PILOT PROGRAM ON INCREASED THIRD-PARTY COLLECTION REIMBURSEMENTS IN MILITARY MEDICAL TREATMENT FACILITIES.

SEC. 712. [10 U.S.C. 1095 note] PILOT PROGRAM ON INCREASED THIRD-PARTY COLLECTION REIMBURSEMENTS IN MILITARY MEDICAL TREATMENT FACILITIES. (a) Pilot Program.— (1) In general.—The Secretary of Defense, in coordination with the Secretaries of the military departments, shall carry out a pilot program to demonstrate and assess the feasibility of implementing processes described in paragraph (2) to increase the amounts collected under section 1095 of title 10, United States Code, from a third-party payer for charges for health care services incurred by the United States at a military medical treatment facility. (2) Processes described.—The processes described in this paragraph are commercially available enhanced recovery practices for medical payment collection, including revenue-cycle management together with rates and percentages of collection in accordance with industry standards for such practices. (b) Requirements.—In carrying out the pilot program under subsection (a)(1), the Secretary shall— (1) identify and analyze the best practice option, including commercial best practices, with respect to the processes described in subsection (a)(2) that are used in nonmilitary health care facilities; and (2) conduct a cost-benefit analysis to assess measurable results of the pilot program, including an analysis of— (A) the different processes used in the pilot program; (B) the amount of third-party collections that resulted from such processes; (C) the cost to implement and sustain such processes; and (D) any other factors the Secretary determines appropriate to assess the pilot program. (c) Locations.—The Secretary shall carry out the pilot program under subsection (a)(1)— (1) at military installations that have a military medical treatment facility with inpatient and outpatient capabilities; and (2) at a number of such installations of different military departments that the Secretary determines sufficient to fully assess the results of the pilot program. (d) Duration.—The Secretary shall commence the pilot program under subsection (a)(1) by not later than 270 days after the date of the enactment of this Act and shall carry out such program for three years. (e) Report.—Not later than 180 days after completing the pilot program under subsection (a)(1), the Secretary shall submit to the congressional defense committees a report describing the results of the program, including— (1) a comparison of— (A) the processes described in subsection (a)(2) that were used in the military medical treatment facilities participating in the program; and (B) the third-party collection processes used by military medical treatment facilities not included in the program; (2) a cost analysis of implementing the processes described in subsection (a)(2) for third-party collections at military medical treatment facilities; (3) an assessment of the program, including any recommendations to improve third-party collections; and (4) an analysis of the methods employed by the military departments prior to the program with respect to collecting charges from third-party payers incurred at military medical treatment facilities, including specific data with respect to the dollar amount of third-party collections that resulted from each method used throughout the military departments.