Lawmakers push AMA to support linking Medicare payments, quality measures

House Ways and Means Subcommittee on Health Chair Nancy Johnson (R-Conn.) on Wednesday met with physician groups to discuss legislation that would stop a 5.1% reduction in Medicare physician reimbursements that is scheduled to take effect Jan. 1, 2007, CQ Today reports.

Physician sources familiar with the discussions said Johnson proposed a 1% reimbursement increase for all doctors in 2007, with an additional 1.5% increase later in the year for physicians who agree to report quality-of-care data to the government. According to one source, Johnson proposed "a longer-term solution to the Medicare physician payment formula in the out-years." Sources said the American Medical Association likely would support the 1% and 1.5% increases, CQ Today reports. According to CQ Today, Johnson's proposal "sought a middle ground" among House Ways and Means Committee Chair Bill Thomas (R-Calif.), House Energy and Commerce Committee Chair Joe Barton (R-Texas) and physician groups (Reichard, CQ Today, 9/20). Last week, AMA rejected an offer by Thomas that would have blocked the 5.1% reduction and increased reimbursements by between 2.5% and 2.8% in June 2007 for doctors who agreed to report quality-of-care data to the government (Kaiser Daily Health Policy Report, 9/15).

Session Ending

Jill Kozeny, a spokesperson for Senate Finance Committee Chair Chuck Grassley (R-Iowa), said Grassley expects Congress to act on legislation regarding the reimbursement reduction "before the end of the session," which concludes next week. Kozeny said, "In the longer term, [Grassley] wants to help achieve a permanent solution to the problems with the payment formula for doctors." She added, "Stabilizing physician payments would help alleviate concerns about access to care. He also wants to see movement toward a system where doctors report quality measures" (Japsen, Chicago Tribune, 9/21). AMA Board Chair Cecil Wilson in a statement Wednesday said, "We are extremely appreciative of the efforts of chairmen Barton, Grassley and Thomas to stop the Medicare physician payment cuts that threaten to undermine the physician foundation of Medicare" (CQ Today, 9/20).