[Federal Register Volume 75, Number 75 (Tuesday, April 20, 2010)]
[Rules and Regulations]
[Pages 20513-20514]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-8944]



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 Rules and Regulations
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  Federal Register / Vol. 75, No. 75 / Tuesday, April 20, 2010 / Rules 
and Regulations  

[[Page 20513]]



OFFICE OF PERSONNEL MANAGEMENT

5 CFR Part 894

RIN 3206-AL78


Changes in the Federal Employees Dental and Vision Insurance 
Program

AGENCY: U.S. Office of Personnel Management.

ACTION: Final rule.

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

SUMMARY: The U.S. Office of Personnel Management (OPM) is issuing final 
regulations on changes in the Federal Employees Dental and Vision 
Insurance Program (FEDVIP). We are amending the regulations to 
authorize retroactive enrollment changes when an enrollee has lost his 
or her spouse through death or divorce or the enrollee's last eligible 
child dies, marries, or reaches age 22. We are also amending the 
regulations to add that an individual may enroll 31 days before the 
enrollee or an eligible family member loses other dental and/or vision 
coverage. We are amending the regulations to clarify the reference to 
excluded positions in 5 U.S.C. 8901(1). We are also including in the 
regulations certain former Senate restaurant employees who were 
employees of the Architect of the Capitol as individuals who are 
eligible to elect to continue enrollment in FEDVIP if they are eligible 
and elect to continue their retirement coverage.

DATES: Effective May 20, 2010.

FOR FURTHER INFORMATION CONTACT: Ron Brown, (202) 606-0004, or e-mail 
at [email protected].

SUPPLEMENTARY INFORMATION:

Background

    On December 23, 2004, Public Law 108-496, 118 Stat. 4001, was 
signed into law. This law established a dental benefits and vision 
benefits program for Federal employees, annuitants, and their eligible 
family members. The first effective date of coverage was December 31, 
2006. The existing regulations allow an enrollment change based on a 
Qualifying Life Event (QLE) only when the enrollee requests it during 
the period beginning 31 days before the QLE and ending 60 days after 
the QLE. The change in enrollment is effective the first day of the 
first pay period following the date of the request. If the enrollee has 
no more eligible family members and he or she misses the 60-day time 
limit, there is no provision that will allow for the change in 
enrollment to be made retroactive to the first day of the first pay 
period following the date the family member lost eligibility. Enrollees 
are being forced to pay for a family enrollment or a self plus one 
enrollment even though their family members are deceased or no longer 
eligible for coverage, until the next Open Season opportunity to change 
enrollment. This amendment will lift the deadline by which such an 
enrollee must change his or her enrollment and will allow the 
enrollment change to take effect retroactively when the enrollee has a 
self plus one enrollment and his or her family member dies or loses 
eligibility, through divorce or when the dependent child marries or 
reaches age 22. This amendment will also allow retroactive enrollment 
changes from a family enrollment that includes two family members to a 
self plus one enrollment if one of the family members loses eligibility 
(i.e., when there is a death or divorce, or when a dependent child 
marries or reaches age 22).
    When an eligible family member loses dental or vision coverage, the 
existing regulations allow the enrollee to increase his or her type of 
enrollment during the period beginning 31 days before the event and 
ending 60 days after the event. However, the regulations allow an 
employee who is not enrolled, and who loses his or her other dental or 
vision coverage, to enroll within 60 days after the event. This 
amendment will correct this inconsistency and allow an employee who 
loses other dental or vision coverage to enroll from 31 days before 
until 60 days after the event.
    The existing regulations (5 CFR 894.302) state that excluded 
positions are described in 5 U.S.C. 8901(1)(I). This amendment will 
clarify that excluded positions are described in 5 U.S.C. 8901(1)(i), 
(ii), (iii), and (iv).
    Public Law 110-279, enacted July 17, 2008, provides for certain 
Federal employee benefits to be continued for certain employees of the 
Senate Restaurants after the operations of the Senate Restaurants are 
contracted to be performed by a private business concern. The law 
provides that a Senate Restaurants employee, who is an employee of the 
Architect of the Capitol on the date of enactment and who accepts 
employment by the private business concern as part of the transition, 
may elect to continue Federal benefits during continuous employment 
with the business concern. We are revising the FEDVIP regulations to 
address continuation of coverage for these individuals.
    On June 2, 2009, OPM published proposed regulations in the Federal 
Register (74 FR 26302-26303) and comments were requested by August 3, 
2009.
    OPM received one comment from a FEDVIP enrollee who requested that 
OPM allow FEDVIP enrollees to cancel their coverage when their dental 
or vision provider terminates participation in the Program. When the 
Program began, OPM determined that it would create a financial hardship 
on the participating dental and vision plans if we allowed enrollees to 
cancel at anytime. OPM also advises prospective FEDVIP enrollees that 
the participation of any one provider cannot be guaranteed. Therefore, 
we will not consider the termination of the participation of a provider 
as a Qualifying Life Event to allow a cancellation of enrollment. The 
regulation as proposed has not been changed.

Regulatory Flexibility Act

    I certify that this regulation will not have a significant economic 
impact on a substantial number of small entities because the regulation 
only affects dental and vision benefits of Federal employees and 
annuitants.

Executive Order 12866, Regulatory Review

    This rule has been reviewed by the Office of Management and Budget 
in accordance with Executive Order 12866.

Federalism

    We have examined this rule in accordance with Executive Order 
13132, Federalism, and have determined that

[[Page 20514]]

this rule will not have any negative impact on the rights, roles, and 
responsibilities of State, local, or tribal governments.

List of Subjects in 5 CFR Part 894

    Administrative practice and procedure, Employee benefit plans, 
Government employees, Reporting and recordkeeping requirements, 
Retirement.

U.S. Office of Personnel Management.
John Berry,
Director.


0
Accordingly, OPM amends 5 CFR part 894 as follows:

PART 894--FEDERAL EMPLOYEES DENTAL AND VISION PROGRAM

0
1. The authority citation for part 894 is revised to read as follows:

    Authority: 5 U.S.C. 8962; 5 U.S.C. 8992; subpart C also issued 
under sec. 1 of Pub. L. 110-279, 122 Stat. 2604.

Subpart C--Eligibility

0
2. Revise Sec.  894.301 to read as follows:


Sec.  894.301  Am I eligible to enroll in the FEDVIP?

    You are eligible if--
    (a) You meet the definition of employee in 5 U.S.C. 8901(1), unless 
you are in an excluded position;
    (b) You are an employee of the United States Postal Service or the 
District of Columbia courts; or
    (c)(1) You were employed by the Architect of the Capitol as a 
Senate Restaurants employee the day before the food services operations 
of the Senate Restaurants were transferred to a private business 
concern; and
    (2) You accepted employment by the business concern and elected to 
continue your Federal retirement benefits and your FEDVIP coverage. You 
continue to be eligible for FEDVIP coverage as long as you remain 
employed by the business concern or its successor.

0
3. Revise Sec.  894.302 introductory text to read as follows:


Sec.  894.302  What is an excluded position?

    Excluded positions are described in 5 U.S.C. 8901(1)(i), (ii), 
(iii), and (iv) and 5 CFR 890.102(c), except that employees of the 
United States Postal Service and District of Columbia courts are not 
excluded positions.
* * * * *

Subpart E--Enrollment and Changing Enrollment

0
4. Revise Sec.  894.501(d) to read as follows:


Sec.  894.501  When may I enroll?

* * * * *
    (d) From 31 days before you or an eligible family member loses 
other dental/vision coverage to 60 days after a QLE that allows you to 
enroll.

0
5. Revise Sec.  894.510(c) and (d) to read as follows:


Sec.  894.510  When may I decrease my type of enrollment?

* * * * *
    (c)(1) Except as provided in paragraph (c)(2) of this section, you 
may decrease your type of enrollment only during the period beginning 
31 days before your QLE and ending 60 days after your QLE.
    (2) You may make any of the following enrollment changes at any 
time beginning 31 days before a QLE listed in Sec.  894.511(a):
    (i) A decrease in your self plus one enrollment;
    (ii) A decrease in your self and family enrollment to a self plus 
one enrollment, when you have only one remaining eligible family 
member; or
    (iii) A decrease in your self and family enrollment to a self only 
enrollment, when you have no remaining eligible family members.
    (d)(1) Except as provided in paragraph (d)(2) of this section, your 
change in enrollment is effective the first day of the first pay period 
following the one in which you make the change.
    (2) If you are making an enrollment change described in paragraph 
(c)(2) of this section, your change in enrollment is effective on the 
first day of the first pay period following the QLE on which the 
enrollment change is based.
* * * * *
[FR Doc. 2010-8944 Filed 4-19-10; 8:45 am]
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