From:                              MGMA Washington Connexion [mgmawashingtonconnexion@mgma.mmsend.com] on behalf of MGMA Washington Connexion [mgmawashingtonconnexion@mgma.com]

Sent:                               Monday, December 21, 2009 4:27 PM

Subject:                          12.21.09 Washington Connexion

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 Weekly Healthcare Reform Update


21.2 percent cut stopped for 60 days; Senate poised to pass healthcare reform

On Saturday, Dec. 19, the Senate followed the House and approved a 60-day freeze on Medicare payment rates, thus, temporarily delaying the scheduled 21.2 percent cut to physician reimbursement. The Senate action came as part of the FY 2010 Defense Appropriations bill, which was approved by a vote of 88-10. The language in the legislation is specific to the conversion factor only and all other 2010 policy changes to the Medicare program will become effective on Jan. 1. This afternoon, President Obama signed this bill into law.

Earlier this morning, the Senate approved a procedural vote to stop a Republican filibuster, putting the chamber on a path to approve a final Senate version of healthcare reform on Dec. 24. The 60-40 vote was strictly along partisan lines.  Senate Majority Leader Harry Reid, D-Nev., forged an agreement within the Democratic caucus on a manager’s amendment to H.R. 3590 over the weekend, which will allow the broader legislation to be approved by the full Senate. Once the legislation is finalized, the House and Senate will meet in a conference committee to resolve differences between the bills. Major differences regarding financing, abortion, and the public option must be addressed before a final piece of identical legislation can be sent back to each legislative body for consideration.

There are many differences between the House and Senate legislation of interest to medical groups. Chief among them is the fact that the House, through passage of H.R. 3961, repealed the flawed sustainable growth rate formula (SGR) and provided for a positive update for 2010, while the Senate bill does not repeal the SGR. However, the amended Senate bill includes some positive changes from the version originally introduced. It eliminates a previous provision that proposed paying for reimbursement increases to primary care and general surgery through reductions to reimbursement for other physician specialties. The bill also eliminates a proposed enrollment fee for physicians who participate in Medicare and Medicaid, a proposed cosmetic surgery tax, a state “opt-out” public option alternative and a Medicare “opt-in” for uninsured 55- to 64-year-olds. 

The bill still contains provisions that raise major concerns for MGMA. These include the failure to address the Independent Payment Advisory Board and a proposal to release Medicare data relating to physician claims to consumers. The Senate is expected to vote on final passage of their version of healthcare reform legislation on Dec. 24. 

Dec. 21, 2009

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Member Resources

Healthcare Reform Resource Center
Medicare Provider Enrollment Toolkit
Red Flags Rule Resource Center
Recovery Audit Contractors Resource Center

 


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