Unknown. Final rule

4,515 words·~21 min read·/register/2000/06/02/00-13850

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

--- schema: federal-register doc_type: fedreg source_file: FR-2000-06-02.xml --- 65 107 Friday, June 2, 2000 Contents Agricultural Agricultural Marketing Service RULES Cherries

(tart)grown in— Michigan et al., 35265-35267 00-13782 PROPOSED RULES Peanut promotion, research, and information order: National Peanut Board; membership, 35298-35301 00-13783 NOTICES Committees; establishment, renewal, termination, etc.: National Organic Standards Board, 35317 00-13784 Agriculture Agriculture Department See Agricultural Marketing Service See Animal and Plant Health Inspection Service See Forest Service Animal Animal and Plant Health Inspection Service RULES Plant-related quarantine, domestic: Plum pox disease; interstate movement of articles from Adams County, PA restricted, 35261-35265 00-13931 Arts Arts and Humanities, National Foundation See National Foundation on the Arts and the Humanities Blind Blind or Severely Disabled, Committee for Purchase From People Who Are See Committee for Purchase From People Who Are Blind or Severely Disabled Centers Centers for Disease Control and Prevention NOTICES Agency information collection activities: Submission for OMB review; comment request, 35347-35348 00-13801 00-13802 Grants and cooperative agreements; availability, etc.: Tobacco prevention and control; national networks, 35348-35353 00-13799 Children Children and Families Administration See Community Services Office Coast Guard Coast Guard RULES Ports and waterways safety: Naval Station Newport, RI; safety zone, 35279-35280 00-13814 Newport, RI; safety zone, 35278-35279 00-13815 NOTICES Reports and guidance documents; availability, etc.: Merchant mariners’ proficiency; navigational watch rating skills demonstration; assessment guidelines, 35414-35415 00-13869 Commerce Commerce Department See International Trade Administration See National Oceanic and Atmospheric Administration Committee for Purchase Committee for Purchase From People Who Are Blind or Severely Disabled RULES Organization, functions, and authority delegations: Mailing address change, 35286-35287 00-13859 NOTICES Procurement list; additions and deletions, 00-13857 35319-35320 00-13858 Commodity Commodity Futures Trading Commission PROPOSED RULES Commodity Exchange Act: Futures commission merchants and introducing brokers; minimum financial requirements Subordination agreements; net capital treatment, 35304-35307 00-13606 NOTICES Meetings; Sunshine Act, 35331 00-14033 00-14034 00-14035 Community Community Services Office NOTICES Grants and cooperative agreements; availability, etc.: Training, Technical Assistance, and Capacity-Building Program, 35353-35376 00-13689 Comptroller Comptroller of the Currency NOTICES National banks: Preemption applications, etc.— West Virginia Insurance Sales Consumer Protection Act; preemption determination; comment request, 35420-35423 00-13855 Defense Defense Department NOTICES Meetings: Defense Intelligence Agency Science and Technology Advisory Board, 35331, 00-13762 35332 00-13763 Electron Devices Advisory Group, 35332 00-13764 00-13765 Drug Drug Enforcement Administration NOTICES *Applications, hearings, determinations, etc.:* Chattem Chemicals, Inc., 35396-35397 00-13785 Lonza Riverside, 35397 00-13786 Sigma Aldrich Research Biochemicals, Inc., 35397 00-13787 Education Education Department NOTICES Agency information collection activities: Submission for OMB review; comment request, 35332-35334 00-13766 00-13767 00-13768 Grants and cooperative agreements; availability, etc.: Special education and rehabilitative services— Special demonstration programs, 35334-35335 00-13682 Employment Employment and Training Administration NOTICES Adjustment assistance: Colby Footwear, Inc., et al., 35398-35399 00-13754 Deluxe Corp., 35399 00-13757 Joshua L. Bailey Co., Inc., 35399 00-13758 Liz Claiborne, 35399 00-13756 RHI Refractories et al., 35400 00-13753 Adjustment assistance and NAFTA transitional adjustment assistance: Motor Coils Manufacturing, 35397-35398 00-13755 Meetings: Registered Apprenticeship Federal Committee, 35400-35401 00-13849 Employment Employment Standards Administration NOTICES Minimum wages for Federal and federally-assisted construction; general wage determination decisions, 35401-35404 00-13670 Energy Energy Department See Federal Energy Regulatory Commission EPA Environmental Protection Agency RULES Water pollution control: Great Lakes System; water quality guidance— Selenium criterion maximum concentration; partial revocation, 35283-35286 00-13771 PROPOSED RULES Air pollution control; new motor vehicles and engines: Heavy-duty engine and vehicle standards and highway diesel fuel sulfur control requirements, 35429-35559 00-12952 Pesticides; tolerances in food, animal feeds, and raw agricultural commodities: Methyl parathion, 35307-35312 00-13311 NOTICES Environmental statements; availability, etc.: Agency statements— Comment availability, 35336-35337 00-13887 Weekly receipts, 35337 00-13888 Grants and cooperative agreements; availability, etc.: Investigator-initiated grants program, 35337-35338 00-13843 Meetings: Local Government Advisory Committee, 35338 00-13844 Science Advisory Board, 35338-35339 00-13847 Reports and guidance documents; availability, etc.: Federal Financial Accounting Standards— CERCLA enforcement discretion exercised in anticipation of full cost accounting, 35339-35345 00-13845 FAA Federal Aviation Administration RULES Airworthiness directives: Air Tractor Inc., 35267-35270 00-13445 Pilatus Aircraft Ltd., 35270-35272 00-13874 Restricted areas, 35273 00-13748 Standard instrument approach procedures, 35274-35278 00-13833 00-13834 VOR Federal airways, 35272-35273 00-13750 PROPOSED RULES Class E airspace, 35301-35303 00-13831 00-13832 Jet routes, 35303-35304 00-13749 NOTICES Meetings: RTCA, Inc., 35415-35416 00-13835 00-13836 FCC Federal Communications Commission PROPOSED RULES Common carrier services: Satellite communications— INTELSAT space segment capacity availability to direct access users, 35312-35314 00-13759 NOTICES Agency information collection activities: Reporting and recordkeeping requirements, 35345-35346 00-13761 Submission for OMB review; comment request, 35346 00-13760 FDIC Federal Deposit Insurance Corporation NOTICES Meetings; Sunshine Act, 35347 00-13936 Federal Energy Federal Energy Regulatory Commission NOTICES *Applications, hearings, determinations, etc.:* Kern River Gas Transmission Co., 35335 00-13778 Midwestern Gas Transmission Co., 35336 00-13776 Mississippi River Transmission Corp., 35336 00-13777 Federal Highway Federal Highway Administration NOTICES Environmental statements; notice of intent: Dubois County, IN, 35416 00-13870 Federal Motor Federal Motor Carrier Safety Administration RULES Motor carrier safety standards: Commercial motor vehicles— Marking requirements, 35287-35297 00-13697 Federal Railroad Federal Railroad Administration NOTICES Agency information collection activities: Submission for OMB review; comment request, 35416-35418 00-13837 Safety advisories, bulletins, and directives: Harmon intermediate signal units; recommended replacement, 35418-35419 00-13838 Federal Reserve Federal Reserve System NOTICES Meetings; Sunshine Act, 35347 00-13935 Fish Fish and Wildlife Service PROPOSED RULES Endangered and threatened species: Southwestern Washington/Columbia River coastal cutthroat trout in Washington and Oregon, 35315 00-12494 Importation, exportation, and transportation of wildlife: Injurious wildlife— Black carp; information review, 35314-35315 00-13557 NOTICES Endangered and threatened species permit applications, 35383 00-13788 Environmental statements; availability, etc.: Incidental take permits— Travis County, TX; golden-cheeked warbler, etc., 35383-35384 00-13933 Food Food and Drug Administration NOTICES Reports and guidance documents; availability, etc.: Commodities with methyl parathion residues; channels of trade policy; industry guidance, 35376-35379 00-13813 Forest Forest Service NOTICES Environmental statements; notice of intent: Inyo, Sierra, and Sequoia National Forests, CA, 35317-35318 00-13797 Meetings: Lake Tahoe Basin Federal Advisory Committee, 35318 00-13872 Opal Creek Scenic Recreation Area Advisory Council, 35318-35319 00-13800 Health Health and Human Services Department See Centers for Disease Control and Prevention See Community Services Office See Food and Drug Administration See Health Care Financing Administration See National Institutes of Health See Substance Abuse and Mental Health Services Administration Health Health Care Financing Administration NOTICES Agency information collection activities: Proposed collection; comment request, 35379 00-13860 Housing Housing and Urban Development Department NOTICES Grants and cooperative agreements; availability, etc.: Facilities to assist homeless— Excess and surplus Federal property, 35382-35383 00-13610 Interior Interior Department See Fish and Wildlife Service See Land Management Bureau See Reclamation Bureau See Surface Mining Reclamation and Enforcement Office IRS Internal Revenue Service NOTICES Health Insurance Portability and Accountability Act of 1996; implementation: Expatriation ; individuals losing United States citizenship; quarterly list, 35423-35426 00-13775 International International Development Cooperation Agency See Overseas Private Investment Corporation International International Trade Administration NOTICES Antidumping: Bars and wedges and hammers and sledges from— China, 35321-35322 00-13880 Brake rotors from— China, 35322-35323 00-13882 Internal combustion forklift trucks from— Japan, 35323 00-13879 Professional electric cutting tools from— Japan, 35324 00-13878 Silicomanganese from- China and Brazil, 35324-35325 00-13881 Antidumping and countervailing duties: Administrative review requests, 35320-35321 00-13883 International International Trade Commission NOTICES Import investigations: Phosphoric acid from— Israel and Belgium, 35395 00-13807 International Harmonized System: Harmonized Commodity Description and Coding System; modifications, 35395-35396 00-13806 Justice Justice Department See Drug Enforcement Administration Labor Labor Department See Employment and Training Administration See Employment Standards Administration Land Land Management Bureau NOTICES Alaska Native claims selection: Cape Fox Corp., 35384-35385 00-13792 Old Harbor Native Corp., 35385 00-13793 Boundary establishment, descriptions, etc.: Grand Canyon-Parashant National Monument, AZ, 35385-35388 00-13863 Closure of public lands: Colorado, 35389 00-13772 Environmental statements; availability, etc.: Headwaters Forest Reserve, CA, 35389 00-13794 Environmental statements; notice of intent: Headwaters Forest Reserve, CA, 35389-35390 00-13795 Public land orders: Alaska, 35390 00-13865 California, 35390-35391 00-13862 Colorado, 35391 00-13861 Nevada, 35391 00-13864 Realty actions; sales, leases, etc.: Arizona; correction, 35427 C0-6530 Recreation management restrictions, etc.: Headwaters Forest Reserve, CA; public access restricted, 35392 00-13803 Survey plat filings: Wyoming, 35392 00-13866 National Credit National Credit Union Administration NOTICES Meetings; Sunshine Act, 35404 00-13932 National Foundation National Foundation on the Arts and the Humanities NOTICES Meetings: Special Projects Advisory Panel, 35404 00-13693 National Highway National Highway Traffic Safety Administration RULES Motor vehicle safety standards: Occupant crash protection— Future air bags designed to create less risk of serious injuries for small women and young children, etc.; correction, 35427 C0-11577 NOTICES Motor vehicle safety standards: Nonconforming vehicles— Importation eligibility; determinations, 35419 00-13886 NIH National Institutes of Health NOTICES Agency information collection activities: Submission for OMB review; comment request, 35379-35380 00-13885 NOAA National Oceanic and Atmospheric Administration PROPOSED RULES Fishery conservation and management: Caribbean, Gulf, and South Atlantic fisheries— South Atlantic Fishery Management Council; hearing, 35316 00-13751 NOTICES Agency information collection activities: Submission for OMB review; comment request, 35325-35326 00-13852 00-13853 Reports and guidance documents; availability, etc.: RMS Titanic; research, exploration, and salvage guidelines; comment request, 35326-35331 00-13791 Nuclear Nuclear Regulatory Commission NOTICES *Applications, hearings, determinations, etc.:* AmerGen Energy Co., LLC, 35404-35406 00-13875 Sacramento Municipal Utility District, 35406 00-13876 Overseas Overseas Private Investment Corporation NOTICES Agency information collection activities: Submission for OMB review; comment request, 35394-35395 00-13848 Personnel Personnel Management Office RULES Health benefits, Federal employees: Defense Department demonstration project, 35259-35261 00-13850 Public Public Health Service See Centers for Disease Control and Prevention See Food and Drug Administration See National Institutes of Health See Substance Abuse and Mental Health Services Administration Reclamation Reclamation Bureau NOTICES Environmental statements; availability, etc.: Glenn, Colusa, and Yolo Counties, CA; Colusa Basin flood control program, 35392-35393 00-13854 Reports and guidance documents; availability, etc.: National Environmental Policy Act handbook; agency employee guidance, 35393-35394 00-13796 SEC Securities and Exchange Commission NOTICES Self-regulatory organizations; proposed rule changes: Stock Clearing Corp. of Philadelphia, 35413-35414 00-13780 *Applications, hearings, determinations, etc.:* UAM Funds, Inc., et al., 35406-35413 00-13779 State State Department NOTICES Meetings: Public Diplomacy, U.S. Advisory Commission, 35414 00-13871 Substance Substance Abuse and Mental Health Services Administration NOTICES Federal agency urine drug testing; certified laboratories meeting minimum standards, list, 35380-35382 00-13798 Surface Surface Mining Reclamation and Enforcement Office NOTICES Agency information collection activities: Proposed collection; comment request, 35394 00-13884 Surface Surface Transportation Board NOTICES Railroad services abandonment: Union Pacific Railroad Co., 35419-35420 00-13856 Thrift Thrift Supervision Office NOTICES Agency information collection activities: Submission for OMB review; comment request, 35426 00-13752 Transportation Transportation Department See Coast Guard See Federal Aviation Administration See Federal Highway Administration See Federal Motor Carrier Safety Administration See Federal Railroad Administration See National Highway Traffic Safety Administration See Surface Transportation Board Treasury Treasury Department See Comptroller of the Currency See Internal Revenue Service See Thrift Supervision Office NOTICES Agency information collection activities: Submission for OMB review; comment request, 35420 00-13877 Veterans Veterans Affairs Department RULES Adjudication; pensions, compensation, dependency, etc.: Children suffering from spina bifida who are children of Vietnam veterans, 35280-35283 00-13660 Separate Parts In This Issue Part II Environmental Protection Agency, 35429-35559 00-12952 Reader Aids Consult the Reader Aids section at the end of this issue for phone numbers, online resources, finding aids, reminders, and notice of recently enacted public laws. 65 107 Friday, June 2, 2000 Rules and Regulations OFFICE OF PERSONNEL MANAGEMENT 5 CFR Part 890 RIN 3206 AJ03 (3206 AI63) Federal Employees Health Benefits

(FEHB)Program and Department of Defense

(DoD)Demonstration Project AGENCY: Office of Personnel Management. ACTION: Final rule. SUMMARY: OPM is issuing a final regulation to implement the portion of the National Defense Authorization Act for 1999 that establishes authority for a demonstration project under which certain Medicare and other eligible DoD beneficiaries can enroll in health benefit plans in certain geographic areas under the Federal Employees Health Benefits

(FEHB)Program. The demonstration project will run for a period of three years from January 1, 2000, through December 31, 2002. This regulation specifies only the requirements that differ from existing FEHB Program regulations because of unique aspects of the demonstration project. DATES: The effective date of this regulation is July 3, 2000. FOR FURTHER INFORMATION CONTACT: Michael W. Kaszynski, Policy Analyst, Insurance Policy and Information Division, OPM, Room 3425, 1900 E Street, NW., Washington, DC 20415-0001. He can also be reached at

(202)606-0004 or by electronic mail (E-mail) at: mwkaszyn@opm.gov. SUPPLEMENTARY INFORMATION: The purpose of this regulation is to implement the portion of the National Defense Authorization Act for 1999, Public Law 105-261, that amended chapter 55 of title 10, United States Code, and chapter 89 of title 5, United States Code, to establish a demonstration project under which certain Medicare and other eligible DoD beneficiaries can enroll in health benefit plans offered under the FEHB Program. The legislation was signed into law on October 17, 1998. The demonstration project will run for a period of three years from January 1, 2000, through December 31, 2002. DoD, with OPM concurrence, has selected eight geographic areas to serve as demonstration areas. The legislation requires that between 6 and 10 geographic areas be selected. No more than 66,000 individuals can participate in the demonstration project at any one time. Beneficiaries who are provided coverage under the demonstration project will not be eligible to receive care at a military medical treatment facility or to enroll in a health care plan under DoD's TRICARE program. Individuals who disenroll or cancel enrollment from the demonstration project are not eligible to reenroll in the demonstration project. OPM will establish separate risk pools for developing demonstration project enrollee premium rates. The government contribution for demonstration enrollees will be paid by DoD and cannot exceed the maximum percentage or dollar amount that the government would have contributed had the enrollee been enrolled as a regular FEHB enrollee in the same health benefits plan and at the same level of benefits. The legislation requires OPM and DoD to jointly produce and submit two reports to Congress designed to assess the viability of expanding access to the FEHB Program to certain Medicare and other eligible DoD beneficiaries permanently. The first report is due by April 1, 2001; the second is due by December 31, 2002. The reports will focus on enrollee participation levels, impact on Medicare Part B enrollment, premium rates and costs as compared to those for regular FEHB enrollees, impact on accessibility of care in military treatment facilities, impact on medical readiness and training in military treatment facilities, impact on the cost, accessibility, and availability of prescription drugs for DoD beneficiaries, and recommendations on eligibility and enrollment. OPM has determined it necessary to specify certain differences from existing FEHB Program regulations because of the unique features of the demonstration project. This regulation amends Part 890 of title 5, Code of Federal Regulations

(CFR)to authorize these differences. Should the program be extended beyond the three year demonstration project period, we will regulate to address any necessary changes to these provisions. On July 6,1999, OPM published an interim regulation in the **Federal Register** (64 FR 36237). OPM subsequently received one comment from a trade association representing FEHB fee-for-service/PPO plans. The commenter indicated that the regulation does not address whether FEHB carriers must issue certificates of creditable coverage required under the Health Insurance Portability and Accountability Act (HIPAA) and asked if this was required under the demonstration project. The regulation is intended to change normal FEHB Program practice where specifically indicated. It is not intended to affect practices that have not been specifically addressed. Therefore, carriers must issue certificates of creditable coverage to meet the requirements of HIPAA for demonstration project enrollees the same as they do for regular FEHB Program enrollees. Other minor clarifying changes have been made to the regulation. Regulatory Flexibility Act I certify that this regulation will not have a significant economic impact on a substantial number of small entities because the regulation will only affect health insurance carriers under the Federal Employees Health Benefits Program. Executive Order 12866, Regulatory Review This rule has been reviewed by the Office of Management and Budget in accordance with Executive Order 12866. List of Subjects in 5 CFR Part 890 Administrative practice and procedure, Government employees, Health facilities, Health insurance, Health professionals, Hostages, Iraq, Kuwait, Lebanon, Reporting and record keeping requirements, Retirement. Office of Personnel Management. Janice R. Lachance, Director. For the reasons set forth in the preamble, OPM is amending 5 CFR part 890 as follows: PART 890—FEDERAL EMPLOYEES HEALTH BENEFITS PROGRAM 1. The authority citation for part 890 is revised to read as follows: Authority: 5 U.S.C. 8913; § 890.803 also issued under 50 U.S.C. 403p, 22 U.S.C. 4069c and 4069c-1; subpart L also issued under sec. 599C of Pub. L. 101-513, 104 Stat. 2064, as amended; § 890.102 also issued under sections 11202(f), 11232(e), 11246

(b)and

(c)of Pub. L. 105-33, 111 Stat. 251; and section 721 of Pub. L. 105-261, 112 Stat. 2061. PART 890—FEDERAL EMPLOYEES HEALTH BENEFITS PROGRAM 2. A new Subpart M is revised to read as follows: Subpart M—Department of Defense Federal Employees Health Benefits Program Demonstration Project Sec. 890.1301 Purpose. 890.1302 Duration. 890.1303 Eligibility. 890.1304 Enrollment. 890.1305 Termination and cancellation. 890.1306 Government premium contributions. 890.1307 Data collection. 890.1308 Carrier participation. Subpart M—Department of Defense Federal Employees Health Benefits Program Demonstration Project § 890.1301 Purpose. The purpose of this subpart is to implement section 721 of the National Defense Authorization Act for 1999, Public Law 105-261. This section amended chapter 55 of title 10, United States Code, and chapter 89 of title 5, United States Code, to establish a demonstration project under which certain Medicare and other eligible Department of Defense

(DoD)beneficiaries can enroll in health benefit plans offered under the Federal Employees Health Benefits

(FEHB)Program in certain geographic areas. The legislation was signed into law on October 17, 1998. The demonstration project will run for a period of three years. The legislation requires the Office of Personnel Management

(OPM)and DoD to jointly produce and submit two reports to Congress designed to assess the viability of expanding access to the FEHB Program to certain Medicare and other eligible DoD beneficiaries permanently. OPM is authorizing certain differences from regular FEHB Program practices in order to ensure the successful implementation of the demonstration project. This regulation authorizes those differences. § 890.1302 Duration. The demonstration project will run from January 1, 2000, through December 31, 2002. § 890.1303 Eligibility.

(a)To enroll in the demonstration project, an individual must live within one of the demonstration areas and meet the definition of an eligible beneficiary in 10 U.S.C. 1108(b). An eligible beneficiary under this subpart is—

(1)A member or former member of the uniformed services described in section 1074(b) of title 10, United States Code, who is entitled to hospital insurance benefits under part A of title XVIII of the Social Security Act (42 U.S.C. 1395c *et seq.* );

(2)An individual who is an unremarried former spouse of a member or former member described in section 1072(2)(F) or section 1072(2)(G) of title 10, United States Code;

(3)An individual who is—

(i)A dependent of a deceased member or former member described in section 1076(b) or 1076(a)(2)(B) of title 10, United States Code, or of a member who died while on active duty for a period of more than 30 days; and

(ii)A “member of family” as defined in section 8901(5) of title 5, United States Code; or

(4)An individual who is—

(i)A dependent of a living member or former member described in section 1076(b)(1) of title 10, United States Code, who is entitled to hospital insurance benefits under part A of title XVIII of the Social Security Act, regardless of the member's or former member's eligibility for such hospital insurance benefits; and

(ii)A “member of family” as defined in section 8901(5) of title 5, United States Code.

(b)An eligible beneficiary may enroll in an FEHB plan under chapter 89 of title 5, United States Code, for self-only coverage or for self and family coverage. A self and family enrollment will include coverage of a dependent of the military member or former member who meets the definition of a “member of family” in section 8901(5) of title 5, United States Code. A self and family enrollment will not cover a person related to the eligible beneficiary that does not qualify as a “member of family” (as defined in section 8901(5) of title 5, United States Code) of the military member or former member.

(c)A person eligible for coverage under this subpart shall not be required to satisfy any eligibility criteria specified in chapter 89 of title 5, United States Code, or in other subparts of this part (except as provided in paragraphs (a)(3), (a)(4), and

(b)of this section) as a condition for enrollment in health benefit plans offered through the FEHB Program under the demonstration project.

(d)When determining whether an individual is a “member of family” under section 8901(5) of title 5, United States Code, for purposes of paragraph (a)(3) and (a)(4) of this section, a DoD member or former member described in section 1076(b) or 1076(a)(2)(B) of title 10, United States Code, shall be deemed to be an employee under chapter 89 of title 5, United States Code. The sole purpose for deeming these members or former members of the uniformed services employees under chapter 89 of title 5, United States Code, is to determine which of their dependents can enroll as eligible beneficiaries in the demonstration project.

(e)A person who is eligible to enroll in the FEHB Program as an employee as defined in section 8901(1) of title 5, United States Code, is not eligible to enroll in an FEHB plan under the demonstration project. § 890.1304 Enrollment.

(a)Open Season for eligible beneficiaries will be held concurrent with the Open Season for regular FEHB enrollees. Open Seasons will be held in the years 1999, 2000 and 2001. Eligible beneficiaries will be able to enroll for coverage, change enrollment tiers (e.g., self-only or self and family), or change health benefit plans or plan options during these periods.

(b)Enrolled eligible beneficiaries are required to pay associate membership dues if they enroll in open employee organization sponsored plans that are participating in the demonstration project.

(c)DoD will deny enrollment of eligible beneficiaries when the total number of eligible beneficiaries and family members enrolled in the demonstration project reaches 66,000.

(d)Eligible beneficiaries can enroll only in health plans offered by health benefit carriers who are participating in the demonstration project.

(e)Eligible beneficiaries and family members enrolled in the demonstration project are not eligible to obtain services from military medical treatment facilities or to enroll in a health care plan under the TRICARE Program.

(f)An eligible beneficiary enrolled in an FEHB plan under the demonstration project may change health benefits plans and coverage in the same manner as any other FEHB Program enrollee, except as provided for in this subpart. § 890.1305 Termination and cancellation.

(a)If an enrolled eligible beneficiary moves out of a demonstration area, the enrollment of the eligible beneficiary and all family members will be terminated. If an enrolled eligible beneficiary moves to an area located within a demonstration area, he or she will continue to be eligible to participate in the demonstration project. If the eligible beneficiary was enrolled prior to the move in an HMO that does not serve the new demonstration area, the eligible beneficiary will have an opportunity to select a new health plan offered by a carrier participating in the demonstration project in the new area. If the eligible beneficiary was enrolled in a fee-for-service plan prior to the move and moves to another area that is within an existing demonstration area, the eligible beneficiary can maintain his or her current coverage.

(b)If an enrolled eligible beneficiary disenrolls, cancels, or terminates enrollment for any reason, he or she will not be eligible to reenroll in the demonstration project. Once coverage ends, eligible beneficiaries and all family members have the right to resume all of the benefits to which they are entitled to under title 10 of the United States Code. Medicare-covered eligible beneficiaries and their eligible family members who had Medigap policies prior to their enrollment in the demonstration project are entitled to reinstate that coverage under the conditions stated in section 1108(l) of title 10, United States Code.

(c)Eligible beneficiaries and their family members are eligible for Temporary Continuation of Coverage

(TCC)under the conditions and for the durations described in subpart K or until the end of the demonstration project, whichever occurs first. The effective date of TCC for eligible beneficiaries or their eligible family members will be the day after other coverage under this subpart ends. Eligible beneficiaries or their eligible family members selecting TCC must enroll in a health plan offered by a carrier participating in the demonstration project. If an eligible beneficiary or eligible family member enrolled in DoD TCC moves from a demonstration project area, coverage ends. DoD TCC enrollees will be responsible for paying the entire DoD premium rate (OPM's approved net-to-carrier DoD rate plus 4 percent for contingency and administration reserves) plus 2 percent of this premium rate for administration of the program. DoD will make arrangements to collect premiums plus the 2 percent administrative charge from eligible beneficiaries and forward them to OPM's Employees Health Benefits Fund. OPM will establish procedures for receiving the 2 percent administrative payment into the Employees Health Benefits Fund and making this amount available to DoD for administration of the program.

(d)Enrolled eligible beneficiaries are not eligible for the temporary extension of coverage and conversion opportunities described in subpart D of this part. § 890.1306 Government premium contributions. The Secretary of Defense is responsible for the government contribution for enrolled eligible beneficiaries and family members. The government contribution toward demonstration project premium rates will be determined in accordance with subpart E of this part. § 890.1307 Data collection. Each carrier will compile, maintain, and when requested by OPM or DoD, report data on its plan's experience necessary to produce reports containing the following information and analysis:

(a)The number of eligible beneficiaries who elect to participate in the demonstration project.

(b)The number of eligible beneficiaries who elected to participate in the demonstration project and did not have Medicare Part B coverage before electing to participate.

(c)The costs of health benefits charges and the costs (direct and indirect) of administering the benefits and services provided to eligible beneficiaries who elect to participate in the demonstration project as compared to similarly situated enrollees in the FEHB Program.

(d)Prescription drug costs for demonstration project beneficiaries. § 890.1308 Carrier participation.

(a)All carriers who participate in the FEHB Program and provide benefits to enrollees in the geographic areas selected as demonstration project areas must participate in the demonstration project, except as provided for in paragraphs (b), (c), and

(d)of this section.

(b)Carriers who have less than 300 FEHB enrollees may, but are not required to, participate in the demonstration project.

(c)Carriers may, but are not required to, participate in the demonstration project if their service area overlaps a small portion (as determined by OPM) of a demonstration project geographic area.

(d)Carriers offering fee-for-service plans with enrollment limited to specific groups will not participate in the demonstration project. [FR Doc. 00-13850 Filed 6-1-00; 8:45 am]

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