PUBLIC LAW 106-554—APPENDIX F 114 STAT. 2763A-581 (5) by adding after subparagraph (D), as so redesignated, the following new paragraph: " (2) ORDER OF PAYMENTS.— Payments under paragraph (1) from a State's allotment shall be made in the following order: "(A) First, for expenditures for items described in paragraph (1)(A). "(B) Second, for expenditures for items described in paragraph (1)(B). "(C) Third, for expenditures for items described in paragraph (1)(C). "(D) Fourth, for expenditures for items described in paragraph (1)(D).". (b) ELIMINATION OF REQUIREMENT TO REDUCE TITLE XXI ALLOTMENT BY MEDICAID EXPANSION SCHIP COSTS.— Section 2104 (42 U.S.C. 1397dd) is amended by striking subsection (d). (c) AUTHORITY TO TRANSFER TITLE XXI APPROPRL\TIONS TO TITLE XIX APPROPRIATION ACCOUNT AS REIMBURSEMENT FOR MEDICAID EXPENDITURES FOR MEDICAID EXPANSION SCHIP SERV- ICES. — Notwithstanding any other provision of law, all amounts appropriated under title XXI and allotted to a State pursuant to subsection (b) or (c) of section 2104 of the Social Security Act (42 U.S.C. 1397dd) for fiscal years 1998 through 2000 (including any amounts that, but for this provision, would be considered to have expired) and not expended in providing child health assistance or related services for which payment may be made pursuant to subparagraph (C) or (D) of section 2105(a)(1) of such Act (42 U.S.C. 1397ee(a)(l)) (as amended by subsection (a)), shall be available to reimburse the Grants to States for Medicaid account in an amount equal to the total payments made to such State under section 1903(a) of such Act (42 U.S.C. 1396b(a)) for expenditures in such years for medical assistance described in subparagraphs (A) and (B) of section 2105(a)(1) of such Act (42 U.S.C. 1397ee(a)(l)) (as so amended). (d) CONFORMING AMENDMENTS. — (1) Section 1905(b) (42 U.S.C. 1396d(b)) is amended in the fourth sentence by striking "the State's allotment under section 2104 (not taking into account reductions under section 2104(d)(2)) for the fiscal year reduced by the amount of any payments made under section 2105 to the State from such allotment for such fiscal year" and inserting "the State's available allotment under section 2104". (2) Section 1905(u)(l)(B) (42 U.S.C. 1396d(u)(l)(B)) is amended by striking "and section 2104(d)". (3) Section 2104 (42 U.S.C. 1397dd), as amended by subsection (b), is further amended— (A) in subsection (b)(1), by striking "and subsection (d)"; and (B) in subsection (c)(1), by striking "subject to subsection (d),". (4) Section 2105(c) (42 U.S.C. 1397ee(c)) is amended— " (A) in paragraph (2)(A), by striking all that follows "Except as provided in this paragraph," and inserting "the amount of payment that may be made under subsection (a) for a fiscal year for expenditures for items described in paragraph (1)(D) of such subsection shall not exceed 10 percent of the total amount of expenditures for which
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