Title 42, The Public Health and WelfareRelease 119-110

§254a Sharing of Medical Care Facilities and Resources

Title 42 › CHAPTER 6A — PUBLIC HEALTH SERVICE › SUBCHAPTER II — GENERAL POWERS AND DUTIES › Part C — Hospitals, Medical Examinations, and Medical Care › § 254a

Last updated Sep 22, 2026|Official source

Summary

The Secretary can make agreements so Public Health Service hospitals and clinics share facilities, staff, and special equipment with medical schools, other health schools, hospitals, and health centers. The goal is to keep care good, help train and keep skilled workers, encourage useful partnerships, and make better use of hospitals and other health resources. These arrangements can let each side use the other's services or have one side pay the other. "Specialized health resources" means costly, rare, or hard-to-get equipment, space, or staff that are best used by sharing. "Hospital" also includes federal hospitals. Any payment must cover the reasonable cost of use, including normal wear and scheduled equipment cost recovery. Money received goes back into the Public Health Service’s appropriation for that year.

Full Legal Text

Title 42, §254a

The Public Health and Welfare, Source: USLM XML via OLRC

(a)Definitions
For purposes of this section
(1)
(2)the term “hospital”, unless otherwise specified, includes (in addition to other hospitals) any Federal hospital.
(b)Statement of purpose; agreements or arrangements; reciprocity; reimbursement; credits
For the purpose of maintaining or improving the quality of care in Public Health Service facilities and to provide a professional environment therein which will help to attract and retain highly qualified and talented health personnel, to encourage mutually beneficial relationships between Public Health Service facilities and hospitals and other health facilities in the health care community, and to promote the full utilization of hospitals and other health facilities and resources, the Secretary may—
(1)enter into agreements or arrangements with schools of medicine, schools of osteopathic medicine, and with other health professions schools, agencies, or institutions, for such interchange or cooperative use of facilities and services on a reciprocal or reimbursable basis, as will be of benefit to the training or research programs of the participating agencies; and
(2)enter into agreements or arrangements with hospitals and other health care facilities for the mutual use or the exchange of use of specialized health resources, and providing for reciprocal reimbursement.
Any reimbursement pursuant to any such agreement or arrangement shall be based on charges covering the reasonable cost of such utilization, including normal depreciation and amortization costs of equipment. Any proceeds to the Government under this subsection shall be credited to the applicable appropriation of the Public Health Service for the year in which such proceeds are received.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

1988—Subsec. (b)(1). Pub. L. 100–607 inserted “schools of osteopathic medicine,” after “schools of medicine,” and “professions” after “health”.

Statutory Notes and Related Subsidiaries

Availability of Appropriations for Expenses of Sharing Medical Care Facilities and Resources Pub. L. 102–394, title II, § 204, Oct. 6, 1992, 106 Stat. 1811, provided that: “Funds advanced to the National Institutes of Health Management Fund from appropriations in this Act or subsequent Departments of Labor, Health and Human Services, and Education, and Related Agencies Appropriations Acts shall be available for the expenses of sharing medical care facilities and resources pursuant to section 327A of the Public Health Service Act [42 U.S.C. 254a].” Similar provisions were contained in the following prior appropriation acts: Pub. L. 102–170, title II, § 204, Nov. 26, 1991, 105 Stat. 1126. Pub. L. 101–517, title II, § 204, Nov. 5, 1990, 104 Stat. 2208. Pub. L. 101–166, title II, § 205, Nov. 21, 1989, 103 Stat. 1177. Pub. L. 100–202, § 101(h) [title II, § 205], Dec. 22, 1987, 101 Stat. 1329–256, 1329–274. Pub. L. 99–500, § 101(i) [H.R. 5233, title II, § 205], Oct. 18, 1986, 100 Stat. 1783–287, and Pub. L. 99–591, § 101(i) [H.R. 5233, title II, § 205], Oct. 30, 1986, 100 Stat. 3341–287. Pub. L. 99–178, title II, § 205, Dec. 12, 1985, 99 Stat. 1119. Pub. L. 98–619, title II, § 205, Nov. 8, 1984, 98 Stat. 3321. Pub. L. 98–139, title II, § 205, Oct. 31, 1983, 97 Stat. 887. Pub. L. 97–377, title I, § 101(e)(1) [title II, § 205], Dec. 21, 1982, 96 Stat. 1878, 1894.

Reference

Citations & Metadata

Citation

42 U.S.C. § 254a

Title 42, The Public Health and Welfare

Last Updated

Sep 22, 2026

Release point: 119-110