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GAO-02-1061R 1 (2002-08-30)

handle is hein.gao/gaocrptaokd0001 and id is 1 raw text is: SGAO Accountability * Integrity * Reliability United States General Accounting Office Washington, DC 20548 August 30, 2002 The Honorable Carl Levin Chairman The Honorable John Warner Ranking Minority Member Committee on Armed Services United States Senate The Honorable Bob Stump Chairman The Honorable Ike Skelton Ranking Minority Member Committee on Armed Services House of Representatives The Honorable Donald H. Rumsfeld The Secretary of Defense Subject: Financial Management: Department Of Defense Regulations Establishing Methods to Calculate Amounts To Be Transferred from Department of Defense Medicare Eligible Retiree Health Care Fund This report addresses a legislative mandate to report on regulations issued by Department of Defense (DOD) to cover transfers from a new fund created by the Congress to finance the cost of expanded health care programs' benefits for Medicare-eligible uniformed services' retirees and their eligible dependents. These health care programs include pharmacy benefits and coverage of the deductible portion of Medicare benefits. The Floyd D. Spence National Defense Authorization Act (NDAA) for Fiscal Year 2001 (as amended by NDAA for Fiscal Year 2002, and codified 10 U.S.C. Section 1111, et. seq. (2002)) established in the U.S. Treasury the Department of Defense Medicare Eligible Retiree Health Care Fund (the Fund). Beginning on October 1, 2002, the Fund will finance DOD's liabilities under the uniformed services retiree health care programs for Medicare-eligible beneficiaries. The legislation requires (1) the Secretary of Defense to establish by regulation the method(s) for calculating amounts 'These regulations currently only apply to DOD, but provisions exist for making them applicable to other uniformed services, such as U.S. Coast Guard, for their future participation in the Fund. For the purpose of this letter, DOD's uniformed services retirees will be referred to as military retirees. GAO-02-1061R Health Care Fund Regulations (DOD)

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