; and (ii) has complete fiscal control over the arrangement and which is responsible for all operations of the arrangement; (D) the requirements of section 804(a) of such Act shall be deemed met with respect to such arrangement; and (E) the arrangement may be certified by any applicable authority with respect to its operations in any State only if it operates in such State on the date of certification. The provisions of this subsection shall cease to apply with respect to any such arrangement at such time after the date of the enactment of this Act as the applicable requirements of this subsection are not met with respect to such arrangement. (2) Definitions For purposes of this subsection, the terms group health plan , medical care , and participating employer shall have the meanings provided in section 812 of the Employee Retirement Income Security Act of 1974 , except that the reference in subsection (a)(8) of such section to an association health plan shall be deemed a reference to an arrangement referred to in this subsection. V Medicaid reform 501. Increasing State flexibility to conduct Medicaid waivers Section 1115(a)(1) of the Social Security Act ( 42 U.S.C. 1315(a)(1) ) is amended— (1) by striking 1602, or 1902 and inserting or 1602