[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[S. 1471 Introduced in Senate (IS)]







105th CONGRESS
  1st Session
                                S. 1471

 To prohibit the Secretary of Health and Human Services from treating 
 any Medicaid-related funds recovered as part of State litigation from 
  one or more tobacco companies as an overpayment under the Medicaid 
                                Program.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            November 8, 1997

  Mr. Graham introduced the following bill; which was read twice and 
                  referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
 To prohibit the Secretary of Health and Human Services from treating 
 any Medicaid-related funds recovered as part of State litigation from 
  one or more tobacco companies as an overpayment under the Medicaid 
                                Program.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. PROHIBITION ON TREATING ANY MEDICAID-RELATED FUNDS RECOVERED 
              FROM ONE OR MORE TOBACCO COMPANIES AS AN OVERPAYMENT.

    (a) Prohibition on Treatment as Overpayment.--Section 1903(d)(3) of 
the Social Security Act (42 U.S.C. 1396b(d)(3)) is amended--
            (1) by inserting ``(A)'' before ``The''; and
            (2) by adding at the end the following:
    ``(B) Subparagraph (A) and paragraph (2)(B) shall not apply to any 
amount recovered or paid to a State as part of a settlement or judgment 
reached in litigation initiated or pursued by a State against one or 
more manufacturers of tobacco products, as defined in section 5702(d) 
of the Internal Revenue Code of 1986.''.
    (b) Effective Date.--The amendment made by subsection (a) applies 
to amounts recovered or paid to a State before, on, or after the date 
of enactment of this Act.
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