[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[S. 1827 Introduced in Senate (IS)]








109th CONGRESS
  1st Session
                                S. 1827

   To amend the Public Health Service Act to provide for the public 
     disclosure of charges for certain hospital services and drugs.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            October 6, 2005

  Mr. DeMint (for himself, Mr. Durbin, and Mr. Cornyn) introduced the 
 following bill; which was read twice and referred to the Committee on 
                 Health, Education, Labor, and Pensions

_______________________________________________________________________

                                 A BILL


 
   To amend the Public Health Service Act to provide for the public 
     disclosure of charges for certain hospital services and drugs.

    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 ``Hospital Price Reporting and 
Disclosure Act of 2005''.

SEC. 2. PUBLIC DISCLOSURE OF HOSPITAL DATA.

    Part B of title II of the Public Health Service Act (42 U.S.C. 238 
et seq.) is amended by adding at the end the following new section:

            ``data reporting by hospitals and public posting

    ``Sec. 249. (a) Semiannual Reporting Requirement.--Not later than 
80 days after the end of each semiannual period beginning January 1 or 
July 1 (beginning more than one year after the date of the enactment of 
this section), a hospital shall report to the Secretary the following 
data:
            ``(1) The frequency with which the hospital performed each 
        service selected under subparagraph (A) or (B) of subsection 
        (c)(1) in an inpatient or outpatient setting, respectively, 
        during such period.
            ``(2) The frequency with which the hospital administered a 
        drug selected under subparagraph (C) of such subsection in an 
        inpatient setting during such period.
            ``(3) If the service was so performed or the drug was so 
        administered during such period, the average charge and the 
        medium charge by the hospital for such service or drug during 
        such period.
    ``(b) Public Availability of Data.--
            ``(1) Public posting of data.--The Secretary shall promptly 
        post, on the official public Internet site of the Department of 
        Health and Human Services, the data reported under subsection 
        (a). Such data shall be set forth in a manner that promotes 
        charge comparison among hospitals.
            ``(2) Notice of availability.--A hospital shall prominently 
        post at each admission site of the hospital a notice of the 
        availability of the data reported under subsection (a) on the 
        official public Internet site under paragraph (1).
    ``(c) Selection of Services and Drugs.--For purposes of this 
section:
            ``(1) Initial selection.--Based on national data, the 
        Secretary shall select the following:
                    ``(A) The 25 most frequently performed services in 
                a hospital inpatient setting.
                    ``(B) The 25 most frequently performed services in 
                a hospital outpatient setting.
                    ``(C) The 50 most frequently administered drugs in 
                a hospital inpatient setting.
            ``(2) Updating selection.--The Secretary shall periodically 
        update the services and drugs selected under paragraph (1).
    ``(d) Civil Money Penalty.--The Secretary may impose a civil money 
penalty of not more than $10,000 for each knowing violation of 
subsection (a) or (b)(2) by a hospital. The provisions of subsection 
(i)(2) of section 351A shall apply with respect to civil money 
penalties under this subsection in the same manner as such provisions 
apply to civil money penalties under subsection (i)(1) of such section.
    ``(e) Administrative Provisions.--
            ``(1) In general.--The Secretary shall prescribe such 
        regulations and issue such guidelines as may be required to 
        carry out this section.
            ``(2) Classification of services.--The regulations and 
        guidelines under paragraph (1) shall include rules on the 
        classification of different services and the assignment of 
        items and procedures to those services (including inpatient 
        diagnostic related groups (DRGs), outpatient procedures, and 
        tests) and classification of drugs. For purposes of the 
        preceding sentence, classification of drugs may include unit, 
        strength, and dosage information.
            ``(3) Computation of average and median charges.--
                    ``(A) In general.--The regulations and guidelines 
                under paragraph (1) shall include a methodology for 
                computing an average charge and a median charge for a 
                service or drug, in accordance with subparagraph (B).
                    ``(B) Methodology.--The methodology prescribed by 
                the Secretary under subparagraph (A) shall ensure that 
                the average charge and the median charge for a service 
                or drug reflect the amount charged before any 
                adjustment based on a rate negotiated with a third 
                party.
            ``(4) Form of report and notice.--The regulations and 
        guidelines under paragraph (1) shall specify the electronic 
        form and manner by which a hospital shall report data under 
        subsection (a) and the form for posting of notices under 
        subsection (b)(2).
    ``(f) Rules of Construction.--
            ``(1) Non-preemption of state laws.--Nothing in this 
        section shall be construed as preempting or otherwise affecting 
        any provision of State law relating to the disclosure of 
        charges or other information for a hospital.
            ``(2) Charges.--Nothing in this section shall be construed 
        to regulate or set hospital charges.
    ``(g) Definitions.--For purposes of this section:
            ``(1) Hospital.--The term `hospital' has the meaning given 
        such term by the Secretary.
            ``(2) Drug.--The term `drug' includes a biological and a 
        non-prescription drug, such as an ointment.''.
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