THE COMPETITIVE ACQUISITION PROGRAM (CAP).

SEC. 108. PAYMENT PROCESS UNDER THE COMPETITIVE ACQUISITION PROGRAM (CAP).(a) In General.—Section 1847B(a)(3) of the Social Security Act (42 U.S.C. 1395w–3b(a)(3)) is amended—(1) in subparagraph (A)(iii), by striking “and biologicals” and all that follows and inserting “and biologicals shall be made only to such contractor upon receipt of a claim for a drug or biological supplied by the contractor for administration to a beneficiary.”; and(2) by adding at the end the following new subparagraph:“(D) Post-payment review process.—The Secretary shall establish (by program instruction or otherwise) a post-payment review process (which may include the use of statistical sampling) to assure that payment is made for a drug or biological under this section only if the drug or biological has been administered to a beneficiary. The Secretary shall recoup, offset, or collect any overpayments determined by the Secretary under such process.”.(b) Construction.—Nothing in this section shall be construed as—(1) requiring the conduct of any additional competition under subsection (b)(1) of section 1847B of the Social Security Act (42 U.S.C. 1395w–3b); or(2) requiring any additional process for elections by physicians under subsection (a)(1)(A)(ii) of such section or additional selection by a selecting physician of a contractor under subsection (a)(5) of such section.(c) Effective Date.—The amendments made by subsection (a) shall apply to payment for drugs and biologicals supplied under section 1847B of the Social Security Act (42 U.S.C. 1395w–3b)—(1) on or after April 1, 2007; and(2) on or after July 1, 2006, and before April 1, 2007, for claims that are unpaid as of April 1, 2007.120 STAT. 2984