104 STAT. 582 PUBLIC LAW 101-381—AUG. 18, 1990 "(A) a shortage of specific health, mental health or support service personnel exists within specific institutions or entities in the eligible area; "(B) the shortage of such personnel has resulted in the inappropriate utilization of inpatient services within the area; and "(C) assistance or services provided to an institution or entity under paragraph (2), will not be used to supplant the existing resources devoted by such institution or entity to the uses described in such paragraph. "(d) REQUIREMENT OF STATUS AS MEDICAID PROVIDER. — "(1) PROVISION OF SERVICE. — Subject to paragraph (2), the Secretary may not make a grant under section 2601(a) for the provision of services under this section in a State unless, in the case of any such service that is available pursuant to the State plan approved under title XIX of the Social Security Act for the State— "(A) the political subdivision involved will provide the service directly, and the political subdivision has entered into a participation agreement under the State plan and is qualified to receive payments under such plan; or "(B) the political subdivision will enter into an agreement with a public or nonprofit private entity under which the entity will provide the service, and the entity has entered into such a participation agreement and is qualified to receive such payments. "(2) WAIVER.— "(A) IN GENERAL. —In the case of an entity making an agreement pursuant to paragraph (I)(B) regarding the provision of services, the requirement established in such paragraph shall be waived by the HIV health services planning council for the eligible area if the entity does not, in providing health care services, impose a charge or accept reimbursement available from any third-party payor, including reimbursement under any insurance policy or under any Federal or State health benefits program. "(B) DETERMINATION. —A determination by the HIV health services planning council of whether an entity referred to in subparagraph (A) meets the criteria for a waiver under such subparagraph shall be made without regard to whether the entity accepts voluntary donations for the purpose of providing services to the public. "(e) ADMINISTRATION AND PLANNING. —The chief executive officer of an eligible area shall not use in excess of 5 percent of amounts received under a grant awarded under this part for administration, accounting, reporting, and program oversight functions. "(f) CONSTRUCTION. —A State may not use amounts received under a grant awarded under this part to purchase or improve land, or to purchase, construct, or permanently improve (other than minor remodeling) any building or other facility, or to make cash payments to intended recipients of services. 42 USC 300ff-15. "SEC. 2605. APPLICATION. "(a) IN GENERAL.—To be eligible to receive a grant under section 2601, an eligible area shall prepare and submit to the Secretary an application at such time, in such form, and containing such informa-
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