IB 

Union Calendar No. 633 

114TH CONGRESS 

2D SESSION H. R. 5458 

[Report No. 114–809, Part I] 

To provide for coordination between the TRICARE program and eligibility 

for making contributions to a health savings account, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JUNE 13, 2016 

Mr. STEWART introduced the following bill; which was referred to the Committee on Ways and Means, and in addition to the Committee on Armed 

Services, for a period to be subsequently determined by the Speaker, in 

each case for consideration of such provisions as fall within the jurisdiction of the committee concerned 

NOVEMBER 14, 2016 

Additional sponsors: Mr. ROSKAM, Mr. BLUMENAUER, Mr. BOUSTANY, and 

Ms. GABBARD

NOVEMBER 14, 2016 

Reported from the Committee on Ways and Means with an amendment 

[Strike out all after the enacting clause and insert the part printed in italic] 

NOVEMBER 14, 2016 

The Committee on Armed Services discharged; committed to the Committee 

of the Whole House on the State of the Union and ordered to be printed 

[For text of introduced bill, see copy of bill as introduced on June 13, 2016] 


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A BILL 

To provide for coordination between the TRICARE program 

and eligibility for making contributions to a health savings account, and for other purposes. 


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1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Veterans TRICARE 

5 Choice Act of 2016’’. 

6 SEC. 2. COORDINATION BETWEEN TRICARE PROGRAM AND 

7 ELIGIBILITY TO MAKE CONTRIBUTIONS TO 

8 HEALTH SAVINGS ACCOUNTS. 

9 (a) IN GENERAL.—Section 223(c)(1)(B) of the Inter10 nal Revenue Code of 1986 is amended by striking ‘‘and’’ 

11 at the end of clause (ii), by striking the period at the end 

12 of clause (iii) and inserting ‘‘, and’’, and by adding at the 

13 end the following new clause: 

14 ‘‘(iv) coverage under the TRICARE 

15 program under chapter 55 of title 10, 

16 United States Code, for any period with re17 spect to which an election is in effect under 

18 section 1097e of such title providing that 

19 the individual is ineligible to be enrolled in 

20 (and receive benefits under) such program.’’. 

21 (b) PROVISIONS RELATING TO ELECTION OF INELIGI22 BILITY UNDER TRICARE.— 

23 (1) IN GENERAL.—Chapter 55 of title 10, United 

24 States Code, is amended by inserting after section 

25 1097d the following new section: 


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1 ‘‘§ 1097e. TRICARE program: election of eligibility 

2 ‘‘(a) ELECTION.—Beginning January 1, 2017, a 

3 TRICARE-eligible individual may elect at any time to be 

4 ineligible to enroll in (and receive any benefits under) the 

5 TRICARE program. 

6 ‘‘(b) CHANGE OF ELECTION.—(1) If a TRICARE-eligi7 ble individual makes an election under subsection (a), the 

8 TRICARE-eligible individual may later elect to be eligible 

9 to enroll in the TRICARE program. An election made 

10 under this subsection may be made only during a special 

11 enrollment period. 

12 ‘‘(2) The Secretary shall ensure that a TRICARE-eli13 gible individual who makes an election under subsection (a) 

14 may efficiently enroll in the TRICARE program pursuant 

15 to an election under paragraph (1), including by maintain16 ing the individual, as appropriate, in the health care enroll17 ment system under section 1099 of this title in an inactive 

18 manner. 

19 ‘‘(c) PERIOD OF ELECTION.—If a TRICARE-eligible 

20 individual makes an election under subsection (a), such 

21 election shall be in effect beginning on the date of such elec22 tion and ending on the date that such individual makes 

23 an election under subsection (b)(1) to enroll in the 

24 TRICARE program. 

25 ‘‘(d) HEALTH SAVINGS ACCOUNT PARTICIPATION.—(1) 

26 For provisions allowing participation in a health savings 


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1 account in connection with coverage under a high deductible 

2 health plan during the period that the election under sub3 section (a) is in effect, see section 223(c)(1)(B)(iv) of the 

4 Internal Revenue Code of 1986. 

5 ‘‘(2) The Secretary shall submit to the Commissioner 

6 of Internal Revenue the name of, and any other information 

7 that the Commissioner may require with respect to, each 

8 TRICARE-eligible individual who makes an election under 

9 subsection (a) or (b), not later than 90 days after such elec10 tion, for purposes of determining the eligibility of such 

11 TRICARE-eligible individual for a health savings account 

12 described in paragraph (1). 

13 ‘‘(e) RECORDS.—The Secretary shall ensure that a 

14 TRICARE-eligible individual who makes an election under 

15 subsection (a) is maintained on the Defense Enrollment Eli16 gibility Reporting System, or successor system, regardless 

17 of whether the individual is eligible for the TRICARE pro18 gram during the period of such election. 

19 ‘‘(f) PROVISION OF INFORMATION.—The Secretary 

20 shall provide to each TRICARE-eligible individual who 

21 seeks to make an election under subsection (a) information 

22 regarding— 

23 ‘‘(1) health savings accounts in connection with 

24 coverage under a high deductible health plan de25 scribed in subsection (d)(1), including a comparison 


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1 of such health saving accounts and the health care 

2 benefits the individual is eligible to receive under the 

3 TRICARE program; and 

4 ‘‘(2) changing such an election under subsection 

5 (b)(1). 

6 ‘‘(g) ANNUAL REPORT.—Not later than 60 days after 

7 the end of each fiscal year, the Secretary shall submit to 

8 the congressional defense committees a report on elections 

9 by TRICARE-eligible individuals under this section that 

10 includes the following: 

11 ‘‘(1) The number of TRICARE-eligible individ12 uals, as of the date of the submittal of the report, who 

13 are ineligible to enroll in (and receive any benefits 

14 under) the TRICARE program pursuant to an elec15 tion under subsection (a). 

16 ‘‘(2) The number of TRICARE-eligible individ17 uals who made an election described under subsection 

18 (a) but, as of the date of the submittal of the report, 

19 are enrolled in the TRICARE program pursuant to 

20 a change of election under subsection (b). 

21 ‘‘(h) DEFINITIONS.—In this section: 

22 ‘‘(1) The term ‘TRICARE-eligible individual’ 

23 means an individual who is— 

24 ‘‘(A) eligible to be a covered beneficiary en25 titled to health care benefits under the TRICARE 


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1 program (determined without regard to this sec2 tion); and 

3 ‘‘(B) not serving on active duty in the uni4 formed services. 

5 ‘‘(2) The term ‘special enrollment period’ means 

6 the period in which a beneficiary under the Federal 

7 Employees Health Benefits program under chapter 89 

8 of title 5 may enroll in or change a plan under such 

9 program by reason of a qualifying event or during an 

10 open enrollment season. For purposes of this section, 

11 such qualifying events shall also include events deter12 mined appropriate by the Secretary of Defense, in13 cluding events relating to a member of the armed 

14 forces being ordered to active duty.’’. 

15 (2) CONFORMING AMENDMENT.—The table of sec16 tions at the beginning of chapter 55 of such title is 

17 amended by inserting after the item relating to sec18 tion 1097d the following new item: 

‘‘1097e. TRICARE program: election of eligibility.’’. 

19 (c) EFFECTIVE DATE.—The amendments made by sub20 section (a) shall apply to months beginning after December 

21 31, 2016. 


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Union Calendar No. 633 

114TH CONGRESS 

2D SESSION H. R. 5458 

[Report No. 114–809, Part I] 

A BILL 

To provide for coordination between the TRICARE 

poses. to a health savings account, and for other purprogram and eligibility for making contributions 

NOVEMBER 14, 2016 

Reported from the Committee on Ways and Means with 

an amendment 

NOVEMBER 14, 2016 

The Committee on Armed Services discharged; committed 

the Union and ordered to be printed to the Committee of the Whole House on the State of 


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