STRENGTHENING MANAGED HEALTH CARE AUTHORITIES.

SEC. 714. STRENGTHENING MANAGED HEALTH CARE AUTHORITIES. (a) Amendments to Alternative Health Care Delivery Contracts Authority.— Section 1097 of title 10, United States Code, is amended— (1) by redesignating subsection (c) (as amended by section 713) as subsection (e); and (2) by inserting after subsection (b) the following new subsections: “(c) Coordination With Facilities of the Uniformed Services.— The Secretary of Defense may provide for the coordination of health care services provided pursuant to any contract or agreement under this section with those services provided in medical treatment facilities of the uniformed services. Subject to the availability of space and facilities and the capabilities of the medical or dental staff, the Secretary may not deny access to facilities of the uniformed services to a covered beneficiary on the basis of whether the beneficiary enrolled or declined enrollment in any program established under, or operating in connection with, any contract under this section. However, the Secretary may, as an incentive for enrollment, establish reasonable preferences for services in facilities of the uniformed services for covered beneficiaries enrolled in any program established under, or operating in connection with, any contract under this section. “(d) Coordination With Other Health Care Programs.— In the case of a covered beneficiary who is enrolled in a managed health care program not operated under the authority of this chapter, the Secretary may contract under this section with such other managed health care program for the purpose of coordinating the beneficiary’s dual entitlements under such program and this chapter. A managed health care program with which arrangements may be made under this subsection includes any health maintenance organization, competitive medical plan, health care prepayment plan, or other managed care program recognized pursuant to regulations issued by the Secretary.”. (b) Amendments to Third Party Collections Program Authority.— Section 1095 of title 10, United States Code, is amended— (1) in subsection (b), by striking out “if that care” and all that follows through the period and inserting in lieu thereof the following: “shall operate to prevent collection by the United States under subsection (a) if that care is provided— “(1) through a facility of the uniformed services; “(2) directly or indirectly by a governmental entity; 108 STAT. 2803 “(3) to an individual who has no obligation to pay for that care or for whom no other person has a legal obligation to pay; or “(4) by a provider with which the third party payer has no participation agreement.”; (3) in subsection (d), by inserting “and except as provided in subsection (j),” after “(b),”, (4) in subsection (h)(1), by adding at the end the following new sentence: “Such term also includes entities described in subsection (j) under the terms and to the extent provided in such subsection.”; and (5) by adding at the end the following new subsection: “(j) The Secretary of Defense may enter into an agreement with any health maintenance organization, competitive medical plan, health care prepayment plan, or other similar plan (pursuant to regulations issued by the Secretary) providing for collection under this section from such organization or plan for services provided to a covered beneficiary who is an enrollee in such organization or plan.”. (c) Condition on Expansion of CHAMPUS Reform Initiative.— Section 712 of the National Defense Authorization Act for Fiscal Year 1993 (Public Law 102–484; 10 U.S.C. 1073 note) is amended by striking out subsection (c) and inserting in lieu thereof the following new subsection: “(c) Evaluation of Certification.— The Comptroller General of the United States and the Director of the Congressional Budget Office shall evaluate each certification made by the Secretary of Defense under subsection (a) that expansion of the CHAMPUS reform initiative to another location is the most efficient method of providing health care to covered beneficiaries in that location. They shall submit their findings to Congress if these findings differ substantially from the findings upon which the Secretary made the decision to expand the CHAMPUS reform initiative.”.