Definition: In this task, you're given a statement and three sentences as choices. Your job is to determine which sentence can be inferred from the statement. Incorrect choices change the meaning in important ways or have details that are not mentioned in the statement. Indicate your answer as 1,2, or 3 corresponding to the choice number of the selected sentence.
Input: Statement: a 1395ww(g)(1)(A) (providing for the payment of hospitals' capital costs under a prospective payment system established by the Secretary). Choices:  1. All costs are covered by the Secretary. 2. Secretary has established capital costs for prospective payments. 3. Hospitals are only funded by the Secretary. 

2