Wednesday, December 19, 2007

Medicare Cuts On Hold (for now!)

The U.S. Senate this evening passed legislation by unanimous consent that
replaces a 10.1% physician payment cut with a 0.5% increase for six
months,extends expiring rural physician payment provisions and the Medicare
physician quality reporting initiative and extends the SCHIP program
through March 31, 2009.
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Sound like good news but its NOT.
Here is the rub: The President and the Republican Senators are NOT
willing to address MEANINGFUL Medicare reform
They rejected options to reduce or eliminate Medicare Advantage
subsidies to offset the increase physician reimbursement.
Therefore the current TEMPORARY compromise can only be characterized as
anemic. The 0.5% increase is essentially a DECREASE because it does not
even come close to cover for the increase in practice expenses and the
annual inflation rate.Furthermore, in six month we have to deal again
with the issue and the outcome maybe the same or even worse.
I suggest asking our Senators the question why they are willing to use
Medicare funds for corporate subsidies (i.e. Medicare Advantage plans)
and not for the designated Medicare beneficiaries and their doctors?
Happy Holidays.
Bernd

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