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GAO-15-206R 1 (2014-11-07)

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A            O       U.S. GOVERNMENT ACCOUNTABILITY OFFICE
441 G St. N.W.
Washington, DC 20548


B-326375


November 7, 2014

The Honorable Bernie Sanders
Chairman
The Honorable Richard Burr
Ranking Member
Committee on Veterans' Affairs
United States Senate

The Honorable Jeff Miller
Chairman
The Honorable Michael H. Michaud
Ranking Member
Committee on Veterans' Affairs
House of Representatives

Subject: Department of Veterans Affairs: Copayments for Medications in 2015

Pursuant to section 801 (a)(2)(A) of title 5, United States Code, this is our report on a major rule
promulgated by the Department of Veterans Affairs (VA) entitled Copayments for Medications
in 2015 (RIN: 2900-AP15). We received the rule on October 22, 2014. It was published in the
Federal Register as an interim final rule on October 27, 2014. 79 Fed. Reg. 63,819.

The interim final rule amends VA's medical regulations concerning the copayment required for
certain medications. Absent this rule, beginning on January 1, 2015, the copayment amount
would increase based on a formula set in regulation. The maximum annual copayment amount
payable by veterans would also increase. This rule freezes copayments for 2015 at the current
rate for veterans in priority categories 2 through 8, and thereafter resumes increasing
copayments in accordance with the regulatory formula.

The Congressional Review Act (CRA) requires a 60-day delay in the effective date of a major
rule from the date of publication in the Federal Register or receipt of the rule by Congress,
whichever is later. 5 U.S.C. § 801(a)(3)(A). The final rule has a stated effective date of
October 27, 2014. The rule was received on October 22, 2014, and was published in the
Federal Register on October 27, 2014. Therefore, the final rule does not have the required 60-
day delay in its effective date. The 60-day delay in effective date can be waived, however, if the
agency finds for good cause that delay is impracticable, unnecessary, or contrary to the public
interest, and the agency incorporates a statement of the findings and its reasons in the rule
issued. 5 U.S.C. §§ 553(d)(3), 808(2). VA determined that increasing the copayment amount
on January 1, 2015, might cause a significant financial hardship for some veterans and may
decrease patient adherence to medical plans and have other unpredictable negative health
effects. For this reason, VA found that for this rule additional advance notice and public
procedure thereon were impracticable, unnecessary, and contrary to the public interest.


GAO-15-206R

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