On June 21, 2011, the Senate Armed Services Committee approved a draft of National Defense Authorization Act for 2012 that would effectively end efforts by the Office of Federal Contract Compliance Programs (OFCCP) to extend their jurisdiction to hospitals that accept reimbursement through the TRICARE program.
This action comes in response to the ruling in OFCCP v Florida Hospital of Orlando where the Administrative Law Judge found that TRICARE “in-network” providers were to be considered federal government contractors and subject to Executive Order 11246 requiring an Affirmative Action Plan and allowing oversight by the OFCCP. It is important to note that, contrary to the Senate version, the House of Representatives approved its version of the bill without exemptions for TRICARE providers. If the full Senate approves the draft, the bills would need to be reconciled before a final vote.
Stay tuned to the BCG network of websites, blogs, and webinars for more on this matter.