AMA Wins Battle Over Cuts in Pay
U.S. Congress Acts to Stop 2007 Reimbursement Cuts for Medicare
As reported earlier, the American Medical Association opposed the proposed 5 % physician payment cut in Medicare reimbursement for 2007.
According to the AMA, approximately one million patients and physicians contacted their Congressional representatives urging them to take action on this issue.
Physicians and the AMA were highly effective in getting the word out that if this reduction in reimbursement went through for 2007, 50% of current AMA practicing physicians said they would have to refuse to take on new Medicare patients. Many physicians even indicated they might be forced to discontinue services to their current Medicare and TRICARE patients as well.
The U.S. Congress recently took action to abandon the cuts for 2007. The legislation passed keeps reimbursement rates at 2006 levels and averts any potential cuts for 2008 as well. This is only a temporary reprieve for physicians and seniors. The AMA plans to continue to work with Congress to avoid future reimbursement issues.
Congress will invoke a "pay for performance" plan with this legislation which requires physicians to improve quality of care and patient outcomes. Physicians will be required to partake in a quality reporting program which could prove to be a costly administrative venture.
The AMA will continue to work with Congress to develop the quality and performance improvement measures to meet the needs of the public as well as minimize overhead cost increases for physicians through the Physician Consortium for Performance Improvement.
