Summary

Pursuant to a legislative requirement, GAO reviewed the Health Care Financing Administration's (HCFA) new rule on the establishment of the Medicare Plus Choice program. GAO noted that: (1) the rule would implement provisions of the Balanced Budget Act of 1997 which established a new Medicare Plus Choice program that significantly expands the health care options available to Medicare beneficiaries; (2) under the program, eligible individuals may elect to receive Medicare benefits through enrollment in one of an array of private health plan choices beyond the original Medicare program or the plans now available through managed care organizations; and (3) HCFA complied with applicable requirements in promulgating the rule with the exception of the 60-day delay in the effective date required by the Small Business Regulatory Enforcement Fairness Act of 1996.