2010-03-02
The 21 percent Medicare physician payment cut that began March
1 has been stopped. After much delay, the Senate passed legislation (HR
4691) that extends the CY 2009 Medicare physician payment level through the end
of March. Senator Jim Bunning (R-KY), who had prevented passage of this measure,
backed down late March 2, allowing passage of the legislation. On
February 25, the House of Representatives had passed this legislation which
also includes extensions for unemployment benefits, and highway improvement
projects.
The Centers for Medicare and Medicaid Services (CMS) will
now resume payment of Medicare claims for March. CMS had announced that
it would hold claims for the first 10 days of this month providing additional
time for the Congress to act before the 21 percent reduction in payment would
be implemented.
Physicians still face a 21 percent payment cut April 1
unless further legislation providing another temporary or permanent Sustainable
Growth Rate (SGR) fix is passed this month. The SGR is a formula that
sets overall targets in order to hold down spending on Medicare Part B
physician services. Payment rates are adjusted every year to reflect
differences between actual spending and the target. Since 2002, spending has
exceeded the target, resulting in payment cuts; beginning in 2003, Congress has
implemented temporary measures to avert the cuts.
ASH
has been advocating that Congress pass a permanent fix of the SGR so that
physicians are assured of adequate and uninterrupted compensation for their
work. The Society launched several grassroots campaigns in which hundreds
of letters from ASH members were sent to Congress, has met with many
congressional offices, and has included this issue as one of the priority
issues to discuss with Congress during the Government Affairs Committee Capitol
Hill Day March 4. ASH thanks all of its members who have participated in
these campaigns and will continue to keep the membership apprised of
developments on this issue.
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