Monday, April 12, 2010

AMA Positions on SGR

You may have seen or heard of the AMA’s letter dated today indicating opposition to “the month-to-month, last-minute actions to stop Medicare physician payment cuts throughout this year.”  This most recent letter addresses the expiration of the most recent sustainable growth rate (SGR) “patch” on April 1, and legislation (H.R. 4851) pending in the Senate to extend the expired “fix” for another month, through April 30.

However, a December 15, 2009 letter from the AMA and other medical groups indicates the organizations’ “firm opposition to any proposal that would implement another short-term, one- or two-year patch to postpone the 2010 Medicare payment cuts.”  Within days after this letter was sent, the manager’s amendment to the Senate health care bill – now enacted into law – struck out the one-year SGR “fix” included in that measure.  In other words, the AMA is now criticizing Congress’ 30-day “fix” approach to physician reimbursement – even though that strategy is a direct result of the AMA’s refusal to contemplate a longer-term, paid-for SGR bill covering 2010 and/or 2011.  It’s worth pointing that contradiction out to any constituent groups that may be calling your office regarding this issue.

Also to reiterate, Republicans support legislation addressing the SGR formula – provided the legislation is paid for.  However, Republicans – and 24 Democrats in both the House and Senate – have opposed increasing the deficit by more than $200 billion as part of that effort.  At a time when the federal government is already running trillion-dollar deficits, many may view any effort to add hundreds of billions in new deficit spending – over and above the $2.6 trillion government takeover of health care – as fiscally irresponsible.