Medicare - 'Deep Frustration And Dismay Over Failed Legislative Process' Expressed By American College Of Physicians

Main Category: Medicare / Medicaid / SCHIP
Article Date: 28 Jun 2008 - 1:00 PST

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"Deep frustration and dismay over a failed legislative process that will result in a 10.6 percent Medicare physician payment cut going into effect on July 1," was the immediate reaction of the American College of Physicians (ACP) today. Speaking for the 126,000-member organization, Jeffrey P. Harris, MD, FACP, president of ACP, explained that, late yesterday, Congress recessed for the Independence Day holiday without passing legislation to avert the cut. It won't return until the week of July 7. In the meantime, physician claims for Medicare patients will be subjected to the 10.6 percent cut.

"Congress's inability to agree on legislation to stop the cut came despite votes by a lopsided majority of legislators for a bill, championed by ACP, which would have maintained current payment rates for the rest of this year and also replaced another scheduled cut in 2009 with a positive update," Dr. Harris told ACP members today.

The bill, H.R. 6331, which passed the House of Representatives earlier this week with a huge bipartisan majority, would have continued current payment rates through the end of this year. It also would have provided a 1.1 percent update on January 1, 2009 in lieu of yet another scheduled Medicare payment cut of 5.4 percent. It made other ACP-supported improvements in Medicare payment and coverage policies: increased Medicare payments for internists' office visits, increased funding of a Medicare medical home demonstration project, expanded coverage of preventive services, and phased out of the higher co-payments for mental health benefits.

"It is unfortunate that opposition from a minority of lawmakers and the White House to reducing overpayments to Medicare Advantage plans, and using these savings to improve traditional Medicare, was the basis for blocking action in the Senate." Dr. Harris pointed out. "Thousands of internists, including many primary care physicians in smaller practices, told their members of Congress that the 10.6 percent cut would have a devastating impact on their practices and their patients."

ACP already is mounting an aggressive campaign to reverse the cuts and provide a longer-term solution. "As Congress goes home for the Fourth of July break, we must insist that they declare their independence from Washington gridlock and immediately pass legislation, upon their return to Washington, to restore Medicare payments and assure positive updates going forward," Dr. Harris continued.

ACP will urge that Congress:

-- Immediately upon return from the recess reverse the 10.6 percent cut and make it retroactive to July 1, so that no payments end up being cut as a result of Congress' inaction.

-- Provide a positive payment update on January 1 in lieu of another scheduled 5.4 percent cut.

-- Change the way Medicare applies budget neutrality adjustments for physician payments, resulting in an increase in the relative value units (and overall Medicare payments) for office visits and other evaluation and management services.

-- Provide additional funding for the Medicare medical demonstration project.

Also, ACP will once again ask for the help of its members in informing Congress, patients, and the public about the unacceptable impact of the cut.

"Congress needs to understand that many internists are close to despair and will have to close their practices if the cut remains in effect. Going forward, though, Congress must do more than just stop the SGR cuts," Dr. Harris vowed. "Comprehensive reforms are needed to once again make internal medicine and primary care the top choices of our best and brightest young people, and to sustain the committed internists who are struggling to keep their practices open when Medicare doesn't even cover their overhead."

ACP members include 125,000 internal medicine physicians (internists), related subspecialists, and medical students. Internists specialize in the prevention, detection, and treatment of illness in adults.

www.acponline.org