News
Broad healthcare reform stalls, 21.2 percent payment cut pending
The result of the Massachusetts special election cost the Democrats a Senate seat and thus eliminated their 60-vote supermajority and the ability to overcome Republican filibusters. Since the House and Senate had not reconciled the broad healthcare reform bills that passed earlier, this loss of a seat means that Republicans in the Senate can essentially stop any healthcare reform bill they do not support. Democratic leaders are still considering their options – from passing piecemeal legislation containing provisions of earlier bills to considering legislation via a stricter budget process known as “reconciliation.” As of today, however, no clear course has been established.
Last week, the Senate approved legislation that will increase the federal debt limit to $1.9 trillion. Included in this legislation was a provision to reinstate “pay-go” rules mandating that Congress must offset any future increased spending with corresponding spending reductions or revenue increases. Of importance to MGMA members was the inclusion of language that, if enacted into law, provides Congress a 5 year exemption from these pay-go rules to address the Medicare physician payment cut. However, this provision does not provide any funding. Further congressional efforts are needed to address the flawed sustainable growth rate (SGR) formula. The current freeze on the 2009 Medicare conversion factor is scheduled to expire on Feb. 28.
MGMA and other physician organizations have remained steadfast throughout the consideration of healthcare reform in opposition to any payment reform that does not include a permanent repeal of the SGR. With less than one month to go before the 21.2 percent cut takes effect, it is important that members make their voices heard and contact their senators to stress the urgency for the repeal now. Please call the American Medical Association’s Grassroots hotline 800.833.6354, or visit the MGMA Advocacy Center to contact your senators now.
