[Federal Register Volume 78, Number 140 (Monday, July 22, 2013)]
[Rules and Regulations]
[Pages 43820-43821]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-17544]


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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Centers for Medicare & Medicaid Services

42 CFR Parts 422 and 423

[CMS-4173-CN]
RIN 0938-AR69


Medicare Program; Medical Loss Ratio Requirements for the 
Medicare Advantage and the Medicare Prescription Drug Benefit Programs; 
Correction

AGENCY: Centers for Medicare & Medicaid Services (CMS), HHS.

ACTION: Final rule; correction.

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SUMMARY: This document corrects technical, typographical, and cross-
referencing errors in the final rule that appeared in the May 23, 2013 
Federal Register titled ``Medicare Program; Medical Loss Ratio 
Requirements for the Medicare Advantage and the Medicare Prescription 
Drug Benefit Programs.''

DATES: This correction document is effective on July 22, 2013.

FOR FURTHER INFORMATION CONTACT: Ilina Chaudhuri, 410-786-8628 or 
Ilina.Chaudhuri@cms.hhs.gov.

SUPPLEMENTARY INFORMATION:

I. Background

    In FR Doc. 2013-12156 of May 23, 2013 (78 FR 31284), there were a 
number of technical, typographical, and cross-referencing errors that 
are identified and corrected in the Correction of Errors section of 
this correcting document. The provisions in this correction document 
are effective as if they had been included in the document published 
May 23, 2013. Accordingly, the corrections are effective July 22, 2013.

II. Summary of Errors

     On page 31307, in Sec.  422.2401-Definitions, Non-claims 
costs, paragraphs (3) and (4) of the regulations text, we made errors 
in the parenthetical cross-references for the definition of non-claims 
cost.
     On page 31308, in Sec.  422.2420(c) Determining the MLR 
denominator, we made an error in the parenthetical cross-references for 
the regulatory requirement for the total revenue.
     On page 31310, in the table of contents for part 423 
Subpart X--Requirements for a Minimum Medical Loss Ratio, we made a 
typographical error in a section number.
     On page 31311, in Sec.  423.2410-General requirements, and 
in Sec.  423.2420-Calculation of medical loss ratio, of the regulations 
text, we made several technical errors in the regulatory requirements 
as well as typographical errors in several references.
     On page 31312, in Sec.  423.2420(c)(4) and (c)(5) of the 
regulations text, we incorrectly stated the section number for two 
parenthetical references. We also made a typographical error in the 
discussion of total revenue.

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)). However, we 
can waive this notice and comment procedure if the Secretary finds, for 
good cause, that the notice and comment process is impracticable, 
unnecessary, or contrary to the public interest, and incorporates a 
statement of the finding and the reasons therefore in the notice.
    In our view, this correcting document does not constitute a 
rulemaking that would be subject to the APA notice and comment or 
delayed effective date requirements. This correcting document corrects 
technical, typographical, and cross-referencing errors in the Medicare 
Program; Medical Loss Ratio Requirements for the Medicare Advantage and 
the Medicare Prescription Drug Benefit Programs final rule and does not 
make substantive changes to the policies or payment methodologies that 
were adopted in the final rule. As a result, this correcting document 
is intended to ensure that the regulations text of the final rule 
accurately reflects the policies adopted.
    In addition, even if this were a rulemaking to which the notice and 
comment applied, we find that there is good cause to waive such 
requirements. Undertaking further notice and comment procedures to 
incorporate the corrections in this document into the final rule would 
be contrary to the

[[Page 43821]]

public interest. Furthermore, such procedures would be unnecessary, as 
we are not altering the policies that were already subject to comment 
and finalized in our final rule. Therefore, we believe we have good 
cause to waive the notice and comment requirements.

IV. Correction of Errors

    In FR Doc. 2013-12156 of May 23, 2013 (78 FR 31284), make the 
following corrections:
    1. On page 31307, lower two-thirds of the page, second column, last 
paragraph (Sec.  422.2401--definition of non-claims costs),
    a. Line 9 (paragraph 3 of the definition of non-claims costs), the 
parenthetical cross-reference ``Sec.  422.2420(c)(2)(ii)'' is corrected 
to read ``Sec.  422.2420(c)(2)(i)''.
    b. Last line (line 12--paragraph 4 of the definition of non-claims 
costs), the parenthetical cross-reference ``Sec.  422.2420(c)(2)(i) and 
(iii)'' is corrected to read ``Sec.  422.2420(c)(2)(ii) and (iii)''.
    2. On page 31308, third column, first paragraph, Sec.  422.2420(c)-
Determining the MLR denominator, lines 11 and 12, the phrase ``in 
accordance with paragraph (c)(4) of this section'' is corrected to read 
``in accordance with paragraphs (c)(4) and (c)(5) of this section.''
    3. On page 31310, third column, 10th paragraph (table of contents 
for part 423 Subpart X), line 2, the section number ``423.2300'' is 
corrected to read ``423.2400''.
    4. On page 31311,
    a. First column, 11th paragraph (Sec.  423.2410(d)),
    (1) Line 4, the phrase ``CMS does terminate'' is corrected to read 
``CMS terminates''.
    (2) Line 5, the cross-reference ``Sec.  423.509(a)(11) and (14)'' 
is corrected to read ``Sec.  423.509(b)(1) and (d)''.
    b. Second column, first paragraph (Sec.  423.2420(b)), line 7, the 
reference ``paragraph (b)(1)(iv)'' is corrected to read ``paragraphs 
(b)(5) and (b)(6)''.
    c. Third column, third full paragraph (Sec.  423.2420(c)),
    (1) Lines 4 through 6, the phrase ``must be in accordance with 
paragraph (c)(4) of this section and equal'' is corrected to read 
``must equal''.
    (2) Line 7, the phrase ``Total revenue is as'' is corrected to read 
``Total revenue under the contract is as''.
    (3) Line 12 the phrase ``paragraph and (c)(3)'' is corrected to 
read ``and paragraph (c)(3)''.
    (4) Line 13, the phrase ``in accordance with (c)(4)'' is corrected 
to ``in accordance with paragraphs (c)(4) and (5)''.
    5. On page 31312,
    a. First column, last paragraph (Sec.  423.2420(c)(4)), line 2, the 
parenthetical cross-reference ``Sec.  422.2420(c)'' is corrected to 
read ``Sec.  423.2420(c)''
    b. Second column,
    (1) First partial paragraph, lines 1 and 2, the phrase ``were 
assumed and revenue'' is corrected to read ``were assumed and no 
revenue''.
    (2) First full paragraph (Sec.  423.2420(c)(5)), line 2, the 
parenthetical reference ``Sec.  422.2420(c)'' is corrected to read 
``Sec.  423.2420(c)''.

(Catalog of Federal Domestic Assistance Program No. 93.773, 
Medicare--Hospital Insurance; and Program No. 93.774, Medicare--
Supplementary Medical Insurance Program)

    Dated: July 16, 2013.
Jennifer M. Cannistra,
Executive Secretary to the Department, Department of Health and Human 
Services.
[FR Doc. 2013-17544 Filed 7-19-13; 8:45 am]
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