On March 28, 2014, the OFCCP withdrew its jurisdictional Complaint against Florida Hospital of Orlando after several years of litigation. OFCCP alleged it had jurisdiction to conduct an audit because the Hospital participated in the TRICARE program; the Hospital challenged the Agency's jurisdiction. Due to the withdrawn Complaint, the Department of Labor's ALJ dismissed the case on April 1.
This recent OFCCP withdrawal was sparked by the Agency's agreement with Congress to create a five-year moratorium on affirmative action obligations for healthcare providers that participate in the TRICARE program. As referenced in our previous alert, the OFCCP will administratively close any open or scheduled audits against healthcare providers if the sole basis for jurisdiction was TRICARE. Dismissing this jurisdictional Complaint against Florida Hospital of Orlando is the first of such closures the health care community can expect to see over the next several weeks.