98-3502. Civilian Health and Medical Program of the Uniformed Services (CHAMPUS); TRICARE Prime Balance Billing  

  • [Federal Register Volume 63, Number 30 (Friday, February 13, 1998)]
    [Rules and Regulations]
    [Pages 7287-7288]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 98-3502]
    
    
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    DEPARTMENT OF DEFENSE
    
    Office of the Secretary
    
    32 CFR Part 199
    
    RIN 0720-AA46
    
    
    Civilian Health and Medical Program of the Uniformed Services 
    (CHAMPUS); TRICARE Prime Balance Billing
    
    AGENCY: Office of the Secretary, DOD.
    
    ACTION: Interim final rule.
    
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    SUMMARY: This interim final rule establishes financial protections for 
    TRICARE Prime enrollees in limited circumstances when they receive 
    covered services from a non-network provider. This rule is being 
    published to provide protection for TRICARE Prime enrollees.
    
    DATES: This rule is effective March 16, 1998. Public comments must be 
    received by April 14, 1998.
    
    ADDRESSES: TRICARE Support Office (TSO), Program Development Branch, 
    Aurora, CO 80045-6900.
    
    FOR FURTHER INFORMATION CONTACT:
    Kathleen Larkin, Office of the Assistant Secretary of Defense (Health 
    Affairs), telephone (703) 695-3350.
        Questions regarding payment of specific claims under the CHAMPUS 
    allowable charge method should be addressed to the appropriate TRICARE/
    CHAMPUS contractor.
    
    SUPPLEMENTARY INFORMATION:
    
    I. Overview of the Rule
    
        This interim final rule implements section 731 of the FY 1996 
    National Defense Authorization Act and section 711 of the FY 1997 
    National Defense Authorization Act which modified 10 U.S.C. 1079(h) to 
    provide protections for TRICARE Prime enrollees from balance billing 
    situations in limited circumstances. Each regional TRICARE managed care 
    support contractor is required to establish a network of civilian 
    providers in areas where TRICARE Prime (the enrollment option) is 
    offered. As is standard for Health Maintenance Organizations, enrollees 
    in TRICARE Prime receive care from network providers. But on occasion, 
    such as when a network provider is not available, or in emergencies, 
    they may receive covered services from non-network providers. This rule 
    provides protection in these situations; TRICARE Prime enrollees will 
    be responsible for their copayments, but not for balance billing by 
    non-participating providers.
    
    II. Rulemaking Procedures
    
        Executive order 12866 requires certain regulatory assessments for 
    any significant regulatory action, defined as one which would result in 
    an annual effect on the economy of $100 million or more, or have other 
    substantial impacts.
        The Regulatory Flexibility Act (RFA) requires that each Federal 
    agency prepare, and make available for public comment, a regulatory 
    flexibility analysis when the agency issues a regulation which would 
    have a significant impact on a substantial number of small entities.
        It has determined that this is not a significant regulatory action.
        The interim final rule will not impose additional information 
    collection requirements on the public under the Paperwork Reduction Act 
    of 1995 (44 U.S.C. Chapter 55).
        This rule is being issued as an interim final rule, with comment 
    period, as an exception to our standard practice of soliciting pubic 
    comments prior to issuance. The Assistant Secretary of Defense (Health 
    Affairs) has determined that following the standard practice in this 
    case would be impracticable, unnecessary, and contrary to the pubic 
    interest. This determination is based on several factors. First, this 
    change directly implements a statutory amendment enacted by Congress 
    expressly for this purpose. (See House Conference Report 104-724, p. 
    762, and House Report 104-563, p. 318) Second, this rule implements the 
    statutory policy without embellishment. The rule simply implements the 
    unambiguous Congressional policy of adjusting TRICARE/CHAMPUS payment 
    rates to protect Prime enrollees when receiving authorized care for 
    nonparticipating providers. Third, implementation of the statutory 
    amendment, enacted September 23, 1996, has already been substantially 
    delayed because of a separate statutory provision (section 8008 of the 
    Department of Defense Appropriations Act), which expired September 30, 
    1997, and a further delay is unwarranted. Fourth, TRICARE Prime is a 
    major ``quality of life'' program of the Department of Defense. Its 
    success is of great importance to maintaining adequate retention rates 
    of military personnel and, thus, the conduct of the military affairs 
    function of the United States. Fifth, the unexpected imposition of 
    balance billing requirements on TRICARE prime enrollees receiving 
    authorized care has been voiced as a major complaint, undermining 
    beneficiary trust in commitments made to Prime enrollees and ultimately 
    the success of the TRICARE initiative. Public comments are invited. All 
    comments will be carefully considered. A discussion of the major issues 
    received by public comments will be included with the issuance of the 
    permanent final rule, anticipated approximately 60 days after the end 
    of the comment period.
    
    List of Subjects in 32 CFR Part 199
    
        Claims, Health insurance, Individuals with disabilities, Military 
    personnel, Reporting and recordkeeping requirements.
    
        Accordingly, 32 CFR part 199 is amended as follows:
    
    PART 199--[AMENDED]
    
        1. The authority citation for Part 199 continues to read as 
    follows:
    
        Authority: 5 U.S.C. 301; 10 U.S.C. chapter 55.
    
        2. Section 199.14 is amended by adding paragraph (h)(1)(i)(D) to 
    read as follows:
    
    
    Sec. 199.14   Provider reimbursement methods.
    
    * * * * *
        (h) Reimbursement of Individual Health Care Professionals and Other 
    Non-Institutional Health-Care Providers. * * *
        (1) Allowable charge method. * * *
    
    [[Page 7288]]
    
        (1) Introduction. * * *
        (D) Special rule for TRICARE Prime Enrollees. In the case of a 
    TRICARE Prime enrollee (see Sec. 199.17) who receives authorized care 
    from a non-participating provider, the CHAMPUS determined reasonable 
    charge will be the CMAC level as established in paragraph (h)(1)(i)(B) 
    of this section plus any balance billing amount up to the balance 
    billing limit as referred to in paragraph (h)(1)(i)(C) of this section. 
    The authorization for such care shall be pursuant to the procedures 
    established by the Director, OCHAMPUS (also referred to as the TRICARE 
    Support Office).
    * * * * *
        Dated: February 6, 1998.
    L.M. Bynum,
    Alternate Federal Register Liaison Officer, Department of Defense.
    [FR Doc. 98-3502 Filed 2-12-98; 8:45 am]
    BILLING CODE 5000-04-M
    
    
    

Document Information

Effective Date:
3/16/1998
Published:
02/13/1998
Department:
Defense Department
Entry Type:
Rule
Action:
Interim final rule.
Document Number:
98-3502
Dates:
This rule is effective March 16, 1998. Public comments must be received by April 14, 1998.
Pages:
7287-7288 (2 pages)
RINs:
0720-AA46: Civilian Health and Medical Program of the Uniformed Services (CHAMPUS); TRICARE Prime Balance Billing
RIN Links:
https://www.federalregister.gov/regulations/0720-AA46/civilian-health-and-medical-program-of-the-uniformed-services-champus-tricare-prime-balance-billing
PDF File:
98-3502.pdf
CFR: (1)
32 CFR 199.14