Small victory on Medicare physician payments

A recent change announced may become a major victory for organized medicine, but I have my doubts with Obama in office. It certainly won't happen if he gets Obamacare passed.

It was announced that the cost of physician-administered drugs will be removed from Medicare's sustainable growth rate (SGR) calculations retroactive to the 1996 base year. The announcement came as part of the Centers for Medicare & Medicaid's release of its 2010 Medicare physician payment proposed rule and is a move which the AMA has been calling for since 2002.

This current action will help avert many of the payment cuts that have been forecast because of the SGR and substantially reduces the cost the Congressional Budget Office would assign to legislative proposals to permanently repeal the SGR. The AMA is very happy with the action and notes that it paves the way for Congress to ensure stable Medicare physician payment rates that reflect increasing practice costs and preserve seniors' access to care.

Strengthening Medicare has to be part of Healthcare reform or it will fail.