[Federal Register Volume 80, Number 239 (Monday, December 14, 2015)]
[Notices]
[Pages 77417-77418]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-31385]
[[Page 77417]]
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DEPARTMENT OF VETERANS AFFAIRS
Reasonable Charges for Medical Care or Services; V3.18, 2016
Calendar Year Update and National Average Administrative Prescription
Drug Charge Update
AGENCY: Department of Veterans Affairs.
ACTION: Notice.
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SUMMARY: This Department of Veterans Affairs (VA) notice updates the
data for calculating the ``Reasonable Charges'' collected or recovered
by VA for medical care or services. This notice also updates the
``National Average Administrative Costs'' for purposes of calculating
VA's charges for prescription drugs that were not administered during
treatment but provided or furnished by VA to a veteran.
FOR FURTHER INFORMATION CONTACT: Romona Greene, Chief Business Office
10NB, Veterans Health Administration, Department of Veterans Affairs,
810 Vermont Avenue NW., Washington, DC 20420, (202) 382-2521. This is
not a toll free number.
SUPPLEMENTARY INFORMATION: Section 17.101 of 38 Code of Federal
Regulations sets forth the ``Reasonable Charges'' for medical care or
services provided or furnished by VA to a veteran: ``For a nonservice-
connected disability for which the veteran is entitled to care (or the
payment of expenses for care) under a health plan contract; For a
nonservice-connected disability incurred incident to the veteran's
employment and covered under a worker's compensation law or plan that
provides reimbursement or indemnification for such care and services;
or For a nonservice-connected disability incurred as a result of a
motor vehicle accident in a state that requires automobile accident
reparations insurance.'' Section 17.101 provides the methodologies for
establishing billed amounts for several types of charges; partial
hospitalization facility charges; outpatient facility charges;
physician and other professional charges, including professional
charges for anesthesia services and dental services; pathology and
laboratory charges; observation care facility charges; ambulance and
other emergency transportation charges; and charges for durable medical
equipment, drugs, injectables, and other medical services, items, and
supplies identified by Healthcare Common Procedure Coding System
(HCPCS) Level II codes.
Section 17.101 provides that the actual charge amounts at
individual VA facilities based on these methodologies and the data
sources used for calculating those actual charge amounts will either be
published as a notice in the Federal Register or will be posted on the
Internet site of the Veterans Health Administration Chief Business
Office at http://www.va.gov/CBO/apps/rates/index.asp. Certain charges
are hereby updated as stated in this notice and will be effective on
January 1, 2016.
In cases where VA has not established charges for medical care or
services provided or furnished at VA expense (by either VA or non-VA
providers) under other provisions or regulations, the method for
determining VA's charges is set forth at 38 CFR 17.101(a)(8).
Based on the methodologies set forth in Sec. 17.101, this notice
provides an update to charges for 2016 HCPCS Level II and Current
Procedural Terminology (CPT) codes. Charges are also being updated
based on more recent versions of data sources for the following charge
types: Partial hospitalization facility charges; outpatient facility
charges; physician and other professional charges, including
professional charges for anesthesia services and dental services;
pathology and laboratory charges; observation care facility charges;
ambulance and other emergency transportation charges; and charges for
durable medical equipment, drugs, injectables, and other medical
services, items, and supplies identified by HCPCS Level II codes. As of
the date of this notice, the actual charge amounts at individual VA
facilities based on the methodologies in Sec. 17.101 will be posted at
http://www.va.gov/CBO/apps/rates/index.asp under the heading
``Reasonable Charges Data Tables'' and identified as ``V3.18 Data
Tables (Outpatient and Professional).''
The list of data sources used for calculating the actual charge
amounts listed above also will be posted at http://www.va.gov/CBO/apps/rates/index.asp under the heading ``Reasonable Charges Data Sources''
and identified as ``Reasonable Charges V3.18 Data Sources (Outpatient
and Professional) (PDF).''
Acute inpatient facility charges and skilled nursing facility/sub-
acute inpatient facility charges remain the same as set forth in the
notice published in the Federal Register on September 21, 2015 (80 FR
57051). The effective date of those charges is October 1, 2015. The
data tables containing those actual charges are posted at http://www.va.gov/CBO/apps/rates/index.asp under the heading ``Reasonable
Charges Data Tables'' and identified as ``V3.17 Data Tables
(Inpatient).'' The data sources used to calculate these charges are
posted at http://www.va.gov/CBO/apps/rates/index.asp under the heading
``Reasonable Charges Data Sources and identified as ``Reasonable
Charges Data Sources V3.17 (Inpatient) (PDF).
We are also updating the list of VA medical facility locations. The
list of VA medical facility locations, including the first three digits
of their zip codes as well as provider based/non-provider based
designations, will be posted on the Internet site of the Veterans
Health Administration Chief Business Office, currently at http://www.va.gov/CBO/apps/rates/index.asp under the heading ``VA Medical
Facility Locations,'' and identified as ``VA Medical Facility Locations
V3.18 (Jan16).''
As indicated in 38 CFR 17.101(m), when VA provides or furnishes
prescription drugs not administered during treatment, ``charges billed
separately for such prescription drugs will consist of the amount that
equals the total of the actual cost to VA for the drugs and the
national average of VA administrative costs associated with dispensing
the drugs for each prescription.'' Section 17.101(m) includes the
methodology for calculating the national average administrative cost
for prescription drug charges not administered during treatment.
VA determines the amount of the national average administrative
cost annually for the prior fiscal year (October through September) and
then applies the charge at the start of the next calendar year. The
national average administrative drug cost for calendar year 2016 is
$14.29. This change will be posted at http://www.va.gov/CBO/payerinfo.asp and identified as ``CY 2016 Average Administrative Cost
for Prescriptions.''
Consistent with Sec. 17.101, the national average administrative
cost, the updated data tables, and supplementary tables containing the
changes described in this notice will be posted online, as indicated in
this notice. This notice will be posted at http://www.va.gov/CBO/apps/rates/index.asp under the heading ``Federal Registers, Rules, and
Notices'' and identified as, ``V3.18 Federal Register Notice 01/01/16
(Outpatient and Professional), and National Administrative Cost
(PDF).'' The national average administrative cost, updated data tables,
and the supplementary tables containing the changes described will be
effective until changed by a subsequent Federal Register notice.
[[Page 77418]]
Signing Authority
The Secretary of Veterans Affairs, or designee, approved this
document and authorized the undersigned to sign and submit the document
to the Office of the Federal Register for publication electronically as
an official document of the Department of Veterans Affairs. Robert L.
Nabors II, Chief of Staff, Department of Veterans Affairs, approved
this document on November 30, 2015, for publication.
Dated: December 9, 2015.
William F. Russo,
Director, Office of Regulation Policy & Management, Office of the
General Counsel, Department of Veterans Affairs.
[FR Doc. 2015-31385 Filed 12-11-15; 8:45 am]
BILLING CODE 8320-01-P