Updated 11/30/2010
President Signs 31 day Medicare 'Doc Fix' into Law
On Monday, November 29, 2010, the U.S. House of Representatives approved, by a voice vote, a 31 day temporary fix that will avert a 23 percent cut in payments to physicians who treat Medicare patients. Since this bill was already passed by the Senate before the Thanksgiving recess (see below), it was sent directly to U.S. President Barack Obama for his signature.
The White House released the following statement by the Press Secretary on Medicare Payments to Doctors:
“President Obama is pleased Congress has passed legislation that will prevent payment cuts to doctors from taking effect next month. The President urges Congress to now pass a one-year extension to ensure seniors maintain access to the doctor they know and trust over the coming year. Passing this one-year extension is important, but it is no substitute for a long-term fix. The President has long called for a sustainable solution, and we look forward to working with Congress to further address this matter.”
Senate Passes a 31-Day Temporary Fix; House to Vote on November 29
On November 18, 2010, the U.S. Senate approved by unanimous consent the Physician Payment and Therapy Relief Act of 2010, a 31-day payment "patch" to the Medicare sustainable growth rate (SGR) formula that would temporarily avert a 23 percent cut to physicians slated for December 1 and continue the existing 2.2 percent update through December 31, 2010. The cost of this temporary fix would be fully offset.
Earlier that day Senator Max Baucus (D-MT) and Senator Charles "Chuck" Grassley (R-IA), respectively the Chairman and Ranking Member of the Senate Finance Committee, announced that they are working together to secure funds to pay for a 12-month fix and that they felt confident they would find "a mutually agreeable" solution before the end of the year.
Final action on the 31-day extension requires action by the U.S. House of Representatives, which has already adjourned for the Thanksgiving holiday. When Congress reconvenes the week of November 29, it's expected that the House will pass the extension prior to December 1.
The Society has long advocated for a permanent repeal of the SGR formula and the establishment of a new payment system that will take into account the actual cost of providing care to Medicare patients. Even if passed by the House, this patch is a delay; earlier this year U.S. President Barack Obama signed into law another temporary fix that averted a 21.3 percent cut in payments. Without a permanent solution, physicians treating Medicare patients will face a 25 percent cut on January 1, 2011 and an estimated 33 percent cut in 2012.
