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SEC. 194. VOLUNTEER SERVICES PROVIDED BY HEALTH PROFESSIONALS AT FREE CLINICS.

                                                                                                                                                                                                                                                                                                                        

 Title[ Title I\Subtitle C                                                            Contents

                                                                                                                                                                                                                                                                                                                       


    Section 224 of the Public Health Service Act (42 U.S.C. 233) is

amended by adding at the end the following subsection:

    ``(o)(1) For purposes of this section, a free clinic health

professional shall in providing a qualifying health service to an

individual be deemed to be an employee of the Public Health Service for

a calendar year that begins during a fiscal year for which a transfer

was made under paragraph (6)(D). The preceding sentence is subject to

the provisions of this subsection.


    ``(2) In providing a health service to an individual, a health care

practitioner shall for purposes of this subsection be considered to be a

free clinic health professional if the following conditions are met:

            ``(A) The service is provided to the individual at a free

        clinic, or through offsite programs or events carried out by the

        free clinic.


            ``(B) The free clinic is sponsoring the health care

        practitioner pursuant to paragraph (5)(C).


            ``(C) The service is a qualifying health service (as defined

        in paragraph (4)).


            ``(D) Neither the health care practitioner nor the free

        clinic receives any compensation for the service from the

        individual or from any third-party payor (including

        reimbursement under any insurance policy or health plan, or

        under any Federal or State health benefits program). With

        respect to compliance with such condition:

                    ``(i) The health care practitioner may receive

                repayment from the free clinic for reasonable expenses

                incurred by the health care practitioner in the

                provision of the service to the individual.


                    ``(ii) The free clinic may accept voluntary

                donations for the provision of the service by the health

                care practitioner to the individual.


            ``(E) Before the service is provided, the health care

        practitioner or the free clinic provides written notice to the

        individual of the extent to which the legal liability of the

        health care practitioner is limited pursuant to this subsection

        (or in the case of an emergency, the written notice is provided

        to the individual as soon after the emergency as is

        practicable). If the individual is a minor or is otherwise

        legally incompetent, the condition under this subparagraph is

        that the written notice be provided to a legal guardian or other

        person with legal responsibility for the care of the individual.


            ``(F) At the time the service is provided, the health care

        practitioner is licensed or certified in accordance with

        applicable law regarding the provision of the service.


    ``(3)(A) For purposes of this subsection, the term `free clinic'

means a health care facility operated by a nonprofit private entity

meeting the following requirements:

            ``(i) The entity does not, in providing health services

        through the facility, accept reimbursement from any third-party

        payor (including reimbursement under any insurance policy or

        health plan, or under any Federal or State health benefits

        program).


            ``(ii) The entity, in providing health services through the

        facility, either does not impose charges on the individuals to

        whom the services are provided, or imposes a charge according to

        the ability of the individual involved to pay the charge.


            ``(iii) The entity is licensed or certified in accordance

        with applicable law regarding the provision of health services.


    ``(B) With respect to compliance with the conditions under

subparagraph (A), the entity involved may accept voluntary donations for

the provision of services.


    ``(4) For purposes of this subsection, the term `qualifying health

service' means any medical assistance required or authorized to be

provided in the program under title XIX of the Social Security Act,

without regard to whether the medical assistance is included in the plan

submitted under such program by the State in which the health care

practitioner involved provides the medical assistance. References in the

preceding sentence to such program shall as applicable be considered to

be references to any successor to such program.


    ``(5) Subsection (g) (other than paragraphs (3) through (5)) and

subsections (h), (i), and (l) apply to a health care practitioner for

purposes of this subsection to the same extent and in the same manner as

such subsections apply to an officer, governing board member, employee,

or contractor of an entity described in subsection (g)(4), subject to

paragraph (6) and subject to the

following:

            ``(A) The first sentence of paragraph (1) applies in lieu of

        the first sentence of subsection (g)(1)(A).


            ``(B) This subsection may not be construed as deeming any

        free clinic to be an employee of the Public Health Service for

        purposes of this section.


            ``(C) With respect to a free clinic, a health care

        practitioner is not a free clinic health professional unless the

        free clinic sponsors the health care practitioner. For purposes

        of this subsection, the free clinic shall be considered to be

        sponsoring the health care practitioner if--

                    ``(i) with respect to the health care practitioner,

                the free clinic submits to the Secretary an application

                meeting the requirements of subsection (g)(1)(D); and


                    ``(ii) the Secretary, pursuant to subsection

                (g)(1)(E), determines that the health care practitioner

                is deemed to be an employee of the Public Health

                Service.


            ``(D) In the case of a health care practitioner who is

        determined by the Secretary pursuant to subsection (g)(1)(E) to

        be a free clinic health professional, this subsection applies to

        the health care practitioner (with respect to the free clinic

        sponsoring the health care practitioner pursuant to subparagraph

        (C)) for any cause of action arising from an act or omission of

        the health care practitioner

occurring on or after the date on which the Secretary makes such

determination.


            ``(E) Subsection (g)(1)(F) applies to a health care

        practitioner for purposes of this subsection only to the extent

        that, in providing health services to an individual, each of the

        conditions specified in paragraph (2) is met.


    ``(6)(A) For purposes of making payments for judgments against the

United States (together with related fees and expenses of witnesses)

pursuant to this section arising from the acts or omissions of free

clinic health professionals, there is authorized to be appropriated

$10,000,000 for each fiscal year.


    ``(B) The Secretary shall establish a fund for purposes of this

subsection. Each fiscal year amounts appropriated under subparagraph (A)

shall be deposited in such fund.


    ``(C) Not later <<NOTE: Reports.>>  than May 1 of each fiscal year,

the Attorney General, in consultation with the Secretary, shall submit

to the Congress a report providing an estimate of the amount of claims

(together with related fees and expenses of witnesses) that, by reason

of the acts or omissions of free clinic health professionals, will be

paid pursuant to this section during the calendar year that begins in

the following fiscal year. Subsection (k)(1)(B) applies to the estimate

under the preceding sentence regarding free clinic health professionals

to the same extent and in the same manner as such subsection applies to

the estimate under such subsection regarding officers, governing board

members, employees, and contractors of entities described in subsection

(g)(4).


    ``(D) Not later than December 31 of each fiscal year, the Secretary

shall transfer from the fund under subparagraph (B) to the appropriate

accounts in the Treasury an amount equal to the estimate made under

subparagraph (C) for the calendar year beginning in such fiscal year,

subject to the extent of amounts in the fund.


    ``(7)(A) This <<NOTE: Effective date.>>  subsection takes effect on

the date of the enactment of the first appropriations Act that makes an

appropriation under paragraph (6)(A), except as provided in subparagraph

(B)(i).


    ``(B)(i) Effective on the date of the enactment of the Health

Insurance Portability and Accountability Act of 1996--

            ``(I) the Secretary may issue regulations for carrying out

        this subsection, and the Secretary may accept and consider

        applications submitted pursuant to paragraph (5)(C); and

            ``(II) reports under paragraph (6)(C) may be submitted to

        the Congress.


    ``(ii) For the first fiscal year for which an appropriation is made

under subparagraph (A) of paragraph (6), if an estimate under

subparagraph (C) of such paragraph has not been made for the calendar

year beginning in such fiscal year, the transfer under subparagraph (D)

of such paragraph shall be made notwithstanding the lack of the

estimate, and the transfer shall be made in an amount equal to the

amount of such appropriation.''.


 

                                                                                                                                                                                                                                                                                                                                                                        

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