Sec. 2008. SUSPENSION OF PAYMENTS BY MEDICARE PRESCRIPTION DRUG PLANS AND MA-PD PLANS PENDING INVESTIGATIONS OF CREDIBLE ALLEGATIONS OF FRAUD BY PHARMACIES
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## SEC. 2008 SUSPENSION OF PAYMENTS BY MEDICARE PRESCRIPTION DRUG PLANS AND MA-PD PLANS PENDING INVESTIGATIONS OF CREDIBLE ALLEGATIONS OF FRAUD BY PHARMACIES ###
(a)In General Section 1860D-12(b) of the Social Security Act (42 U.S.C. 1395w-112(b)) is amended by adding at the end the following new paragraph: > > #### “(7) Suspension of payments pending investigation of credible allegations of fraud by pharmacies > > > ##### “(A) In general > > Section 1862(o)(1) shall apply with respect to a PDP sponsor with a contract under this part, a pharmacy, and payments to such pharmacy under this part in the same manner as such section applies with respect to the Secretary, a provider of services or supplier, and payments to such provider of services or supplier under this title. A PDP sponsor shall notify the Secretary regarding the imposition of any payment suspension pursuant to the previous sentence, such as through the secure internet website portal (or other successor technology) established under section 1859(i). > > > ##### “(B) Rule of construction > > Nothing in this paragraph shall be construed as limiting the authority of a PDP sponsor to conduct postpayment review.” > . ###
(b)Application to MA-PD Plans Section 1857(f)(3) of the Social Security Act (42 U.S.C. 1395w-27(f)(3)) is amended by adding at the end the following new subparagraph: > > ##### “(D) Suspension of payments pending investigation of credible allegations of fraud by pharmacies > > Section 1860D-12(b)(7).” > . ###
(c)Conforming Amendment Section 1862(o)(3) of the Social Security Act (42 U.S.C. 1395y(o)(3)) is amended by inserting “, section 1860D-12(b)(7) (including as applied pursuant to section 1857(f)(3)(D)),” after “this subsection”. ###
(d)Clarification Relating to Credible Allegation of Fraud Section 1862(o) of the Social Security Act (42 U.S.C. 1395y(o)) is amended by adding at the end the following new paragraph: > > #### “(4) Credible allegation of fraud > > In carrying out this subsection, section 1860D-12(b)(7) (including as applied pursuant to section 1857(f)(3)(D)), and section 1903(i)(2)(C), a fraud hotline tip (as defined by the Secretary) without further evidence shall not be treated as sufficient evidence for a credible allegation of fraud.” > . ###
(e)Effective Date The amendments made by this section shall apply with respect to plan years beginning on or after January 1, 2020. # TITLE III FDA AND CONTROLLED SUBSTANCE PROVISIONS ## Subtitle A FDA Provisions ## CHAPTER 1 IN GENERAL
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Sec. 2008
SUSPENSION OF PAYMENTS BY MEDICARE PRESCRIPTION DRUG PLANS AND MA-PD PLANS PENDING INVESTIGATIONS OF CREDIBLE ALLEGATIONS OF FRAUD BY PHARMACIES
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