On December 1, 2011, the Senate passed a bill (S. 1867) which exempts TRICARE network providers from the jurisdiction of the Office of Federal Contract Compliance Programs (OFCCP). The current House version does not contain a similar exemption; thus, the two bills must be reconciled. The Senate's action is in response to enforcement actions taken by the OFCCP against health care entities based solely on those entities' reimbursement agreements with TRICARE, the government health care program providing benefits to active and retired military personnel and their families.
OFCCP's efforts to assert jurisdiction over healthcare providers based solely on the providers' participation in the TRICARE network has been challenged by a number of providers, and is currently the subject of enforcement action brought by the OFCCP against Florida Hospital in Orlando, Florida. On October 18, 2010, a Department of Labor Administrative Law Judge ruled that receipt of TRICARE payments was sufficient to subject the hospital to OFCCP's jurisdiction as a federal government subcontractor. That case has been appealed.
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