[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 1267 Introduced in Senate (IS)]







106th CONGRESS
  1st Session
                                S. 1267

To require that health care providers inform their patients of certain 
  referral fees upon the referral of the patients to clinical trials.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             June 23, 1999

  Mr. Schumer introduced the following bill; which was read twice and 
  referred to the Committee on Health, Education, Labor, and Pensions

_______________________________________________________________________

                                 A BILL


 
To require that health care providers inform their patients of certain 
  referral fees upon the referral of the patients to clinical trials.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Clinical Trials Disclosure Act of 
1999''.

SEC. 2. REQUIRED DISCLOSURE OF REFERRAL FEES.

    (a) Through Contracts With Insurers.--
            (1) Amendment to erisa.--
                    (A) In general.--Subpart B of part 7 of subtitle B 
                of title I of the Employee Retirement Income Security 
                Act of 1974 (29 U.S.C. 1185 et seq.) is amended by 
                adding at the end the following new section:

``SEC. 714. REQUIRED DISCLOSURE OF REFERRAL FEES.

    ``The provisions of any contract or agreement, or the operation of 
any contract or agreement, between a group health plan or health 
insurance issuer in relation to health insurance coverage (including 
any partnership, association, or other organization that enters into or 
administers such a contract or agreement) and a health care provider 
(or group of providers) shall require that, if the provider refers a 
patient to a clinical trial, the provider shall disclose (orally and in 
writing) to the patient (at the time of such referral) any payments or 
other compensation that the provider receives (or expects to receive) 
from any entity in connection with such referral.''.
                    (B) Clerical amendment.--The table of contents in 
                section 1 of the Employee Retirement Income Security 
                Act of 1974 (29 U.S.C. 1001 note) is amended by 
                inserting after the item relating to section 713 the 
                following new item:

``Sec. 714. Required disclosure of referral fees.''.
            (2) Amendments to phsa.--
                    (A) Group market.--Subpart 2 of part A of title 
                XXVII of the Public Health Service Act (42 U.S.C. 
                300gg-4 et seq.) is amended by adding at the end the 
                following new section:

``SEC. 2707. REQUIRED DISCLOSURE OF REFERRAL FEES.

    ``The provisions of any contract or agreement, or the operation of 
any contract or agreement, between a group health plan or health 
insurance issuer in relation to health insurance coverage (including 
any partnership, association, or other organization that enters into or 
administers such a contract or agreement) and a health care provider 
(or group of providers) shall require that, if the provider refers a 
patient to a clinical trial, the provider shall disclose (orally and in 
writing) to the patient (at the time of such referral) any payments or 
other compensation that the provider receives (or expects to receive) 
from any entity in connection with such referral.''.
                    (B) Individual market.--Part B of title XXVII of 
                the Public Health Service Act (42 U.S.C. 300gg-41 et 
                seq.) is amended--
            (1) by redesignating the first subpart 3 (relating to other 
        requirements) as subpart 2; and
            (2) by adding at the end of subpart 2 the following new 
        section:

``SEC. 2753. REQUIRED DISCLOSURE OF REFERRAL FEES.

    ``The provisions of section 2707 shall apply to health insurance 
coverage offered by a health insurance issuer in the individual market 
in the same manner as they apply to health insurance coverage offered 
by a health insurance issuer in connection with a group health plan in 
the small or large group market.''.
    (b) Other Providers.--A health care provider who provides services 
to beneficiaries under the medicare program under title XVIII of the 
Social Security Act (42 U.S.C. 1395 et seq.) shall, with respect to any 
patient that such provider refers to a clinical trial, disclose (orally 
and in writing) to the patient (at the time of such referral) any 
payments or other compensation that the provider receives (or expects 
to receive) from any entity in connection with such referral.
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