82_FR_59452 82 FR 59213 - Reasonable Charges for Medical Care or Services; v3.23, 2018 Calendar Year Update and National Average Administrative Prescription Drug Charge Update

82 FR 59213 - Reasonable Charges for Medical Care or Services; v3.23, 2018 Calendar Year Update and National Average Administrative Prescription Drug Charge Update

DEPARTMENT OF VETERANS AFFAIRS

Federal Register Volume 82, Issue 239 (December 14, 2017)

Page Range59213-59214
FR Document2017-26950

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 Prescription 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.

Federal Register, Volume 82 Issue 239 (Thursday, December 14, 2017)
[Federal Register Volume 82, Number 239 (Thursday, December 14, 2017)]
[Notices]
[Pages 59213-59214]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-26950]



[[Page 59213]]

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DEPARTMENT OF VETERANS AFFAIRS


Reasonable Charges for Medical Care or Services; v3.23, 2018 
Calendar Year Update and National Average Administrative Prescription 
Drug Charge Update

AGENCY: Department of Veterans Affairs.

ACTION: Notice.

-----------------------------------------------------------------------

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 Prescription 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, Office of Community 
Care, Revenue Operations, Payer Relations and Services, Rates and 
Charges (10D1C1), Veterans Health Administration (VHA), 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 Title 38 of the 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; however, this notice will only address 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 medical 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 
Office of Community Care's website at https://www.va.gov/communitycare/revenue_ops/payer_rates.asp.
    Certain charges are hereby updated as stated in this notice and 
will be effective on January 1, 2018.
    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 2018 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 
medical facilities based on the methodologies in Sec.  17.101 will be 
posted on the VHA Office of Community Care's website at https://www.va.gov/communitycare/revenue_ops/payer_rates.asp under the heading 
``Reasonable Charges Data Tables'' and identified as ``v3.23 Data 
Tables (Outpatient and Professional).''
    The list of data sources used for calculating the actual charge 
amounts listed above also will be posted on the VHA Office of Community 
Care's website under the heading ``Reasonable Charges Data Sources'' 
and identified as ``Reasonable Charges v3.23 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 25, 2017 (82 FR 
44701).
    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 VHA Office of Community Care's 
website under the heading ``VA Medical Facility Locations'' and 
identified as ``v3.23 (Jan18).''
    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 2018 is 
$16.64. This change will be posted on the VHA Office of Community 
Care's website at https://www.va.gov/COMMUNITYCARE/revenue_ops/admin_costs.asp under the heading ``CY 2018 Average Administrative Cost 
for Prescriptions.''
    Consistent with Sec.  17.101, the national average administrative 
cost, the updated data, and supplementary tables containing the changes 
described in this notice will be posted online, as indicated in this 
notice. This notice will be posted on the VHA Office of Community 
Care's website under the heading ``Federal Registers, Rules, and 
Notices'' and identified as ``v3.23 Federal Register Notice 01/01/18 
(Outpatient and Professional), and National Administrative Cost 
(PDF).'' The national average administrative cost, updated data, and 
supplementary tables containing the changes described will be effective 
until changed by a subsequent Federal Register notice.

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. Gina S. 
Farrisee, Deputy Chief of Staff, Department of Veterans Affairs,

[[Page 59214]]

approved this document on November 24, 2017, for publication.

    Dated: November 24, 2017.
Jeffrey Martin,
Office Program Manager, Office of Regulation Policy & Management, 
Office of the Secretary, Department of Veterans Affairs.
[FR Doc. 2017-26950 Filed 12-13-17; 8:45 am]
 BILLING CODE 8320-01-P



                                                                          Federal Register / Vol. 82, No. 239 / Thursday, December 14, 2017 / Notices                                            59213

                                                DEPARTMENT OF VETERANS                                  Healthcare Common Procedure Coding                       We are also updating the list of VA
                                                AFFAIRS                                                 System (HCPCS) Level II codes.                        medical facility locations. The list of VA
                                                                                                           Section 17.101 provides that the                   medical facility locations, including the
                                                Reasonable Charges for Medical Care                     actual charge amounts at individual VA                first three digits of their zip codes as
                                                or Services; v3.23, 2018 Calendar Year                  medical facilities based on these                     well as provider-based/non-provider-
                                                Update and National Average                             methodologies and the data sources                    based designations, will be posted on
                                                Administrative Prescription Drug                        used for calculating those actual charge              the VHA Office of Community Care’s
                                                Charge Update                                           amounts will either be published as a                 website under the heading ‘‘VA Medical
                                                                                                        notice in the Federal Register or will be             Facility Locations’’ and identified as
                                                AGENCY:   Department of Veterans Affairs.               posted on the internet site of the                    ‘‘v3.23 (Jan18).’’
                                                ACTION:   Notice.                                       Veterans Health Administration Office                    As indicated in 38 CFR 17.101(m),
                                                                                                        of Community Care’s website at https://               when VA provides or furnishes
                                                SUMMARY:   This Department of Veterans                  www.va.gov/communitycare/revenue_                     prescription drugs not administered
                                                Affairs (VA) notice updates the data for                ops/payer_rates.asp.                                  during treatment, ‘‘charges billed
                                                calculating the ‘‘Reasonable Charges’’                     Certain charges are hereby updated as              separately for such prescription drugs
                                                collected or recovered by VA for                        stated in this notice and will be effective           will consist of the amount that equals
                                                medical care or services. This notice                   on January 1, 2018.                                   the total of the actual cost to VA for the
                                                also updates the ‘‘National Average                        In cases where VA has not established              drugs and the national average of VA
                                                Administrative Prescription Costs’’ for                 charges for medical care or services                  administrative costs associated with
                                                purposes of calculating VA’s charges for                provided or furnished at VA expense                   dispensing the drugs for each
                                                prescription drugs that were not                        (by either VA or non-VA providers)                    prescription.’’ Section 17.101(m)
                                                administered during treatment, but                      under other provisions or regulations,                includes the methodology for
                                                provided or furnished by VA to a                        the method for determining VA’s                       calculating the national average
                                                veteran.                                                charges is set forth at 38 CFR                        administrative cost for prescription drug
                                                FOR FURTHER INFORMATION CONTACT:
                                                                                                        17.101(a)(8).                                         charges not administered during
                                                                                                           Based on the methodologies set forth               treatment.
                                                Romona Greene, Office of Community
                                                                                                        in § 17.101, this notice provides an                     VA determines the amount of the
                                                Care, Revenue Operations, Payer
                                                                                                        update to charges for 2018 HCPCS Level                national average administrative cost
                                                Relations and Services, Rates and
                                                                                                        II and Current Procedural Terminology                 annually for the prior fiscal year
                                                Charges (10D1C1), Veterans Health
                                                                                                        (CPT) codes. Charges are also being                   (October through September) and then
                                                Administration (VHA), Department of                     updated based on more recent versions
                                                Veterans Affairs, 810 Vermont Avenue                                                                          applies the charge at the start of the next
                                                                                                        of data sources for the following charge              calendar year. The national average
                                                NW, Washington, DC 20420, (202) 382–                    types: partial hospitalization facility
                                                2521. (This is not a toll free number).                                                                       administrative drug cost for calendar
                                                                                                        charges; outpatient facility charges;                 year 2018 is $16.64. This change will be
                                                SUPPLEMENTARY INFORMATION: Section                      physician and other professional                      posted on the VHA Office of
                                                17.101 of Title 38 of the Code of Federal               charges, including professional charges               Community Care’s website at https://
                                                Regulations sets forth the ‘‘Reasonable                 for anesthesia services and dental                    www.va.gov/COMMUNITYCARE/
                                                Charges’’ for medical care or services                  services; pathology and laboratory                    revenue_ops/admin_costs.asp under the
                                                provided or furnished by VA to a                        charges; observation care facility                    heading ‘‘CY 2018 Average
                                                veteran: ‘‘For a nonservice-connected                   charges; ambulance and other                          Administrative Cost for Prescriptions.’’
                                                disability for which the veteran is                     emergency transportation charges; and                    Consistent with § 17.101, the national
                                                entitled to care (or the payment of                     charges for durable medical equipment,                average administrative cost, the updated
                                                expenses for care) under a health plan                  drugs, injectables, and other medical                 data, and supplementary tables
                                                contract; For a nonservice-connected                    services, items, and supplies identified              containing the changes described in this
                                                disability incurred incident to the                     by HCPCS Level II codes. As of the date               notice will be posted online, as
                                                veteran’s employment and covered                        of this notice, the actual charge amounts             indicated in this notice. This notice will
                                                under a worker’s compensation law or                    at individual VA medical facilities                   be posted on the VHA Office of
                                                plan that provides reimbursement or                     based on the methodologies in § 17.101                Community Care’s website under the
                                                indemnification for such care and                       will be posted on the VHA Office of                   heading ‘‘Federal Registers, Rules, and
                                                services; or For a nonservice-connected                 Community Care’s website at https://                  Notices’’ and identified as ‘‘v3.23
                                                disability incurred as a result of a motor              www.va.gov/communitycare/revenue_                     Federal Register Notice 01/01/18
                                                vehicle accident in a State that requires               ops/payer_rates.asp under the heading                 (Outpatient and Professional), and
                                                automobile accident reparations                         ‘‘Reasonable Charges Data Tables’’ and                National Administrative Cost (PDF).’’
                                                insurance.’’ Section 17.101 provides the                identified as ‘‘v3.23 Data Tables                     The national average administrative
                                                methodologies for establishing billed                   (Outpatient and Professional).’’                      cost, updated data, and supplementary
                                                amounts for several types of charges;                      The list of data sources used for                  tables containing the changes described
                                                however, this notice will only address                  calculating the actual charge amounts                 will be effective until changed by a
                                                partial hospitalization facility charges;               listed above also will be posted on the               subsequent Federal Register notice.
                                                outpatient facility charges; physician                  VHA Office of Community Care’s
                                                and other professional charges,                         website under the heading ‘‘Reasonable                Signing Authority
                                                including professional charges for                      Charges Data Sources’’ and identified as                The Secretary of Veterans Affairs, or
                                                anesthesia services and dental services;                                                                      designee, approved this document and
sradovich on DSK3GMQ082PROD with NOTICES




                                                                                                        ‘‘Reasonable Charges v3.23 Data Sources
                                                pathology and laboratory charges;                       (Outpatient and Professional) (PDF).’’                authorized the undersigned to sign and
                                                observation care facility charges;                         Acute inpatient facility charges and               submit the document to the Office of the
                                                ambulance and other emergency                           skilled nursing facility/sub-acute                    Federal Register for publication
                                                transportation charges; and charges for                 inpatient facility charges remain the                 electronically as an official document of
                                                durable medical equipment, drugs,                       same as set forth in the notice published             the Department of Veterans Affairs. Gina
                                                injectables, and other medical services,                in the Federal Register on September                  S. Farrisee, Deputy Chief of Staff,
                                                items, and supplies identified by                       25, 2017 (82 FR 44701).                               Department of Veterans Affairs,


                                           VerDate Sep<11>2014   21:28 Dec 13, 2017   Jkt 244001   PO 00000   Frm 00422   Fmt 4703   Sfmt 4703   E:\FR\FM\14DEN1.SGM   14DEN1


                                                59214                     Federal Register / Vol. 82, No. 239 / Thursday, December 14, 2017 / Notices

                                                approved this document on November                        Dated: November 24, 2017.
                                                24, 2017, for publication.                              Jeffrey Martin,
                                                                                                        Office Program Manager, Office of Regulation
                                                                                                        Policy & Management, Office of the Secretary,
                                                                                                        Department of Veterans Affairs.
                                                                                                        [FR Doc. 2017–26950 Filed 12–13–17; 8:45 am]
                                                                                                        BILLING CODE 8320–01–P
sradovich on DSK3GMQ082PROD with NOTICES




                                           VerDate Sep<11>2014   21:28 Dec 13, 2017   Jkt 244001   PO 00000   Frm 00423   Fmt 4703   Sfmt 9990   E:\FR\FM\14DEN1.SGM   14DEN1



Document Created: 2018-10-25 10:53:24
Document Modified: 2018-10-25 10:53:24
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
ActionNotice.
ContactRomona Greene, Office of Community Care, Revenue Operations, Payer Relations and Services, Rates and Charges (10D1C1), Veterans Health Administration (VHA), Department of Veterans Affairs, 810 Vermont Avenue NW, Washington, DC 20420, (202) 382-2521. (This is not a toll free number).
FR Citation82 FR 59213 

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