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<classification authority="sudocs">GA 1.13:T-HEHS/GGD-99-159</classification>
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 <subject>Veterans benefits</subject>
 <subject>Health insurance cost control</subject>
 <subject>Health care programs</subject>
 <subject>Managed health care</subject>
 <subject>Veterans</subject>
 <subject>Comparative analysis</subject>
 <subject>Health insurance</subject>
 <subject>Proposed legislation</subject>
 <identifier>Medicare Program</identifier>
 <identifier>VA TRICARE Program</identifier>
 <identifier>DOD TRICARE Prime Program</identifier>
 <identifier>DOD Senior Prime Program</identifier>
 <identifier>VA Uniform Benefits Package</identifier>
 <identifier>VA Medicare Subvention Demonstration Program</identifier>
 <identifier>DOD Medicare Subvention Demonstration Program</identifier>
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 <title>Medicare Subvention: Challenges and Opportunities Facing a</title>
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<abstract>A Medicare subvention under the Department of Veterans Affairs (VA)
would have the goal of providing an alternative for delivering
accessible and quality care to certain veterans eligible for Medicare
without increasing the cost to Medicare or VA. Subvention would allow VA
to supplement its funds with Medicare payments. In principle, by paying
VA a discounted rate, the Medicare program might save money, so long as
it does not pay for services that VA would have previously covered. A
three-year Department of Defense (DOD) subvention demonstration program
involves about 30,000 retirees and limits Medicare payments to DOD to
$65 million a year. However, a nationwide DOD subvention program could
potentially involve Medicare payments of several hundred million dollars
or more. The potential size of a nationwide VA program may be even
greater, with nearly all the nine million veterans aged 65 and older
covered by Medicare. Proposed legislation before the House and the
Senate would authorize VA subvention demonstrations. Under either bill,
VA will (1) be challenged to attract veterans who currently enjoy a
generous VA benefits package, (2) need to strengthen its billing
systems, and (3) need to ensure that access to services is not reduced.
VA will need sufficient time to implement a demonstration, and it must
carefully design and implement its payment methods to protect Medicare
trust funds and to promote cost consciousness and efficiencies at the
demonstration sites. Finally, sound data systems are essential for
managing and evaluating a subvention demonstration.</abstract>
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<identifier type="preferred citation">GAO/T-HEHS/GGD-99-159</identifier>
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<note>Testimony</note>
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<subject>
 <topic>Veterans benefits</topic>
 <topic>Health insurance cost control</topic>
 <topic>Health care programs</topic>
 <topic>Managed health care</topic>
 <topic>Veterans</topic>
 <topic>Comparative analysis</topic>
 <topic>Health insurance</topic>
 <topic>Proposed legislation</topic>
 <topic>Medicare Program</topic>
 <topic>VA TRICARE Program</topic>
 <topic>DOD TRICARE Prime Program</topic>
 <topic>DOD Senior Prime Program</topic>
 <topic>VA Uniform Benefits Package</topic>
 <topic>VA Medicare Subvention Demonstration Program</topic>
 <topic>DOD Medicare Subvention Demonstration Program</topic>
</subject>
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  <title>United States House Bill 3828 (105th Congress)</title>
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 <identifier type="Congressional Bill citation">H.R. 3828</identifier>
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  <congress>105</congress>
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