^.ItpwHIH.* -' «. »^--l^i;--,.^ PUBLIC LAW 101-508—NOV. 5, 1990 104 STAT. 1388-77 (5) CONFORMING AMENDMENT.— Section 1834(a)(12) (42 U.S.C. 1395m(a)(12)) is amended by striking "defined for purposes of paragraphs (8)(B) and (9)(B)". (c) TREATMENT OF "RENTAL CAP" ITEMS. — (1) LIMITATION ON MONTHLY RECOGNIZED RENTAL AMOUNTS FOR MISCELLANEOUS ITEMS. —Section 1834(a)(7)(A)(i) (42 U.S.C. 1395m(a)(7)(A)(i)) is amended— (A) by striking "for each such month" and inserting "for each of the first 3 months of such period"; and (B) by striking the semicolon at the end and inserting the following: ", and for each of the remaining months of such period is 7.5 percent of such purchase price;". (2) OFFER OF OPTION TO PURCHASE FOR MISCELLANEOUS ITEMS; ESTABLISHMENT OF REASONABLE LIFETIME. —SectioU 1834(a)(7) of such Act (42 U.S.C. 1395m(a)(7)(A)) is amended— (A) in subparagraph (A)(i), by striking "15 months" and inserting "15 months, or, in the case of an item for which a purchase agreement has been entered into under clause (iii), a period of continuous use of longer than 13 months"; (B) in subparagraph (A)(ii)— (i) by striking "(ii) during the succeeding 6-month period of medical need," and inserting "(iv) in the case of an item for which a purchase agreement has not been entered into under clause (ii) or clause (iii), during the first 6-month period of medical need that follows the period of medical need during which payment is made under clause (i),", and (ii) by striking "and" at the end; (C) in subparagraph (A)(iii)— (i) by striking "(iii)" and inserting "(v) in the case of an item for which a purchase agreement has not been entered into under clause (ii) or clause (iii),", and (ii) by striking the period at the end and inserting "; and"; (D) by inserting after clause (i) of subparagraph (A) the following new clauses: "(ii) in the case of a power-driven wheelchair, at the time the supplier furnishes the item, the supplier shall offer the individual patient the option to purchase the item, and payment for such item shall be made on a lump-sum basis if the patient exercises such option; "(iii) during the 10th continuous month during which payment is made for the rental of an item under clause (i), the supplier of such item shall offer the individual patient the option to enter into a purchase agreement under which, if the patient notifies the supplier not later than 1 month after the supplier makes such offer that the patient agrees to accept such offer and exercise such option— "(I) the supplier shall transfer title to the item to the individual patient on the first day that begins after the 13th continuous month during which pay- ment is made for the rental of the item under clause (i), "(II) after the supplier transfers title to the item under subclause (I), maintenance and servicing
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