New York Times article re: potential medicare cuts

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Brougham

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This is an article from Sundays New York Times. This thread maybe better suited for the health care policy forum but I figured that all attendings/residents/med students should be aware of what is currently going on in congress. For those of you that don't want to read the whole article I have bolded the part that I think should be most concerning to all of us. Unfortunately, this is for real. They (i.e. CMS, the Bush administration, and others....like the insurance industry) are actually proposing a 40% reduction in medicare payments to Physicians by 2016. Regardless of your politics I urge you, your families and friends to write to your congressional representatives and tell them that this is not acceptable. If physicians do not start speaking up and getting involved in healthcare reform (which is going to happen whether we like it or not) we are all in big trouble.




WASHINGTON, July 22 — After a rare bipartisan agreement in the Senate to expand insurance coverage for low-income children, House Democrats have drafted an even broader plan that also calls for major changes in Medicare and promises to intensify the battle with the White House over health care.
President Bush has threatened to veto what he sees as a huge expansion of the children’s health care program, which he describes as a step “down the path to government-run health care for every American.” The House measure calls for changes that the administration will probably find even more distasteful, including cuts in Medicare payments to private health plans.

Like the bill approved last week 17 to 4 in the Senate Finance Committee, the House bill would increase tobacco taxes to help finance expansion of the Children’s Health Insurance Program.

House Democrats hope to portray the issue as a fight pitting the interests of children and older Americans against tobacco and insurance companies. The White House says the Democratic proposals would distort the original intent of the children’s program, cause a big increase in federal spending and adversely affect older Americans who are happy with the extra benefits they receive from private health plans.

By packaging Medicare with the children’s health program, Democrats say, they have built a strong intergenerational coalition that could help them overcome a presidential veto. The House bill has already drawn support from two powerful groups, AARP and the American Medical Association, in part because it would prevent cuts in Medicare payments to doctors. But the House bill is likely to meet fierce resistance from some Republicans because it is more costly than the Senate bill and could undermine private Medicare health plans, which have been championed by Republicans for a decade.

The proposal comes as health care has risen to the top of the domestic agenda. Presidential candidates from both parties are searching for ways to overhaul the health care system, control costs and address the needs of the uninsured.

Lawmakers say they see an urgent need for action. The Children’s Health Insurance Program is set to expire on Sept. 30, and Medicare payments to doctors will be cut by 10 percent on Jan. 1 if Congress does not act.
On Sunday, House Democrats said that they would unveil their bill in the next few days and that they expected to push it through the House next week, before Congress leaves town for a monthlong summer recess.

Under the bipartisan Senate plan, the federal government would increase spending on children’s coverage by $35 billion over the next five years, for a total of $60 billion. House Democrats want to increase spending by $50 billion, which is 10 times the increase sought by Mr. Bush.
Representative Charles B. Rangel, the New York Democrat who is chairman of the Ways and Means Committee, said the House bill would “reverse the Republican drive to privatize Medicare,” by reducing payments to private health plans that care for 8 million of the 43 million Medicare beneficiaries.
Proponents of the private plans, offered by companies like UnitedHealth and Humana, say they provide more benefits than traditional Medicare.
But the nonpartisan Congressional Budget Office said the government paid the private plans, on average, 12 percent more than it would have cost to care for the same people in traditional Medicare. Moreover, it said, payments to the fastest-growing type of plan, known as private fee-for-service plans, are 19 percent higher than the cost of traditional Medicare.
The House bill would gradually reduce these payments so that Medicare would pay the same amount, regardless of whether a beneficiary was in a private plan or in traditional Medicare.

AARP, which represents nearly 39 million older Americans, and the American Medical Association said they would begin running television advertisements on Monday to secure passage of the House bill.
The bill, known as the Children’s Health and Medicare Protection Act, would block impending cuts in Medicare payments to doctors, giving them a modest increase in fees in each of the next two years while Congress tries to devise a new payment policy.

Under existing law, according to the latest annual report of the Medicare trustees, Medicare payments to doctors would be cut by 10 percent in 2008 and about 5 percent in each of the next eight years, for a cumulative reduction of more than 40 percent by 2016.

In the Senate Finance Committee, 6 Republicans joined 11 Democrats in defying Mr. Bush’s veto threat. The House bill was developed entirely by Democrats, who hope to win support from some moderate Republicans.
Cigarette makers are fighting the proposed increase in tobacco taxes, while insurers are lobbying against cuts in their Medicare payments.

“Cuts of this size would mean the end of a lifeline for many seniors,” said Karen M. Ignagni, president of America’s Health Insurance Plans, a trade associationMichael J. Tuffin, executive vice president of the association, described the insurance industry’s “grass-roots strategy” to oppose the cuts in a recent e-mail message to member companies. Mr. Tuffin said “field operatives will organize small gatherings of seniors across the country” and rent minivans to take them to the district offices of House members, to “speak out against the cuts.”

Senator Jon Kyl, Republican of Arizona, said last week that the cost of the Democratic proposals was unsustainable. “We are making promises we can’t keep,” Mr. Kyl said.

In addition to expanding health care for children and curbing payments to private insurers, the House bill includes these provisions, as described in a written summary of the legislation and interviews with lawmakers:

¶ It would be easier for low-income Medicare beneficiaries to get additional help. Congress would simplify application procedures and relax the strict limits on assets, which now disqualify many retirees with modest savings.
¶The secretary of health and human services would be allowed to expand Medicare coverage of preventive services like certain disease-detection screenings. To encourage use of these benefits, Congress would eliminate most co-payments and other charges.
¶Medicare would pay primary care doctors, including internists and family physicians, to coordinate the care of some people in traditional Medicare. Researchers say such coordination improves care and saves money, especially for people with chronic diseases who may be seeing six or eight doctors.
¶State insurance commissioners would be given more power to regulate marketing by agents and brokers selling private health plans to Medicare beneficiaries. State officials and consumer advocates say that some people have been tricked into enrolling in such plans by agents who use deceptive sales tactics.
Congress would abolish a provision of the 2003 Medicare law that requires the president to propose changes in Medicare to limit its reliance on general revenue. Democrats fear that this requirement will be used to justify cuts in benefits or in payments to doctors or other health care providers.
In addition, the House bill would prohibit private Medicare plans from charging higher co-payments than traditional Medicare.
On Sunday, the National Governors Association, at its annual meeting, in Traverse City, Mich., declared that “urgent action is needed” to bolster the children’s health program. “Defaulting to a series of temporary extensions of the program would be untenable for states and the millions of children who rely on the program,” the governors said in letters to President Bush and Congress.

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40% reduction? LMAO. There is no way that will happen and if it does then prepare for ATLAS SHRUGGED and mounds of dead elderly piling up on city streets.

Maybe we can find a way to turn the baby boomers into fuel.

2 BIRDS, 1 STONE.
 
The way I'm reading the article is that the bill under question will actually prevent the medicare cuts - the cuts will occur under the current policy.

See here
the article above said:
The bill, known as the Children's Health and Medicare Protection Act, would block impending cuts in Medicare payments to doctors, giving them a modest increase in fees in each of the next two years while Congress tries to devise a new payment policy.

the next line in the story is the line you highlighted "Under existing law..." etc, etc

Maybe I've read it wrong.

jd
 
The 40% cuts are due to an accumulation of budget cuts under the "Sustained Growth Rate" formula used by medicare. These cuts get lobbied away every year.
 
And there are still people advocating Universal Healthcare on this board? Wake up and smell the coffee guys: Decreased reimbursements for MORE work leads to decreased quality of patient care and pissed off doctors. That's what government involvement and regulation does for our industry. You really want that? Move to Europe. Fight for decreased government intervention, and more free market solutions. Your sanity and your patients depend on it.
 
There are many happy physicians in single payor systems. And the request for all that do not have the same views as you to move to another country is as un-American as any solution anyone could prescribe.

As in any medical issue, varying viewpoints are necessary to come up with the best solution. Having dissenters move away is the worst way to come up with the best plan. What we have doesn't work. What we all want is the same - great patient care, high technology, cutting edge research, majority coverage, and a comfortable living for providers. We may disagree on the way, but we should be more open to others' ideas.

Nobody wants a worse life, worse patient care, or a lessening of research. We all just have different ideas of how to get there. Regardless of if you think others are wrong are right, the best way to get there is to listen to all ideas, see what works in comparable systems, and come to a best possible outcome.

-S
 
There are many happy physicians in single payor systems..... What we have doesn't work. What we all want is the same - great patient care, high technology, cutting edge research, majority coverage, and a comfortable living for providers. We may disagree on the way, but we should be more open to others' ideas...Nobody wants a worse life, worse patient care, or a lessening of research. We all just have different ideas of how to get there.
-S
SimulD,
do you think this is possible in a single payer system?
 
If the dissenters are socialists, then yes, it's best if they move away. :laugh:

Nah, you're right: We all want the same end result, and the system MUST change. It just amazes me that some people still hold to the notion that the government can a) do things better and b) improve efficiency in healthcare by removing "the free market". What we see in this article is just a small taste of what we'll get if medicine goes socialized. Do we really want to be dictated what we can and can't charge, or can and can't do by some bureaucrat in D.C.? Right now, it's a combo of both D.C. and insurance guys. Let's give the patients and the physicians more choice by opening up the market, not closing it down: The free market always finds the best solution, every time.

There are many happy physicians in single payor systems. And the request for all that do not have the same views as you to move to another country is as un-American as any solution anyone could prescribe.

As in any medical issue, varying viewpoints are necessary to come up with the best solution. Having dissenters move away is the worst way to come up with the best plan. What we have doesn't work. What we all want is the same - great patient care, high technology, cutting edge research, majority coverage, and a comfortable living for providers. We may disagree on the way, but we should be more open to others' ideas.

Nobody wants a worse life, worse patient care, or a lessening of research. We all just have different ideas of how to get there. Regardless of if you think others are wrong are right, the best way to get there is to listen to all ideas, see what works in comparable systems, and come to a best possible outcome.

-S
 
Right now, it's a combo of both D.C. and insurance guys. Let's give the patients and the physicians more choice by opening up the market, not closing it down: The free market always finds the best solution, every time.

1) Don't assume the 'best' solution will be the one thats best for all.

2) How can physicians in this country expect any change that benefits them when the only people who are willing to take a stand are the insurance companies, lawyers and patients with out coverage?

Honestly I'm all for screwing over the insurance companies and taking away their free market BS. At the end of the day those insurance companies care mostly about themselves and their investors on wall street. The last people they care about are the patients and health care providers.

It's funny how the people trying to make up the legislation that affects health care the most, have no idea about the inner workings of health care and yet at the same time most doctors won't even take the time to write their local congress man/woman.
 
If the dissenters are socialists, then yes, it's best if they move away. :laugh:

Nah, you're right: We all want the same end result, and the system MUST change. It just amazes me that some people still hold to the notion that the government can a) do things better and b) improve efficiency in healthcare by removing "the free market". What we see in this article is just a small taste of what we'll get if medicine goes socialized. Do we really want to be dictated what we can and can't charge, or can and can't do by some bureaucrat in D.C.? Right now, it's a combo of both D.C. and insurance guys. Let's give the patients and the physicians more choice by opening up the market, not closing it down: The free market always finds the best solution, every time.

O RLY?

How has the free market found the best solution in this case? CEOs of companies raking in 100s of millions a year, while denying payment to the physicians who are stupid enough to sign their crappy contracts.

Yeah, sounds like the best solution to me :rolleyes:

I don't know what the "best solution" is, but it sure as hell isn't this.

jd
 
O RLY?

How has the free market found the best solution in this case? CEOs of companies raking in 100s of millions a year, while denying payment to the physicians who are stupid enough to sign their crappy contracts.

Yeah, sounds like the best solution to me :rolleyes:

I don't know what the "best solution" is, but it sure as hell isn't this.

jd

I'm not sure what part of the insurance system reminds you of the free market.

In my eyes, the best solution is to turn health insurance in to more of a disaster-type insurance than a pay-for-everything insurance and uncouple it from employment. Pay for your yearly check-up out of pocket. Suddenly need an operation? Pay your deductible and go get yourself fixed up.

Do body shops have issues getting full payment from car insurance companies? Of course not, because the insured person isn't claiming everything under the sun, just what s/he can't pay for himself.
 
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