42 U.S.C. § 280c — Establishment of program

(a) The Secretary, acting through the Administrator of the Health Resources and Services Administration, must give at least 5 but no more than 20 grants to States. States use this money to run demonstration projects that: (1) Find low-income people who could avoid being placed in an institution, or avoid a long hospital stay, if they got skilled medical services, skilled nursing care, homemaker or home health aide help, or personal care services at home. (2) Pay for those services in the person's home. (3) Coordinate how public and private groups deliver those services, and other long-term care services, in the person's home. (b) The Secretary cannot give a State a grant under subsection (a) unless the State agrees that: (1) At least 25 percent of the grant goes to services for people age 65 or older. (2) Of the money set aside to meet that 25 percent rule, at least 10 percent goes to people age 85 or older. (c) A State cannot use grant money to pay for an item or service if payment for it has already been made, or reasonably could be made: (1) Under a State compensation program, an insurance policy, or a federal or state health benefits program; or (2) By an entity that provides health services on a prepaid basis.