SEC. 123. HEALTH BENEFITS ADVISORY COMMITTEE.

[a] Establishment-

[1] IN GENERAL- There is established a private-public advisory committee which shall be a panel of medical and other experts to be known as the Health Benefits Advisory Committee to recommend covered benefits and essential, enhanced, and premium plans.

[2] CHAIR- The Surgeon General shall be a member and the chair of the Health Benefits Advisory Committee.

[3] MEMBERSHIP- The Health Benefits Advisory Committee shall be composed of the following members, in addition to the Surgeon General:

[A] 9 members who are not Federal employees or officers and who are appointed by the President.

[B] 9 members who are not Federal employees or officers and who are appointed by the Comptroller General of the United States in a manner similar to the manner in which the Comptroller General appoints members to the Medicare Payment Advisory Commission under section 1805[c] of the Social Security Act.

[C] Such even number of members [not to exceed 8] who are Federal employees and officers, as the President may appoint. Such initial appointments shall be made not later than 60 days after the date of the enactment of this Act.

[4] TERMS- Each member of the Health Benefits Advisory Committee shall serve a 3-year term on the Committee, except that the terms of the initial members shall be adjusted in order to provide for a staggered term of appointment for all such members.

[5] PARTICIPATION- The membership of the Health Benefits Advisory Committee shall at least reflect providers, consumer representatives, employers, labor, health insurance issuers, experts in health care financing and delivery, experts in racial and ethnic disparities, experts in care for those with disabilities, representatives of relevant governmental agencies. and at least one practicing physician or other health professional and an expert on children's health and shall represent a balance among various sectors of the health care system so that no single sector unduly influences the recommendations of such Committee.

[b] Duties-

[1] RECOMMENDATIONS ON BENEFIT STANDARDS- The Health Benefits Advisory Committee shall recommend to the Secretary of Health and Human Services [in this subtitle referred to as the "Secretary"] benefit standards [as defined in paragraph [4]], and periodic updates to such standards. In developing such recommendations, the Committee shall take into account innovation in health care and consider how such standards could reduce health disparities.

[2] DEADLINE- The Health Benefits Advisory Committee shall recommend initial benefit standards to the Secretary not later than 1 year after the date of the enactment of this Act.

[3] PUBLIC INPUT- The Health Benefits Advisory Committee shall allow for public input as a part of developing recommendations under this subsection.

[4] BENEFIT STANDARDS DEFINED- In this subtitle, the term "benefit standards" means standards respecting--

[A] the essential benefits package described in section 122, including categories of covered treatments, items and services within benefit classes, and cost-sharing; and

[B] the cost-sharing levels for enhanced plans and premium plans [as provided under section 203[c]] consistent with paragraph [5].

[5] LEVELS OF COST-SHARING FOR ENHANCED AND PREMIUM PLANS-

[A] ENHANCED PLAN- The level of cost-sharing for enhanced plans shall be designed so that such plans have benefits that are actuarially equivalent to approximately 85 percent of the actuarial value of the benefits provided under the reference benefits package described in section 122[c][3][B].

[B] PREMIUM PLAN- The level of cost-sharing for premium plans shall be designed so that such plans have benefits that are actuarially equivalent to approximately 95 percent of the actuarial value of the benefits provided under the reference benefits package described in section 122[c][3][B].

[c] Operations-

[1] PER DIEM PAY- Each member of the Health Benefits Advisory Committee shall receive travel expenses, including per diem in accordance with applicable provisions under subchapter I of chapter 57 of title 5, United States Code, and shall otherwise serve without additional pay.

[2] MEMBERS NOT TREATED AS FEDERAL EMPLOYEES- Members of the Health Benefits Advisory Committee shall not be considered employees of the Federal government solely by reason of any service on the Committee.

[3] APPLICATION OF FACA- The Federal Advisory Committee Act [5 U.S.C. App.], other than section 14, shall apply to the Health Benefits Advisory Committee.

[d] Publication- The Secretary shall provide for publication in the Federal Register and the posting on the Internet website of the Department of Health and Human Services of all recommendations made by the Health Benefits Advisory Committee under this section.