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*Th.'s Ns a Si'. epo ' OP~ 17'.i of work perforn d
yarunto a reui -A' ior alkl~ ~ihourX~n
... I T uV u.m,
* ~ 'f:J~t%-1ASHINGTON. D.C. 21)548 o -~C, (e ,
1-lC4031(3) January 26, 1976
LM089146
The Honorable John E. Thss
Chairman, Subcommittee on Oversight
* and Investigations
Committee on Interstate and . ,
Foreign Commerce j, T
House of Representatives
Dear Mr. Chairman:
a,',II, This is in response to your letter dated October 31, 1975, and
also to confirm information presented orally to your staff on Decem-
ber 18, 1975, regarding. the implementation of section 1903(g) of the
Social Security Act, 42 U.S.C. I 1396b(g)(1) (Supp. IV, 1974) by the
Department of Health, Education, and Welfare (the Department). a2..
Section 1903(g) Pas added by section 207(a)(1) of the Social
Security Amendments of 1972, Public Law 92-603, 86 Stat. 1379. This
section provides generally that after an individual has received care
as an inpatient in a hospital, skilled nursing facility, or intermedi-
ate care facility beyond 60 days, or in a hospital for mental diseases
beyond 90 days, during any fiscal year, the Federal medical assistance
percentage with respect to ao:ounts paid for any such care shall be
decreasedby 33 1/3 percent urless the State agency responsible for
the administration of the plan pakes a showinu satisfactory to the
Secretary of the Departrent tiat, with respect to each calendar
quarter for which the State suDits a request for payment for amounts
paid for long-term care, th.re is in uperation in the State an effec-
tive program of control ovor utilization of such institutional services.
Section 1903(g)(2) provid:. that thu Secretary shall, as part of
his validation prccedurcs u-,;cr his subsection, conduct sample onsite
surveys of private and u ,ilic institutions in w.'ich recipients of
medical assistance way r', iv- care and services under an approved
State plan.
The Coriission-r 0 QYa Adical Services Adw'inistration, Social
and Rehibi 1 it Ltio, ,rvic- if th, QartmnLt issued an Information
Klinoranidum dated Jina C, ]In7-, tb State agencies administe.ring
T. , WD-76-8](ViewImageLocal?handle=hein.gao/gaobabkgz0001&div=1&collection=&method=preview&ext=.png&size=3)