As 2008 Arrives, the Medicare Cut Does Not - Congress' BandAid Fix

The close of the 2007 legislative session saw Congress pass a bill that simply postpones the planned 10.1% cut in Medicare reimbursement rates with an increase of .5%. While this is a (very) short term victory for your practice, questions arise as to what will happen in six months, when, on July 1, physicians will face a potential 10.6% cut once again. TMA reports Frank Pallone (D-N.J.), Chair of the House Energy and Commerce Health Subcommittee, "told Congress Daily and CQ Today that he expects Congress to pass another short-term delay of the fee cut in June because President Bush is opposed to offsets, such cutting the Medicare Advantage program or raising tobacco taxes, that would stop the cut for a longer period." So we very well might be up for more of the same come July 1.

The Dallas County Medical Society, along with the TMA and AMA have already started to again attack this issue to ensure that we will not have to cross this rickety bridge more times in the future.

The Medicare participation decision period has also been extended for 45 days. If you were on the fence and could not decide before the December 31st deadline, fret not, because the new deadline is now February 15th. However, sources at CMS do not see the enrollment period reopening around July 1, so take into consideration the looming cut (again) when making your decision.

Read:
TMA - Congress Punts on Medicare Payments
AMA - What Happened, Why and What's Ahead Next Year
AMA - What to Expect in Your Practice