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Wednesday, June 12, 2013

Stakeholders Weighing In On House GOP Medicare Physician Pay Fix Plan

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Comments are coming into the House Energy and Commerce Committee about its plan to revamp Medicare’s physician payment system as the panel continues to refine its proposal in hopes of having legislation on the House floor by the end of July.  

For example, specialists physicians have asked the committee to take into account their unique needs by keeping a strong fee-for-service system in place, since many specialists practice alone or in small groups and thus may not be able to participate in large group models that may be based on FFS alternatives. They also are asking for a minimum five-year period of payment stability after repeal of the sustainable growth rate formula in the current system and financial incentives for delivering quality care.  

Non-physician groups also are weighing in. Premier, Inc, for example, urged the committee to adopt a three-year period of payment stability for physicians and said it is critical that Medicare physician fee schedule reform not disrupt ongoing physician and other provider efforts to make care transformations through such mechanisms as Medicare accountable care organizations and bundled payment arrangements.  

Physicians’ Medicare reimbursement will be reduced about 25 percent in 2014 unless Congress acts. The cost of freezing physicians’ pay for 10 years has significantly dropped this year, to $139 billion, according to the Congressional Budget Office, giving hope to providers that Congress may finally fix the system, rather than continue to adopt a series of temporary fixes as it has done for the last decade.  

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