**GAO-06-344R**                      Jan 13, 2006                  

-   
-   
-   
-   

    Jump To:  
-  Elder Abuse 
-  Services for Older Adults 
-  State and Local-Level Drivers and Trends 
-  State and Local Fiscal Projections 
-  Federal Borrowing 
-  Managing the Debt 
-  Summary of Funding Provisions 
-  Auditing the Government's Books 
-  Unpacking the Financial Report 
-  Highlights 
-  Recommendations 
-  Background 
-  About This Work 
-  About This Work 
-  Trends 
-  About the Center 
-  Why It's High Risk 
-  What Remains To Be Done 
-  Key Reports 
-  Newest COVID-Related Reports 
-  AI Use Cases 
-  Flood Insurance 
-  Past Pandemic-Related Reports 
-  CARES Act Oversight Reports 
-  All COVID-19 Reports 
-  Report Suspected Fraud 
-  Subjects 
-  How to Get Notified 
-  Past Reports 
-  Public Health Threats 
-  Explore the FY 2022 and 2023 Funds 
-  Status of FY22 Projects 
-  Lessons Learned 
-  Agency Reports 
-  Recent Reports 
-  Recommendations 
-  Supplemental Material 
-  Full Report 
-  Additional Data 
-  View Decision 
-  Downloads 
-  Previously Identified Actions 
-  Related Pages 
-  Associated Agencies 
-  Tough Choices and Opportunities Ahead 
-  Americas Fiscal Future Key Areas 
-  Retirement Security Key Areas 
-  Current List 
-  About The High Risk List 
-  Area Ratings 
-  Previous High Risk Products 
-  Search Federal Vacancies 
-  Past Federal Vacancies 
-  Violation Letters 
-  About the Yellow Book 
-  Advisory Council 
-  Related Resources 
-  Comment Letters 
-  Related Publications 
-  Contacts and Resources 
-  Major Issues Facing the Nation 
-  Meeting Strategic Challenges 
-  Additional Resources 
-  Resources 
-  GAO Contacts 
-  Mission Teams 
-  Operations and Staff Offices  
-  Organization Chart  
-  Why a Career at GAO? 
-  Am I Qualified? 
-  Company Culture 
-  Reasonable Accommodations 
-  Video Gallery 
-  Paid Internships 
-  Student Volunteers 
-  Professional Development Program 
-  Advancement 
-  Executive Candidate Program 
-  Summer Associates 
-  Externships 
-  Benefits 
-  Contacts 

Skip to Highlights

## Highlights

GAO reviewed the Social Security Administration's (SSA) new rule on Medicare Part D subsidies. GAO found that (1) the final rule announces how SSA will determine eligibility for premium and cost-sharing subsidies under the Medicare Part D program and includes, among other items, steps about how to apply for a subsidy and how to appeal a determination; and (2) with the exception of the required 60-day delay in its effective date, SSA complied with the applicable requirements in promulgating the rule.

## Social Security Administration: Medicare Part D Subsidies, GAO-06-344R, January 13, 2006

B-297805

January 13, 2006

The Honorable Michael B. Enzi Chairman The Honorable Edward M. Kennedy Ranking Minority Member Committee on Health, Education, Labor, and PensionsUnited States Senate

The Honorable Joe Barton Chairman The Honorable John D. Dingell Ranking Minority Member Committee on Energy and Commerce House of Representatives

The Honorable William M. Thomas Chairman The Honorable Charles B. Rangel Ranking Minority Member Committee on Ways and Means House of Representatives

Subject:*Social Security Administration: Medicare Part D Subsidies*

Pursuant to section 801(a)(2)(A) of title 5, United States Code, this is our report on a major rule promulgated by the Social Security Administration (SSA), entitled Medicare Part D Subsidies (RIN: 0960-AG03). We received the rule on December 28,  2005. It was published in the Federal Register as a final rule on December 30, 2005. 70 Fed. Reg. 77664.

The final rule announces how SSA will determine eligibility for premium and cost-sharing subsidies under the Medicare Part D program. The rule also includes, among other items, steps about how to apply for a subsidy and how to appeal a determination. 

The final rule has an announced effective date of December 30, 2005. The Congressional Review Act requires a 60-day delay in the effective date of a major rule from the date of publication in the Federal Register or receipt of the rule by Congress, whichever is later. 5 U.S.C. 801(a)(3)(A). The rule was received by Congress on December 28, 2005, and was published in the Federal Register on December  30, 2005. Therefore, the final rule does not have the required 60-day delay in its effective date. 

Enclosed is our assessment of the SSA's compliance with the procedural steps required by section 801(a)(1)(B)(i) through (iv) of title 5 with respect to the rule. Our review indicates that SSA complied with the applicable requirements.

If you have any questions about this report, please contact James W. Vickers, Assistant General Counsel, at (202) 512-8210. 

 signed

Kathleen E. Wannisky Managing Associate General Counsel

Enclosure

cc: Gregory Zwitch SSA Regulations Officer Social Security Administration

ENCLOSURE

ANALYSIS UNDER 5 U.S.C. sect. 801(a)(1)(B)(i)-(iv) OF A MAJOR RULE ISSUED BY THE SOCIAL SECURITY ADMINISTRATION ENTITLED "MEDICARE PART D SUBSIDIES" (RIN: 0960-AG03)

(i) Cost-benefit analysis

SSA did not perform a cost-benefit analysis of the final rule but directs the reader to the economic analysis in the final rule published on January 28, 2005, by the Centers for Medicare and Medicaid (70 Fed. Reg. 4454) regarding the Medicare Part D program.

(ii) Agency actions relevant to the Regulatory Flexibility Act, 5 U.S.C. sections 603-605, 607, and 609

The SSA certifies that the final rule will not have significant economic impact on a substantial number of small entities.

(iii) Agency actions relevant to sections 202-205 of the Unfunded Mandates Reform Act of 1995, 2 U.S.C. sections 1532-1535

The final rule does not contain either an intergovernmental or private sector mandate, as defined in title II, of more than $100 million in any one year.

(iv) Other relevant information or requirements under acts and executive orders

Administrative Procedure Act, 5 U.S.C. sections 551 etseq.

The final rule was issued using the notice and comment procedures found at 5 U.S.C. 553. On March 4, 2005, SSA published a Notice of Proposed Rulemaking in the Federal Register. 70 Fed. Reg. 10558. In response, SSA received comments from 22 organizations and one individual, which are discussed in the preamble of the final rule.

Paperwork Reduction Act, 44 U.S.C. sections 3501-3520

The final rule contains an information collection that is subject to review by the Office of Management and Budget (OMB) under the Paperwork Reduction Act. The collection has been approved and assigned OMB Control No. 0960-0702, expiring May 31, 2008.

Statutory authorization for the rule

The final rule is promulgated pursuant to the authority found at sections 702(a)(5) and 1860D-1, 1860D-14 and -15 of the Social Security Act (42 U.S.C. 902(a)(5), 1395w-101, 1395w-114 and -115).

Executive Order No. 12866

The final rule was reviewed by the OMB and found to be an economically significant regulatory action under the order.

Executive Order No. 13132 (Federalism)

The final rule does not have federalism implications or a substantial direct effect on the states.

## Downloads

Full Report (4 pages)

## GAO Contacts

### 

Shirley A. Jones
jonessa@gao.gov

(202) 512-5400

## Office of Public Affairs

### Media Inquiries

Sarah Kaczmarek
kaczmareks@gao.gov

(202) 512-4800

### Public Inquiries

Public Affairs
PublicAffairs@gao.gov

(202) 512-4800

## Related Pages

RelatedAppropriations LawRelatedBid ProtestsRelatedDecisions & FAQsRelatedThe Red BookRelatedContract Appeals BoardRelatedFederal Vacancies Reform ActRelatedCongressional Review Act - archivedReceive GAO Updates
    Stay informed as we add new reports & testimonies.  
        U.S. Government Accountability Office           v3.3.27 -  Column 1     -  Press Center 
  -  Contact Us 
  -  Inspector General 
  -  Restricted Reports 
-  Column 2     -  Copyright & Terms of Use 
  -  Privacy Policy 
  -  Accessibility 
  -  Sitemap 
-  Column 3     -  FOIA Requests 
  -  Scam Alerts 
  -  No FEAR Act Data 
  -  Health Care Advisory Committees