(1) In general With respect to a grant under section
300ff–21 of this title for a State for a grant year, the State shall, of the portion of the grant remaining after reserving amounts for purposes of subparagraphs (A) and (E)(ii)(I) of section
300ff–28 (b)(3) of this title, use not less than 75 percent to provide core medical services that are needed in the State for individuals with HIV/AIDS who are identified and eligible under this subchapter (including services regarding the co-occurring conditions of the individuals).
(2) Waiver
(A) In general The Secretary shall waive the application of paragraph (1) with respect to a State for a grant year if the Secretary determines that, within the State
(i) there are no waiting lists for AIDS Drug Assistance Program services under section
300ff–26 of this title; and
(ii) core medical services are available to all individuals with HIV/AIDS identified and eligible under this subchapter.
(B) Notification of waiver status When informing a State that a grant under section
300ff–21 of this title is being made to the State for a fiscal year, the Secretary shall inform the State whether a waiver under subparagraph (A) is in effect for the fiscal year.
(3) Core medical services For purposes of this subsection, the term core medical services, with respect to an individual infected with HIV/AIDS (including the co-occurring conditions of the individual) means the following services:
(A) Outpatient and ambulatory health services.
(B) AIDS Drug Assistance Program treatments in accordance with section
300ff–26 of this title.
(C) AIDS pharmaceutical assistance.
(D) Oral health care.
(E) Early intervention services described in subsection (d).
(F) Health insurance premium and cost sharing assistance for low-income individuals in accordance with section
300ff–25 of this title.
(G) Home health care.
(H) Medical nutrition therapy.
(I) Hospice services.
(J) Home and community-based health services as defined under section
300ff–24 (c) of this title.
(K) Mental health services.
(L) Substance abuse outpatient care.
(M) Medical case management, including treatment adherence services.