IMPROVING FUNDING FOR THE TERRITORIES UNDER CHIP AND MEDICAID.

SEC. 109. IMPROVING FUNDING FOR THE TERRITORIES UNDER CHIP AND MEDICAID. Section 1108(g) (42 U.S.C. 1308(g)) is amended by adding at the end the following new paragraph:“(4) Exclusion of certain expenditures from payment limits.—With respect to fiscal years beginning with fiscal year 2009, if Puerto Rico, the Virgin Islands, Guam, the Northern Mariana Islands, or American Samoa qualify for a payment under subparagraph (A)(i), (B), or (F) of section 1903(a)(3) for a calendar quarter of such fiscal year, the payment shall not be taken into account in applying subsection (f) (as increased in accordance with paragraphs (1), (2), and (3) of this subsection) to such commonwealth or territory for such fiscal year.”.123 STAT. 26