[Federal Register Volume 77, Number 103 (Tuesday, May 29, 2012)]
[Rules and Regulations]
[Pages 31513-31515]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-12914]


-----------------------------------------------------------------------

DEPARTMENT OF HEALTH AND HUMAN SERVICES

45 CFR Parts 155, 156, and 157

[CMS-9989-CN]
RIN 0938-AQ67


Patient Protection and Affordable Care Act; Establishment of 
Exchanges and Qualified Health Plans; Exchange Standards for Employers; 
Correction

AGENCY: Department of Health and Human Services.

ACTION: Final rule; correction.

-----------------------------------------------------------------------

SUMMARY: This document corrects technical and typographical errors that 
appeared in the final rule, interim final rule, published in the 
Federal Register on March 27, 2012, entitled ``Patient Protection and 
Affordable Care Act; Establishment of Exchanges and Qualified Health 
Plans; Exchange Standards for Employers.''

DATES: Effective Date: These corrections are effective on May 29, 2012.

FOR FURTHER INFORMATION CONTACT: Alissa DeBoy, (301) 492-4428.

SUPPLEMENTARY INFORMATION: 

I. Background

    In FR Doc. 2012-6125 of March 27, 2012, (77 FR 18310) there were 
technical and typographical errors that are identified and corrected in 
the ``Correction of Errors'' section below. The provisions in this 
correction notice are effective as if they had been included in the 
document published on March 27, 2012. Accordingly, the corrections are 
effective on May 29, 2012.

II. Summary of Errors

    On page 18327, in the preamble discussion of standards for consumer 
assistance tools, there are errors in references to the regulations 
text. The cross references to Sec.  155.200(a) and Sec.  155.200(b) are 
incorrect, and are being corrected to read Sec.  155.205(a) and Sec.  
155.205(b), respectively, which are the provisions discussing the 
Exchange call center and Web site.
    On page 18331, the preamble explains that Exchanges cannot require 
Navigators to have agent and broker licenses. However, one sentence 
implies that any licensure standards for Navigators would cause 
Navigators to be agents and brokers, which is inaccurate. The sentence 
also incorrectly implies that establishing any licensure standards 
would not be allowed, which would conflict with Sec.  
155.210(c)(1)(iii). Therefore, we are adding the word ``such'' to the 
following sentence to refer specifically to agent and broker licensure. 
We are also adding the word ``in,'' immediately preceding the citation, 
which was accidentally omitted before. The revised sentence will read 
as follows: ``Thus, establishing such licensure standards for 
Navigators would mean that all Navigators would be agents and brokers, 
and would violate the standard set forth in Sec.  155.210(c)(2) of the 
final rule that at least two types of entities must serve as 
Navigators.''
    On page 18336, the preamble discusses the potential for future 
standards related electronic notices and coordination of notices 
between Medicaid, CHIP, and the Exchanges. We indicate that future 
rulemaking will be issued for these standards. We are correcting these 
references to state that future guidance will be released to provide 
more information on electronic notices and notices coordination.
    On page 18341, in preamble discussion of privacy and security 
standards, we are correcting two errors. First, the definition of 
personally identifiable information in Sec.  155.260(a) of the proposed 
rule published on July 15, 2011, was not included in the final rule in 
order to align the definition with a memorandum released by the Office 
of Management and Budget. In the preamble, the cross reference to Sec.  
155.260(a), which does not exist in the final rule, is replaced with 
``as defined in the Office of Management and Budget Memorandum M-07-
16.''
    Second, on page 18341, the preamble uses the term ``personally 
identifiable health information.'' The privacy and security section of 
the final rule applies to ``personally identifiable information.'' 
Personally identifiable health information is a subset of this term, 
and is not the focus of the rule, as stated in the preamble. The word 
``health'' was

[[Page 31514]]

accidentally included, because the privacy and security principles from 
which the rule derives its language applies specifically to personally 
identifiable health information. However, the Exchanges final rule 
applies to the broader set of all personally identifiable information. 
We are making the correction in the preamble and also in the 
regulations text.
    On page 18344, in the preamble discussion of privacy and security 
standards, we are correcting two cross references that were not updated 
from the references in the proposed rule regarding the codification of 
section 1413(c) of the Affordable Care Act. To align the cross 
references with the correct final rule provisions, the reference to 
Sec.  155.260(b)(3) is being changed to Sec.  155.260(a)(6) and the 
reference to Sec.  155.260(c) is being changed to Sec.  155.260(e). We 
are also removing the word ``section,'' which was used in addition to 
the symbol ``Sec.  ,'' thus removing the redundancy.
    On page 18396, in the preamble discussion of the Small Business 
Health Options Program, the text incorrectly states that ``[hellip]a 
SHOP must provide a premium calculator to qualified employers.'' The 
premium calculator should be made available to the employees; 
therefore, we are correcting ``qualified employers'' to ``qualified 
employees.''
    On pages 18413 and 18414, in the preamble discussion of 
decertifying qualified health plans, the text refers twice to the 
special enrollment period in the case of QHP decertification in Sec.  
155.410, but should reference Sec.  155.420, which is the section 
outlining special enrollment periods.
    On page 18429, the preamble discusses the effective date of 
termination at the end of the 3-month grace period for individuals 
receiving advance payments of the premium tax credit. The regulations 
text states that a QHP issuer must terminate the individual's coverage 
at the end of the first month of the 3-month grace period. However, the 
preamble is inconsistent in stating that the QHP issuer ``can'' 
terminate coverage on the first day of the second month of the grace 
period. The regulations text accurately reflects the policy stating 
that QHP issuers must terminate on the last day of the first month of 
the grace period. Therefore, we are correcting the preamble to be 
consistent with the regulations text by changing the word ``can'' to 
``must'' and by aligning the termination date with the regulations 
text.
    On page 18450, we presented regulatory changes to Sec.  155.260(d), 
which outlines specifics for Exchanges in developing written policies 
and procedures regarding the collection, use, and disclosure of 
personally identifiable information. This paragraph was intended to be 
consistent with paragraph (a) of Sec.  155.260, which also applies to 
the creation of personally identifiable information. In this notice, we 
are adding the word ``creation'' to Sec.  155.260(d).
    On page 18456, we presented regulatory changes to Sec.  
155.315(f)(5)(i). Due to changes during drafting, the reference to 
paragraph (i) is incorrect, and was intended to refer to paragraph (g) 
of that section. We are correcting this reference.
    On page 18461, we presented regulatory changes to Sec.  
155.345(g)(3), which states that an Exchange cannot request 
``information of documentation'' that an individual already provided to 
a different insurance affordability program. This was a typographical 
error that should read ``information or documentation,'' to be 
consistent with preamble text and accurately communicate the standard.
    On page 18464, we presented our regulatory changes to Sec.  
155.430(c)(2), which directs Exchanges to send termination information 
to the QHP issuer and HHS ``promptly and without undue delay.'' This 
timeliness standard is consistent with the reporting of enrollment 
established in Sec.  155.400(b)(1). However, we mistakenly added 
another qualification in Sec.  155.430(c)(2) that such information be 
reported ``at such time and in such manner as HHS may specify.'' The 
latter phrase is not necessary in light of the more specific standard 
that such information be reported promptly and without undue delay.
    On page 18467, we presented our regulatory changes to Sec.  
155.1020(a) with respect to rate increase justifications. We 
inadvertently left out the word ``increase,'' and are adding it to the 
regulations text to be consistent across provisions and aligned with 
the preamble, and to more clearly communicate our intent.
    On page 18468, in Sec.  155.1080(b), we inadvertently used the word 
``meet'' instead of ``meets,'' which results in incorrect subject-verb 
agreement, and are amending this to be correct.
    On page 18469, in Sec.  156.20, in the definition of ``Level of 
coverage'', we mistakenly defined the term ``level of coverage'' by 
referring to section 1302(d)(2) of the Affordable Care Act. The bronze, 
silver, gold, and platinum levels of coverage are defined in section 
1302(d)(1) of the Affordable Care Act; therefore, we are correcting 
this error.

III. Waiver of Proposed Rulemaking

    We ordinarily publish a notice of proposed rulemaking in the 
Federal Register to provide a period for public comment before the 
provisions of a rule take effect in accordance with section 553(b) of 
the Administrative Procedure Act (APA) (5 U.S.C. 553(b)) and section 
553(d) of the APA ordinarily requires a 30-day delay in the effective 
date of final rules after the date of their publication in the Federal 
Register. These requirements may be waived if an agency finds for good 
cause that the delay is impracticable, unnecessary, or contrary to the 
public interest, and the agency incorporates a statement of the 
findings and its reasons in the rule issued.
    This notice merely corrects technical and typographic errors in the 
Exchanges final rule that was published on March 27, 2012 and becomes 
effective on May 29, 2012. The changes are not substantive to the 
Exchanges policy. Therefore, we believe that undertaking further notice 
and comment procedures to incorporate these corrections and delaying 
the effective date of these changes is unnecessary. In addition, we 
believe it is important for the public to have the correct information 
as soon as possible, and believe it is contrary to the public interest 
to delay the dissemination of it. For the reasons stated above, we find 
there is good cause to waive notice and comment procedures and the 30-
day delay in the effective date for this correction notice.

IV. Correction of Errors

    In FR Doc. 2012-6125 of March 27, 2012, (77 FR 18310), make the 
following corrections:

A. Correction of Errors in the Preamble

    1. On page 18327, in the third column--
    A. In the first full paragraph, in line 6, the cross reference to 
``Sec.  155.200(a)'' is corrected to ``Sec.  155.205(a)''.
    B. In the second full paragraph, in line 2, the cross reference to 
``Sec.  155.200(b)'' is corrected to ``Sec.  155.205(b)''.
    2. On page 18331, in the third column; in the second full 
paragraph, in line 12, add the word ``such'' before the word 
``licensure'' and the word ``in'' before ``Sec.  155.210(c)(2)''.
    3. On page 18336, in the second column; in the last paragraph--
    A. In lines 7 and 8, the phrase ``future rulemaking'' is corrected 
to read ``future guidance.''
    B. In line 10, the phrase, ``Future rulemaking'' is corrected to 
read ``Future guidance''.

[[Page 31515]]

    4. On page 18341--
    A. In the second column; in the third paragraph, in lines 26 and 
27, the term ``personally identifiable health information'' is 
corrected to read ``personally identifiable information.''
    B. In the third column; in the first partial paragraph, in line 4, 
the reference to ``Sec.  155.260(a)'' is replaced with ``the Office of 
Management and Budget Memorandum M-07-16.''
    5. On page 18344, in the second column; in the third paragraph, in 
lines 11 and 12, the references to ``Sec.  155.260(b)(3) and Sec.  
155.260(c)'' are corrected to ``Sec.  155.260(a)(6) and Sec.  
155.260(e)''.
    6. On page 18396, in the third column; in the second to last 
paragraph, in lines 9 and 10, the term ``qualified employers'' is 
corrected to ``qualified employees.''
    7. On page 18413, in the third column; in the last paragraph, in 
the first line, the cross reference to ``Sec.  155.410'' is corrected 
to ``Sec.  155.420''.
    8. On page 18414, in the first column; in the first partial 
paragraph, in the first line, the reference to ``Sec.  155.410'' is 
corrected to ``Sec.  155.420.''
    9. On page 18429, in the first column; in the first paragraph, the 
first sentence is corrected to read, ``We clarify in final Sec.  
156.270(g) that if an individual exhausts the grace period without 
settling all outstanding premium payments, then the QHP issuer must 
terminate coverage retroactively to the last day of the first month of 
the grace period.''

B. Correction of Errors in the Regulations Text


Sec.  155.260  [Corrected]

0
1. On page 18450--
0
A. In the first column; in Sec.  155.260, in paragraphs (a)(3)(i), 
(a)(3)(ii), (a)(3)(iii), (a)(3)(iv), and (a)(3)(v), the term 
``personally identifiable health information'' is corrected to read 
``personally identifiable information''.
0
B. In the second column; in Sec.  155.260, in paragraph (a)(3)(vi) and 
(a)(3)(vii), the term ``personally identifiable health information'' is 
corrected to read ``personally identifiable information''.
0
C. In the third column, in Sec.  155.260 (d) introductory text, in line 
three, add the word ``creation'' before the word ``collection''.


Sec.  155.315  [Corrected]

0
2. On page 18456, in the first column; in Sec.  155.315(f)(5)(i), in 
line 6, the reference to ``paragraph (i)'' is corrected to read 
``paragraph (g)''.


Sec.  155.345  [Corrected]

0
3. On page 18461, in the second column, in Sec.  155.345(g)(3), in line 
1, the words, ``Not request information of'' are corrected to read 
``Not request information or''.


Sec.  155.430  [Corrected]

0
4. On page 18464, in the first column; in Sec.  155.430(c)(2), in lines 
3 and 4, the words ``, at such time and in such manner as HHS may 
specify,'' are removed.


Sec.  155.1020  [Corrected]

0
5. On page 18467, in the second column; in Sec.  155.1020(a), in line 
10, the word ``increase'' is added before the word ``justifications'' 
such that the end of that sentence reads: ``* * *for which the U.S. 
Office of Personnel Management will provide a process for the 
submission of rate increase justifications.''


Sec.  155.1080  [Corrected]

0
6. On page 18468, in the second column; in Sec.  155.1080(b), in line 
6, the word ``meet'' is corrected to ``meets''.


Sec.  156.20  [Corrected]

0
7. On page 18469, in the first column; in the definition of Level of 
coverage, in line 3, the reference to ``section 1302(d)(2) of the 
Affordable Care Act'' is corrected to read ``section 1302(d)(1) of the 
Affordable Care Act''.

    Dated: May 22, 2012.
Jennifer Cannistra,
Executive Secretary to the Department.
[FR Doc. 2012-12914 Filed 5-25-12; 8:45 am]
BILLING CODE 4120-01-P