Book Description

Since fiscal year 1994, Congress has appropriated nearly $1 billion for the Uniformed Services Treatment Facilities (USTF) to deliver health care to what now totals 124,000 beneficiaries. In recent years, Congress has grown concerned about the rising cost to treat USTF members, in part because some members retain dual eligibility and unrestricted access to other government health care services, such as Medicare and Defense Department (DOD) hospitals. Congress directed DOD in 1991 to reform the USTF program by introducing a managed care program. As DOD begins to implement its new nationwide managed care program, known as TRICARE, questions about the program's future persist. This report discusses (1) whether unnecessary costs result from USTF members' use of other federally funded health care sources and (2) other issues that need to be considered as Congress deliberates reauthorization of the USTF program.