Title IX, SEC. 9003. UPDATING OF BASELINE AMOUNTS. 
      (a) Initial Update Through the First Year. 

        (1) Non-cash, non-DSH baseline amount. The Secretary shall update the 
      non-cash, non-DSH baseline amount determined under section 9002(a)(1) for 
      each State from fiscal year 1993 through the first year, by the following 
      percentage: 

          (A) If such first year is 1996, the applicable percentage is 56.6 
        percent. 

          (B) If such first year is 1997, the applicable percentage is 78.1 
        percent. 

          (C) If such first year is 1998, the applicable percentage is 102.2 
        percent. 

        (2) Non-cash, DSH baseline amount. The Secretary shall update the 
      non-cash, DSH baseline amount determined under section 9002(a)(2) for 
      each State from fiscal year 1993 through the first year, by the following 
      percentage: 

          (A) If such first year is 1996, the applicable percentage is 45.9 
        percent. 

          (B) If such first year is 1997, the applicable percentage is 61.8 
        percent. 

          (C) If such first year is 1998, the applicable percentage is 79.0 
        percent. 

        (3) Adjustment authorized to take into account cash flow variations. In 
      determining the updates under paragraphs (1) and (2), the Secretary may 
      provide for an adjustment in a manner similar to the adjustment permitted 
      under section 9002(b)(3). 

      (b) Update For Subsequent Years. For each State for each year after the 
    first year, the Board shall update the non-cash baseline amount (as 
    previously updated under this subsection) by the product of 

        (1) 1 plus the general health care inflation factor (as defined in 
      section 6001(a)(3)) for the year, and 

        (2) 1 plus the annual percentage increase in the population of the 
      United States of individuals who are under 65 years of age (as estimated 
      by the Board based on projections made by the Bureau of Labor Statistics 
      of the Department of Labor) for the year.