PUBLIC LAW 99-272—APR. 7, 1986
100 STAT. 155
defined) with respect to the previous cost reporting period shall be deemed to have been V2 percent. (3) PPS-EXEMPT HOSPITALS.—In the case of a hospital that is not a subsection (d) hospital— (A) the amendment m a d e by subsection (b) shall apply to cost reporting periods beginning on or after October 1, 1985;
(B) notwithstanding subparagraph (A), for the hospital's cost reporting period beginning during fiscal year 1986, payment under title XVIII of the Social Security Act shall 42 USC 1395. be made as though the applicable percentage increase described in section 1886(b)(3)(B) were equal to %4 of 1 per- 42 USC I395ww. cent; and i?;^
(C) for cost reporting periods beginning on or after October 1, 1986, the applicable percentage increase (as so defined) with respect to the cost reporting period beginning during fiscal year 1986 shall be deemed to have been V 2
percent. (4) DEFINITION.—In this subsection, the term "subsection (d) hospital" has the meaning given such term in section 1886(d)(1)(B) of the Social Security Act. SEC. 9102. ONE-YEAR EXTENSION OF PPS TRANSITION. (a) ONE-YEAR DELAY OF F U L L IMPLEMENTATION OF PROSPECTIVE
PAYMENT SYSTEM.—Section 1886(d)(1)(A) of the Social Security Act (42 U.S.C. 1395ww(d)(l)(A)) is amended by striking out "1986" in clauses (ii) and (iii) and inserting in lieu thereof "1987". (b) N E W T A R G E T A N D D R G P E R C E N T A G E S FOR R E M A I N D E R OF FISCAL
YEAR 1986.—Section 1886(d)(1)(C) of such Act is amended—
(1) by striking out ", or discharges occurring", (2) by striking out "and" at the end of clause (ii), (3) by striking o u t "(iii) on or after October 1, 1985, and before October 1, 1986" in clause (iii) and inserting in lieu thereof "(iv) on or after October 1, 1986, and before October 1, 1987", and
(4) by inserting after clause (ii) the following new clause: "(iii) on or after October 1, 1985, and before October 1, 1986, the 'target percentage' is 45 percent and the 'DRG percentage' is 55 percent; and". (c) NEW BLENDED NATIONAL-REGIONAL DRG RATE FOR REMAINDER OF FISCAL YEAR 1986.—Section 1886(d)(1)(D) of such Act is
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amended— (1) by striking out "cost reporting periods beginning, or", and (2) by striking out "1985" and "1986" and inserting in lieu thereof "1986" and "1987", respectively, each place it appears. (d) EFFECTIVE D A T E S. —
42 USC I395ww
(1) DELAY IN FINAL TRANSITION.—The amendment made by note, subsection (a) shall take effect on the date of the enactment of this Act. (2) C H A N G E I N HOSPITAL SPECIFIC PERCENTAGE.—The amend -
m e n t s m a d e by subsection (b) shall apply—
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(A) to cost reporting periods beginning on or after October 1, 1985, but (B) notwithstanding subparagraph (A), for a hospital's cost reporting period beginning during fiscal year 1986, for purposes of section 1886(d)(1)(A) of the Social Security Act— (i) during the first 7 months of the period the "target percentage" is 50 percent and the "DRG percentage' is 50 percent, and
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