This bill would change how injured federal workers get medical care under the Federal Employees' Compensation Act. It would require each federal agency to contract with a managed care network (MCN) to provide services, appliances, and supplies except in medical emergencies. The MCNs must follow standardized treatment protocols set by the Secretary of Labor, limit fees to the Office of Workers' Compensation Programs fee schedule, keep enough local providers, regularly evaluate and if needed remove poor-performing providers, and submit annual reports on costs and outcomes. The Secretary of Labor must create a 16-member review board within 270 days to monitor MCN compliance, provider performance, and rate negotiations. The Secretary may also use predictive analytics, including artificial intelligence, to flag possibly fraudulent claims. The bill takes effect one year after enactment. The Secretary must issue regulations within six months and agencies must submit transition plans within one year. The Government Accountability Office must report to Congress on costs, fraud reduction, and administrative effects after a five-year period that begins one year after enactment.
No publicly available information on projected net cost savings or total costs. The bill requires MCNs to limit fees to the existing Office of Workers' Compensation Programs fee schedule and to report annually on cost savings. The GAO will review costs and report to Congress after the specified five-year period.
Supporters say the law will update a program that they describe as largely unchanged since 1974. The bill's text states that federal workers' compensation costs are higher than the private sector and that employer-directed medical care, standardized treatment protocols, case management, and improved fraud detection will improve outcomes, reduce costs, and speed recovery for injured employees.
No publicly available information on opponent views or objections in the bill text or provided materials.