[Federal Register Volume 66, Number 117 (Monday, June 18, 2001)]
[Rules and Regulations]
[Pages 32776-32777]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-15400]


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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Health Care Financing Administration

42 CFR Parts 400, 430, 431, 434, 435, 438, 440, and 447

[HCFA-2001-F3]
RIN 0938-AI70


Medicaid Program; Medicaid Managed Care: Further Delay of 
Effective Date

AGENCY: Health Care Financing Administration (HCFA), HHS.

ACTION: Final rule; Further delay of effective date.

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SUMMARY: This final rule temporarily delays the effective date of the 
final rule entitled ``Medicaid Managed Care'' that was published on 
January 19, 2001 in the Federal Register (66 FR 6228). That final rule 
amends the Medicaid regulations to implement provisions of the Balanced 
Budget Act of 1997 (BBA), which revised various aspects of the Medicaid 
law as it applies to managed care programs.

[[Page 32777]]

    On February 26, 2001, we initially delayed the effective date of 
the final rule from April 19, 2001 until June 18, 2001. This temporary 
60-day delay of effective date was necessary to give Department 
officials the opportunity for further review and consideration of these 
regulations. We have determined that a short additional period is 
required properly to consider these issues. We therefore delay the 
effective date of this rule until August 17, 2001. Therefore, 
provisions of the rule that must be implemented through contracts with 
managed care organizations, prepaid health plans, health insuring 
organizations, or enrollment brokers are effective with respect to 
contracts that are up for renewal or renegotiation on or after August 
17, 2001, but no later than August 18, 2002.
    To the extent that 5 U.S.C. section 553 applies to this action, it 
is exempt from notice and comment because it constitutes a rule of 
procedure under 5 U.S.C. section 553(b)(3)(a). Alternatively, HCFA's 
delay of implementation of this rule without opportunity for public 
comment, effective immediately upon publication today in the Federal 
Register, is based on the good cause exceptions in 5 U.S.C. sections 
553(b)(3)(B) and 553(d)(3), in that seeking public comment is 
impracticable, unnecessary, and contrary to the public interest. Given 
the imminence of the effective date, seeking prior public comment on 
this temporary delay would have been impractical, because the time 
available before the effective date is too short for meaningful 
comment. Moreover, to the extent that seeking public comment would 
preclude this delay, it would be contrary to the public interest in the 
orderly promulgation and implementation of regulations in light of the 
development of necessary revisions. The immediate delay is necessary to 
prevent application of inconsistent standards while we issue the 
necessary revisions.

DATES: The effective date of the final rule with comment amending 42 
CFR parts 400, 430, 431, 434, 435, 438, 440, and 447 that was published 
in the January 19, 2001 Federal Register (66 FR 6227) and delayed until 
June 18, 2001 in the February 26, 2001 Federal Register (66 FR 11546), 
is further delayed until August 17, 2001. Additionally, the 
implementation date of the rule is delayed until August 17, 2001.

FOR FURTHER INFORMATION CONTACT: Deirdre Duzor, (410) 786-4626.

(Catalog of Federal Domestic Assistance Program No. 93.778, Medical 
Assistance Program)


    Dated: June 11, 2001.
Thomas A. Scully,
Administrator, Health Care Financing Administration.
    Approved: June 14, 2001.
Tommy G. Thompson,
Secretary.
[FR Doc. 01-15400 Filed 6-15-01; 8:45 am]
BILLING CODE 4120-01-P