
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 42USC1396u-3]

 
                 TITLE 42--THE PUBLIC HEALTH AND WELFARE
 
                       CHAPTER 7--SOCIAL SECURITY
 
    SUBCHAPTER XIX--GRANTS TO STATES FOR MEDICAL ASSISTANCE PROGRAMS
 
Sec. 1396u-3. State coverage of medicare cost-sharing for 
        additional low-income medicare beneficiaries
        

(a) In general

    A State plan under this subchapter shall provide, under section 
1396a(a)(10)(E)(iv) of this title and subject to the succeeding 
provisions of this section and through a plan amendment, for medical 
assistance for payment of the cost of medicare cost-sharing described in 
such section on behalf of all individuals described in such section (in 
this section referred to as ``qualifying individuals'') who are selected 
to receive such assistance under subsection (b) of this section.

(b) Selection of qualifying individuals

    A State shall select qualifying individuals, and provide such 
individuals with assistance, under this section consistent with the 
following:

              (1) All qualifying individuals may apply

        The State shall permit all qualifying individuals to apply for 
    assistance during a calendar year.

           (2) Selection on first-come, first-served basis

        (A) In general

            For each calendar year (beginning with 1998), from (and to 
        the extent of) the amount of the allocation under subsection (c) 
        of this section for the State for the fiscal year ending in such 
        calendar year, the State shall select qualifying individuals who 
        apply for the assistance in the order in which they apply.

        (B) Carryover

            For calendar years after 1998, the State shall give 
        preference to individuals who were provided such assistance (or 
        other assistance described in section 1396a(a)(10)(E) of this 
        title) in the last month of the previous year and who continue 
        to be (or become) qualifying individuals.

       (3) Limit on number of individuals based on allocation

        The State shall limit the number of qualifying individuals 
    selected with respect to assistance in a calendar year so that the 
    aggregate amount of such assistance provided to such individuals in 
    such year is estimated to be equal to (but not exceed) the State's 
    allocation under subsection (c) of this section for the fiscal year 
    ending in such calendar year.

          (4) Receipt of assistance during duration of year

        If a qualifying individual is selected to receive assistance 
    under this section for a month in a year, the individual is entitled 
    to receive such assistance for the remainder of the year if the 
    individual continues to be a qualifying individual. The fact that an 
    individual is selected to receive assistance under this section at 
    any time during a year does not entitle the individual to continued 
    assistance for any succeeding year.

(c) Allocation

                        (1) Total allocation

        The total amount available for allocation under this section 
    for--
            (A) fiscal year 1998 is $200,000,000;
            (B) fiscal year 1999 is $250,000,000;
            (C) fiscal year 2000 is $300,000,000;
            (D) fiscal year 2001 is $350,000,000; and
            (E) fiscal year 2002 is $400,000,000.

                      (2) Allocation to States

        The Secretary shall provide for the allocation of the total 
    amount described in paragraph (1) for a fiscal year, among the 
    States that executed a plan amendment in accordance with subsection 
    (a) of this section, based upon the Secretary's estimate of the 
    ratio of--
            (A) an amount equal to the sum of--
                (i) twice the total number of individuals described in 
            section 1396a(a)(10)(E)(iv)(I) of this title in the State, 
            and
                (ii) the total number of individuals described in 
            section 1396a(a)(10)(E)(iv)(II) of this title in the State; 
            to

            (B) the sum of the amounts computed under subparagraph (A) 
        for all eligible States.

(d) Applicable FMAP

    With respect to assistance described in section 1396a(a)(10)(E)(iv) 
of this title furnished in a State for calendar quarters in a calendar 
year--
        (1) to the extent that such assistance does not exceed the 
    State's allocation under subsection (c) of this section for the 
    fiscal year ending in the calendar year, the Federal medical 
    assistance percentage shall be equal to 100 percent; and
        (2) to the extent that such assistance exceeds such allocation, 
    the Federal medical assistance percentage is 0 percent.

(e) Limitation on entitlement

    Except as specifically provided under this section, nothing in this 
subchapter shall be construed as establishing any entitlement of 
individuals described in section 1396a(a)(10)(E)(iv) of this title to 
assistance described in such section.

(f) Coverage of costs through part B of medicare program

    For each fiscal year, the Secretary shall provide for the transfer 
from the Federal Supplementary Medical Insurance Trust Fund under 
section 1395t of this title to the appropriate account in the Treasury 
that provides for payments under section 1396b(a) of this title with 
respect to medical assistance provided under this section, of an amount 
equivalent to the total of the amount of payments made under such 
section that is attributable to this section and such transfer shall be 
treated as an expenditure from such Trust Fund for purposes of section 
1395r of this title.

(Aug. 14, 1935, ch. 531, title XIX, Sec. 1933, as added Pub. L. 105-33, 
title IV, Sec. 4732(c), Aug. 5, 1997, 111 Stat. 520; amended Pub. L. 
106-113, div. B, Sec. 1000(a)(6) [title VI, Sec. 608(x)], Nov. 29, 1999, 
113 Stat. 1536, 1501A-398.)


                            Prior Provisions

    A prior section 1933 of act Aug. 14, 1935, was renumbered section 
1935 and is classified to section 1396v of this title.


                               Amendments

    1999--Subsec. (b)(4). Pub. L. 106-113 inserted ``a'' after ``for a 
month in''.

                  Section Referred to in Other Sections

    This section is referred to in sections 1396a, 1396d of this title.
