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<classification authority="sudocs">GA 1.13:GAO-01-616</classification>
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 <subject>Fraud</subject>
 <subject>Health care programs</subject>
 <subject>Program abuses</subject>
 <subject>Internal controls</subject>
 <subject>Health insurance</subject>
 <subject>Contract performance</subject>
 <subject>Performance measures</subject>
 <subject>Program evaluation</subject>
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<titleInfo>
 <title>Medicare: Opportunities and Challenges in Contracting for Program Safeguards</title>
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<abstract>The Health Care Financing Administration (HCFA) chose 12 claims
administration contractors in 1999 to act as program safeguard	 
contractors (PSC) for Medicare. This report examines (1) HCFA&apos;s  
progress in implementing its PSC contracting authority and (2)	 
whether HCFA could better manage of the PSCs to ensure their most
effective use. GAO found that HCFA is experimenting with	 
different options for integrating the PSCs into Medicare&apos;s	 
program safeguard activities. Between September 1999 and March	 
2001, HCFA issued 15 task orders that include different ways of  
using PSC services. HCFA lacks a long-term strategy to determine 
how best to use the PSCs. Instead, it has  issued task orders in 
an ad-hoc manner, which has afforded HCFA certain flexibilities, 
such as targeting its task orders on known problem areas.	 
Although this experimental approach may be prudent in the	 
short-term, it does not represent a process for systematically	 
testing different options for using PSC services in the 	 
long-term. Also HCFA has not set formal criteria and timeframes  
for determining how the PSCs should be integrated into Medicare&apos;s
existing program integrity efforts. Finally, HCFA has not	 
established clear, measurable performance criteria to assess the 
PSCs&apos; performance on individual task orders.</abstract>
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<identifier type="preferred citation">GAO-01-616</identifier>
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<subject>
 <topic>Fraud</topic>
 <topic>Health care programs</topic>
 <topic>Program abuses</topic>
 <topic>Internal controls</topic>
 <topic>Health insurance</topic>
 <topic>Contract performance</topic>
 <topic>Performance measures</topic>
 <topic>Program evaluation</topic>
 <topic>Medicare Program</topic>
</subject>
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 <titleInfo>
  <title>United States Public Law 191 (104th Congress)</title>
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 <identifier type="public law citation">Public Law 104-191</identifier>
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