CMS Proposes Big Cuts for 2008 Medicare Payments

From ACEP:

The now yearly controversy over cuts to Medicare payments has started again, and without congressional action, emergency physicians could see a 12% decrease in Medicare payments starting in 2008. The 2007 Medicare Trustees report predicts total cuts of approximately 40% for all physician payments by 2016.

Key policy makers on Capitol Hill expressed concern about the cuts and are working with ACEP, the AMA, and others in the physician community to develop a legislative solution for the next several years. The temporary fix would also allow Congress time to develop a comprehensive plan to change the sustainable growth rate (SGR) formula, the flawed metric used to set payment rates.

The legislation could reach the floor of the House before the August recess or sometime in September. Rural legislators are also considering extensions of physician payment bonuses that expire at the end of this year.