Document headings vary by document type but may contain
                    the following: the agency or agencies that issued and signed a document
the number of the CFR title and the number of each part
                      the document amends, proposes to amend, or is directly
                      related to
the agency docket number / agency internal file number
the RIN which identifies each regulatory action listed in
                      the Unified Agenda of Federal Regulatory and Deregulatory
                      Actions See the
                    Document Drafting Handbook
                    for more details.
 Department of Defense Office of the Secretary
 AGENCY: Department of Defense.
 ACTION: Notice of updated mental health per diem rates.
 SUMMARY: This notice provides for the updating of institution-specific per diem rates for high-volume providers and regional per diem rates for low volume providers; the updated cap per diem for high-volume providers; the beneficiary per diem cost share amount for low-volume providers for FY 2008 under the TRICARE Mental Health Per Diem Payment System; and the updated per diem rates for both full-day and half-day TRICARE Partial Hospitalization Programs for FY 2008.
 DATES: *Effective Date:*
                         The FY 2008 rates contained in this notice are effective for services occurring on or after October 1.
 FOR FURTHER INFORMATION CONTACT: Christine Covie, Office of Medical Benefits and Reimbursement Systems, TRICARE Management Activity, telephone (303) 676-3841.


SUPPLEMENTARY INFORMATION: The final rule published in the 
                    **Federal Register**
                     on September 6, 1988, (53 FR 34285) set forth reimbursement changes that were effective for all inpatient hospital admissions in psychiatric hospitals and exempt psychiatric units occurring on or after January 1, 1989. The final rule published in the 
                    **Federal Register**
                     on July 1, 1993, (58 FR 35-400) set forth maximum per diem rates for all partial hospitalization admissions on or after September 29, 1993. Included in these final rules were provisions for updating reimbursement rates for each federal FY. As stated in the final rules, each per diem shall be updated by the Medicare update factor for hospitals and units exempt from the Medicare Prospective Payment System. For fiscal year 2008, Medicare has recommended a rate of increase of 3.4 percent for hospitals and units excluded from the prospective payment system. TRICARE will adopt this update factor for FY 2008 as the final update factor. Hospitals and units with hospital specific rates (hospitals and units with high TRICARE volume) and regional specific rates for psychiatric hospitals and units with low TRICARE volume will have their TRICARE rates for FY 2007 updated by 3.4 percent for FY 2008. Partial hospitalization rates for full-day and half-day programs will also be updated by 3.4 percent for FY 2008. The cap amount for high-volume hospitals and units will also be updated by the 3.4 percent for FY 2008. The beneficiary cost share for low volume hospitals and units will also be updated by the 3.4 percent for FY 2008. Consistent with Medicare, the wage portion of the regional rate subject to the area wage adjustment is 75.788 percent for FY 2008. The following reflect an update of 3.4 percent for FY 2008. Regional Specific Rates for Psychiatric Hospitals and Units With Low TRICARE Volume United States Census Region
Rate @*Northeast:*New England
$707Mid-Atlantic
681*Midwest:*East North Central
588West North Central
555*South:*South Atlantic
701East South Central
750West South Central
639*West:*Mountain
638Pacific
754Puerto Rico
481@ Wage portion of the rate, subject to the area wage adjustment—75.788.
 *Beneficiary cost share:*
                     Beneficiary cost-share (other than dependents of Active Duty members) for care paid on the basis of a regional per diem rate is the lower of $187 per day or 25 percent of the hospital billed charges effective for services rendered on or after October 1, 2007. *Cap Amount:*
                     Updated cap amount for hospitals and units with high TRICARE volume is $889 per day for FY 2008. The following reflect an update of 3.4 percent for FY 2008. Partial Hospitalization Rates for Full-Day and Half-Day Programs
[Fiscal year 2007]
United States Census Region
Full-day rate 
                             (6 hours or more)
Half-day rate 
                             (3-5 hours)*Northeast:*New England (Maine, N.H., Vt., Mass., R.I., Conn.)
$284
$214*Mid-Atlantic:*(N.Y., N.J., Penn.)
308
232*Midwest:*East North Central (Ohio, Ind., Ill., Mich., Wis.)
271
203*West North Central:*(Minn., Iowa, Mo., N.D., S.D., Neb., Kan.)
271
203*South:*South Atlantic (Del., Md., D.C., Va., W.Va., N.C., S.C., Ga., Fla.)
292
219*East South Central:*(Ky., Tenn., Aa., Miss.)
315
237*West South Central:*(Ark., La., Texas, Okla.)
315
237*West:*Mountain (Mon., Idaho, Wyo., Col., N.M., Ariz., Utah, Nev.)
318
240Pacific (Wash., Ore., Calif., Alaska, Hawaii)
312
234*Puerto Rico*
203
153
 
 
 The above rates are effective for services rendered on or after October 1, 2007. Dated: September 25, 2007. L.M. Bynum, Alternate OSD Federal Register Liaison Officer, Department of Defense.


[FR Doc. 07-4829 Filed 9-28-7; 8:45 am] BILLING CODE 5001-06-M