Sec. 743. AUTHORITY FOR AGREEMENT FOR USE OF MEDICAL RESOURCE FACILITY, ALAMOGORDO, NEW MEXICO

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## SEC. 743 AUTHORITY FOR AGREEMENT FOR USE OF MEDICAL RESOURCE FACILITY, ALAMOGORDO, NEW MEXICO ###

(a)Authority ####

(1)The Secretary of the Air Force may enter into an agreement with Gerald Champion Hospital, Alamogordo, New Mexico, under which the Secretary may furnish health care services to eligible individuals in a medical resource facility in Alamogordo, New Mexico, that is constructed and equipped, in part, using funds provided by the Secretary under the agreement. ####

(2)For purposes of this section: #####

(A)The term “**eligible individual**” means any individual eligible for medical and dental care under chapter 55 of title 10, United States Code, including any member of the uniformed services entitled to such care under section 1074(a) of that title. #####

(B)The terms “**medical resource facility**” and “facility” mean the medical resource facility to be constructed and equipped pursuant to the agreement authorized by paragraph (1). #####

(C)The term “**Hospital**” means Gerald Champion Hospital, Alamogordo, New Mexico. ###

(b)Content of Agreement Any agreement entered into under subsection

(a)shall specify, at a minimum, the following: ####

(1)The relationship between the Hospital and the Secretary of the Air Force in the provision of health care services to eligible individuals in the medical resource facility, including— #####

(A)whether or not the Secretary and the Hospital are to use and administer the facility jointly or independently; and #####

(B)under what circumstances the Hospital is to act as a provider of health care services under the managed care option of the TRICARE program known as TRICARE Prime. ####

(2)Matters relating to the administration of the agreement, including— #####

(A)the duration of the agreement; #####

(B)the rights and obligations of the Secretary and the Hospital under the agreement, including any contracting or grievance procedures applicable under the agreement; #####

(C)the types of care to be provided to eligible individuals under the agreement, including the cost to the Department of the Air Force of providing the care to eligible individuals during the term of the agreement; #####

(D)the access of Air Force medical personnel to the facility under the agreement; #####

(E)the rights and responsibilities of the Secretary and the Hospital upon termination of the agreement; and #####

(F)any other matters jointly identified by the Secretary and the Hospital. ####

(3)The nature of the arrangement between the Secretary and the Hospital with respect to the ownership of the facility and any property under the agreement, including— #####

(A)the nature of that arrangement while the agreement is in force; #####

(B)the nature of that arrangement upon termination of the agreement; and #####

(C)any requirement for reimbursement of the Secretary by the Hospital as a result of the arrangement upon termination of the agreement. ####

(4)The amount of the funds made available under subsection

(c)that the Secretary will contribute for the construction and equipping of the facility. ####

(5)Any conditions or restrictions relating to the construction, equipping, or use of the facility. ###

(c)Availability of Funds for Construction and Equipping of Facility ####

(1)Of the amount authorized to be appropriated pursuant to section 301(4) for operation and maintenance for the Air Force, not more than $7,000,000 may be used by the Secretary of the Air Force to make a contribution toward the construction and equipping of the medical resource facility in the event that the Secretary enters into the agreement authorized by subsection (a). Notwithstanding any other provision of law, the Secretary may not use other sources of funds to make a contribution toward the construction or equipping of the facility. ####

(2)Notwithstanding subsection (b)(3) regarding the ownership and reimbursement issues to be addressed in the agreement authorized by subsection (a), the Secretary may not contribute funds made available under paragraph

(1)toward the construction and equipping of the facility unless the agreement requires, in exchange for the contribution, that the Hospital provide health care services to eligible individuals without charge to the Secretary or at a reduced rate. The value of the services provided by the Hospital shall be at least equal to the amount of the contribution made by the Secretary, and the Hospital shall complete the provision of services equal in value to the Secretary's contribution within seven years after the facility becomes operational. The provision of additional discounted services to be provided by the Hospital shall be included in the agreement. The value and types of services to be provided by the Hospital shall be negotiated in accordance with principles of resource-sharing agreements under the TRICARE program. ###

(d)Notice and Wait The Secretary of the Air Force may not enter into the agreement authorized by subsection

(a)until 90 days after the Secretary of Defense submits to the congressional defense committees the report required by subsection (e). ###

(e)Report on Proposed Agreement The Secretary of Defense shall submit to Congress a report containing an analysis of, and recommendations regarding, the agreement proposed to be entered into under subsection (a), in particular, the implications of the agreement on regional health care costs and its effect on implementation of the TRICARE program in the region. The report shall also include a copy of the agreement, the results of a cost-benefit analysis conducted by the Secretary of the Air Force with respect to the agreement, and such other information with respect to the agreement as the Secretary of Defense and the Secretary of the Air Force considers appropriate. The cost-benefit analysis shall consider the effects of the agreement on operation and maintenance and military construction requirements at Holloman Air Force Base, New Mexico.