7286 Federal Register / Vol. 63, No. 30 / Friday, February 13, 1998 /Rules and Regulations

(4) The period of validity of a regular

passport issued prior to January 1, 1983,

is five years from date of issue.

* * * * *

Dated: January 29, 1998.

Mary A. Ryan,

Assistant Secretary for Consular Affairs.

[FR Doc. 98–3534 Filed 2–12–98; 8:45 am]

BILLING CODE 4710–06–M

PENSION BENEFIT GUARANTY

CORPORATION

29 CFR Part 4044

Allocation of Assets in SingleEmployer Plans; Interest Assumptions

for Valuing Benefits

AGENCY: Pension Benefit Guaranty

Corporation.

ACTION: Final rule.

SUMMARY: The Pension Benefit Guaranty

Corporation’s regulation on Allocation

of Assets in Single-Employer Plans

prescribes interest assumptions for

valuing benefits under terminating

single-employer plans. This final rule

amends the regulation to adopt interest

assumptions for plans with valuation

dates in March 1998.

EFFECTIVE DATE: March 1, 1998.

FOR FURTHER INFORMATION CONTACT:

Harold J. Ashner, Assistant General

Counsel, Office of the General Counsel,

Pension Benefit Guaranty Corporation,

1200 K Street, NW., Washington, DC

20005, 202–326–4024. (For TTY/TDD

users, call the Federal relay service tollfree at 1–800–877–8339 and ask to be

connected to 202–326–4024.)

SUPPLEMENTARY INFORMATION: The

PBGC’s regulation on Allocation of

Assets in Single-Employer Plans (29

CFR part 4044) prescribes actuarial

assumptions for valuing plan benefits of

terminating single-employer plans

covered by title IV of the Employee

Retirement Income Security Act of 1974.

Among the actuarial assumptions

prescribed in part 4044 are interest

assumptions. These interest

assumptions are intended to reflect

current conditions in the financial and

annuity markets.

Two sets of interest assumptions are

prescribed, one set for the valuation of

benefits to be paid as annuities and one

set for the valuation of benefits to be

paid as lump sums. This amendment

adds to appendix B to part 4044 the

annuity and lump sum interest

assumptions for valuing benefits in

plans with valuation dates during

March 1998.

For annuity benefits, the interest

assumptions will be 5.50 percent for the

first 25 years following the valuation

date and 5.25 percent thereafter. For

benefits to be paid as lump sums, the

interest assumptions to be used by the

PBGC will be 4.25 percent for the period

during which a benefit is in pay status

and 4.00 percent during any years

preceding the benefit’s placement in pay

status. These annuity and lump sum

interest assumptions are unchanged

from those in effect for February 1998.

The PBGC has determined that notice

and public comment on this amendment

are impracticable and contrary to the

public interest. This finding is based on

the need to determine and issue new

interest assumptions promptly so that

the assumptions can reflect, as

accurately as possible, current market

conditions.

Because of the need to provide

immediate guidance for the valuation of

benefits in plans with valuation dates

during March 1998, the PBGC finds that

good cause exists for making the

assumptions set forth in this

amendment effective less than 30 days

after publication.

The PBGC has determined that this

action is not a ‘‘significant regulatory

action’’ under the criteria set forth in

Executive Order 12866.

Because no general notice of proposed

rulemaking is required for this

amendment, the Regulatory Flexibility

Act of 1980 does not apply. See 5 U.S.C.

601(2).

List of Subjects in 29 CFR Part 4044

Pension insurance, Pensions.

In consideration of the foregoing, 29

CFR part 4044 is amended as follows:

PART 4044—ALLOCATION OF

ASSETS IN SINGLE-EMPLOYER

PLANS

1. The authority citation for part 4044

continues to read as follows:

Authority: 29 U.S.C. 1301(a), 1302(b)(3),

1341, 1344, 1362.

2. In appendix B, a new entry is

added to Table I, and Rate Set 53 is

added to Table II, as set forth below.

The introductory text of each table is

republished for the convenience of the

reader and remains unchanged.

Appendix B to Part 4044—Interest

Rates Used to Value Annuities and

Lump Sums

Table I.—Annuity Valuations

[This table sets forth, for each

indicated calendar month, the interest

rates (denoted by i1, i2, . . . , and

referred to generally as it) assumed to be

in effect between specified anniversaries

of a valuation date that occurs within

that calendar month; those anniversaries

are specified in the columns adjacent to

the rates. The last listed rate is assumed

to be in effect after the last listed

anniversary date.]

For valuation dates occurring in the month—

The values of it are:

it for t = it for t = it for t =

* * * * * * *

March 1998 ........................................................................ .0550 1–25 .0525 >25 N/A N/A

Table II.—Lump Sum Valuations

[In using this table: (1) For benefits for

which the participant or beneficiary is

entitled to be in pay status on the

valuation date, the immediate annuity

rate shall apply; (2) For benefits for

which the deferral period is y years

(where y is an integer and 0<y≤nr),

interest rate i1 shall apply from the

valuation date for a period of y years,

and thereafter the immediate annuity

rate shall apply; (3) For benefits for

which the deferral period is y years

(where y is an integer and n1<y≤n1+n2),

interest rate i2 shall apply from the

valuation date for a period of y¥n1

years, interest rate i1 shall apply for the

following n1 years, and thereafter the

immediate annuity rate shall apply; (4)

For benefits for which the deferral

period is y years (where y is an integer

and y>n1+n2), interest rate i3 shall apply

from the valuation date for a period of

y¥n1¥n2 years, interest rate i2 shall

apply for the following n2 years, interest

rate i1 shall apply for the following n1

years, and thereafter the immediate

annuity rate shall apply.]
Federal Register / Vol. 63, No. 30 / Friday, February 13, 1998 /Rules and Regulations 7287

Rate set

For plans with a valuation

date Immediate

annuity rate

(percent)

Deferred annuities (percent)

On or after Before i1 i2 i3 n2 n2

* * * * * * *

53 03–1–98 04–1–98 4.25 4.00 4.00 4.00 7 8

Issued in Washington, D.C., on this 4th day

of February 1998.

David M. Strauss,

Executive Director,

Pension Benefit Guaranty Corporation.

[FR Doc. 98–3365 Filed 2–12–98; 8:45 am]

BILLING CODE 7708–01–P

DEPARTMENT OF DEFENSE

Office of the Secretary

32 CFR Part 199

RIN 0720–AA46

Civilian Health and Medical Program of

the Uniformed Services (CHAMPUS);

TRICARE Prime Balance Billing

AGENCY: Office of the Secretary, DOD.

ACTION: Interim final rule.

SUMMARY: This interim final rule

establishes financial protections for

TRICARE Prime enrollees in limited

circumstances when they receive

covered services from a non-network

provider. This rule is being published to

provide protection for TRICARE Prime

enrollees.

DATES: This rule is effective March 16,

1998. Public comments must be

received by April 14, 1998.

ADDRESSES: TRICARE Support Office

(TSO), Program Development Branch,

Aurora, CO 80045–6900.

FOR FURTHER INFORMATION CONTACT:

Kathleen Larkin, Office of the Assistant

Secretary of Defense (Health Affairs),

telephone (703) 695–3350.

Questions regarding payment of

specific claims under the CHAMPUS

allowable charge method should be

addressed to the appropriate TRICARE/

CHAMPUS contractor.

SUPPLEMENTARY INFORMATION:

I. Overview of the Rule

This interim final rule implements

section 731 of the FY 1996 National

Defense Authorization Act and section

711 of the FY 1997 National Defense

Authorization Act which modified 10

U.S.C. 1079(h) to provide protections for

TRICARE Prime enrollees from balance

billing situations in limited

circumstances. Each regional TRICARE

managed care support contractor is

required to establish a network of

civilian providers in areas where

TRICARE Prime (the enrollment option)

is offered. As is standard for Health

Maintenance Organizations, enrollees in

TRICARE Prime receive care from

network providers. But on occasion,

such as when a network provider is not

available, or in emergencies, they may

receive covered services from nonnetwork providers. This rule provides

protection in these situations; TRICARE

Prime enrollees will be responsible for

their copayments, but not for balance

billing by non-participating providers.

II. Rulemaking Procedures

Executive order 12866 requires

certain regulatory assessments for any

significant regulatory action, defined as

one which would result in an annual

effect on the economy of $100 million

or more, or have other substantial

impacts.

The Regulatory Flexibility Act (RFA)

requires that each Federal agency

prepare, and make available for public

comment, a regulatory flexibility

analysis when the agency issues a

regulation which would have a

significant impact on a substantial

number of small entities.

It has determined that this is not a

significant regulatory action.

The interim final rule will not impose

additional information collection

requirements on the public under the

Paperwork Reduction Act of 1995 (44

U.S.C. Chapter 55).

This rule is being issued as an interim

final rule, with comment period, as an

exception to our standard practice of

soliciting pubic comments prior to

issuance. The Assistant Secretary of

Defense (Health Affairs) has determined

that following the standard practice in

this case would be impracticable,

unnecessary, and contrary to the pubic

interest. This determination is based on

several factors. First, this change

directly implements a statutory

amendment enacted by Congress

expressly for this purpose. (See House

Conference Report 104–724, p. 762, and

House Report 104–563, p. 318) Second,

this rule implements the statutory

policy without embellishment. The rule

simply implements the unambiguous

Congressional policy of adjusting

TRICARE/CHAMPUS payment rates to

protect Prime enrollees when receiving

authorized care for nonparticipating

providers. Third, implementation of the

statutory amendment, enacted

September 23, 1996, has already been

substantially delayed because of a

separate statutory provision (section

8008 of the Department of Defense

Appropriations Act), which expired

September 30, 1997, and a further delay

is unwarranted. Fourth, TRICARE Prime

is a major ‘‘quality of life’’ program of

the Department of Defense. Its success is

of great importance to maintaining

adequate retention rates of military

personnel and, thus, the conduct of the

military affairs function of the United

States. Fifth, the unexpected imposition

of balance billing requirements on

TRICARE prime enrollees receiving

authorized care has been voiced as a

major complaint, undermining

beneficiary trust in commitments made

to Prime enrollees and ultimately the

success of the TRICARE initiative.

Public comments are invited. All

comments will be carefully considered.

A discussion of the major issues

received by public comments will be

included with the issuance of the

permanent final rule, anticipated

approximately 60 days after the end of

the comment period.

List of Subjects in 32 CFR Part 199

Claims, Health insurance, Individuals

with disabilities, Military personnel,

Reporting and recordkeeping

requirements.

Accordingly, 32 CFR part 199 is

amended as follows:

PART 199—[AMENDED]

1. The authority citation for Part 199

continues to read as follows:

Authority: 5 U.S.C. 301; 10 U.S.C. chapter

55.

2. Section 199.14 is amended by

adding paragraph (h)(1)(i)(D) to read as

follows:

§ 199.14 Provider reimbursement

methods.

* * * * *

(h) Reimbursement of Individual

Health Care Professionals and Other

Non-Institutional Health-Care Providers.

* * *

(1) Allowable charge method. * * *