Sec. 3209. AUTHORITY TO DENY PLAN BIDS

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## SEC. 3209 AUTHORITY TO DENY PLAN BIDS ###

(a)In General Section 1854(a)(5) of the Social Security Act (42 U.S.C. 1395w–24(a)(5)) is amended by adding at the end the following new subparagraph: > > ##### “(C) Rejection of bids > > > ###### “(i) In general > > Nothing in this section shall be construed as requiring the Secretary to accept any or every bid submitted by an MA organization under this subsection. > > > ###### “(ii) Authority to deny bids that propose significant increases in cost sharing or decreases in benefits > > The Secretary may deny a bid submitted by an MA organization for an MA plan if it proposes significant increases in cost sharing or decreases in benefits offered under the plan.” > . ###

(b)Application Under Part D Section 1860D–11(d) of such Act (42 U.S.C. 1395w–111(d)) is amended by adding at the end the following new paragraph: > > #### “(3) Rejection of bids > > Paragraph (5)(C) of section 1854(a) shall apply with respect to bids submitted by a PDP sponsor under subsection

(b)in the same manner as such paragraph applies to bids submitted by an MA organization under such section 1854(a).” > . ###

(c)Effective Date **[**[42 U.S.C. 1395w–24 note](/us/usc/t42/s1395w–24)**]** The amendments made by this section shall apply to bids submitted for contract years beginning on or after January 1, 2011.

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42 USC 1395w–24(a)(5)
42 USC 1395w–111(d)
42 USC 1395w–24

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Sec. 3209

AUTHORITY TO DENY PLAN BIDS

Cite42 USC 1395w–24(a)(5)

Cite42 USC 1395w–111(d)

Cite42 USC 1395w–24

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