SEC. 1178. Effect on State Law
Title[ Title II\Subtitle F\Sec. 262 Contents
``Sec. 1178. (a) General <<NOTE: 42 USC 1320d-7.>> Effect.--
``(1) General rule.--Except as provided in paragraph (2), a
provision or requirement under this part, or a standard or
implementation specification adopted or established under
sections 1172 through 1174, shall supersede any contrary
provision of State law, including a provision of State law that
requires medical or health plan records (including billing
information) to be maintained or transmitted in written rather
than electronic form.
``(2) Exceptions.--A provision or requirement under this
part, or a standard or implementation specification adopted or
established under sections 1172 through 1174, shall not
supersede a contrary provision of State law, if the provision of
State law--
``(A) is a provision the Secretary determines--
``(i) is necessary--
``(I) to prevent fraud and abuse;
``(II) to ensure appropriate State
regulation of insurance and health
plans;
``(III) for State reporting on
health care delivery or costs; or
``(IV) for other purposes; or
``(ii) addresses controlled substances; or
``(B) subject to section 264(c)(2) of the Health
Insurance Portability and Accountability Act of 1996,
relates to the privacy of individually identifiable
health information.
``(b) Public Health.--Nothing in this part shall be construed to
invalidate or limit the authority, power, or procedures established
under any law providing for the reporting of disease or injury, child
abuse, birth, or death, public health surveillance, or public health
investigation or intervention.
``(c) State Regulatory Reporting.--Nothing in this part shall limit
the ability of a State to require a health plan to report, or to provide
access to, information for management audits, financial audits, program
monitoring and evaluation, facility licensure or certification, or
individual licensure or certification.
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