PLAN FOR EXPANSION OF MANAGED CARE OPTION OF TRICARE PROGRAM.

SEC. 712. PLAN FOR EXPANSION OF MANAGED CARE OPTION OF TRICARE PROGRAM. (a) Plan For Expansion of TRICARE Prime.—The Secretary of Defense shall prepare a plan for the expansion of the managed care option of the TRICARE Program, known as TRICARE Prime, into areas of the United States located outside of the catchment areas of medical treatment facilities of the uniformed services, but in which the managed care option is a cost-effective alternative because of—111 STAT. 1809 (1) the significant number of members of the uniformed services and covered beneficiaries under chapter 55 of title 10, United States Code (including retired members of the Armed Forces and their dependents), who reside in the areas; and (2) the presence in the areas of sufficient nonmilitary health care provider networks. (b) Alternatives.—As an alternative to expansion of TRICARE Prime to areas of the United States in which there are few or no nonmilitary health care provider networks, the Secretary shall include in the plan required under subsection (a) an evaluation of the feasibility and cost-effectiveness of providing a member of the Armed Forces on active duty who is stationed in such an area, or whose dependents reside in such an area, with one or both of the following: (1) A monetary stipend to assist the member in obtaining health care services for the member or the member’s dependents. (2) A reduction in the cost-sharing requirements applicable to the TRICARE program options otherwise available to the member to match the reduced cost-sharing responsibilities of the managed care option of the TRICARE program. (c) Submission of Plan.—Not later than March 1, 1998, the Secretary shall submit to Congress the plan required under subsection (a).