SEC. 416. TREATMENT OF CERTAIN CLINICAL DIAGNOSTIC LABORATORY
TESTS FURNISHED TO HOSPITAL OUTPATIENTS IN CERTAIN RURAL AREAS.
(a) IN GENERAL- Notwithstanding subsections
(a), (b), and (h) of section 1833 of the Social Security Act (42 U.S.C. 1395l)
and section 1834(d)(1) of such Act (42 U.S.C. 1395m(d)(1)), in the case of a
clinical diagnostic laboratory test covered under part B of title XVIII of such
Act that is furnished during a cost reporting period described in subsection
(b) by a hospital with fewer than 50 beds that is located in a qualified rural
area (identified under paragraph (12)(B)(iii) of section 1834(l) of the Social
Security Act (42 U.S.C. 1395m(l)), as added by section 414(c)) as part of outpatient
services of the hospital, the amount of payment for such test shall be 100 percent
of the reasonable costs of the hospital in furnishing such test.
(b) APPLICATION- A cost reporting period described
in this subsection is a cost reporting period beginning during the 2-year period
beginning on July 1, 2004.
(c) PROVISION AS PART OF OUTPATIENT HOSPITAL
SERVICES- For purposes of subsection (a), in determining whether clinical diagnostic
laboratory services are furnished as part of outpatient services of a hospital,
the Secretary shall apply the same rules that are used to determine whether
clinical diagnostic laboratory services are furnished as an outpatient critical
access hospital service under section 1834(g)(4) of the Social Security Act
(42 U.S.C. 1395m(g)(4)).