CQ's Carey addresses health IT legislation, House approval of HSA expansion, Medicare payment cuts, Ryan White CARE Act reauthorization

Mary Agnes Carey, associate editor of CQ HealthBeat, discusses House and Senate negotiations on legislation that would expand health care information technology, House approval of a measure to expand health savings accounts, Congress' inaction on scheduled Medicare physician payment cuts and Senate Democrats' attempt to block reauthorization of the Ryan White CARE Act in this week's "Health on the Hill from kaisernetwork.org and CQ."

According to Carey, House and Senate negotiators did not reach a final agreement on health care IT legislation before Congress adjourned prior to the fall elections.

Congressional aides said the disagreements were based on language in the bill that would have allowed hospitals to donate IT to physicians' offices without fear of prosecution under a law that bars hospitals from increasing financial incentives to doctors who refer patients to their facilities.

It is "unclear" what will happen with the legislation when Congress returns in November, Carey says.

Carey also discusses the House Ways and Means Committee's approval of a measure that would increase the limit on HSA contributions, currently capped at $2,700 for individuals and $5,450 for families, for the 2006 tax year.

The Joint Committee on Taxation found the bill would increase HSA holders by 300,000 at a cost of $1 billion over 10 years.

Carey says that the measure is expected to pass in the House later this year but adds that the Senate has not taken action on related measures.

In addition, Carey discusses Congress' inaction on legislation that would stop a 5.1% reduction in Medicare physician payments scheduled to take effect Jan. 1, 2007.

According to Carey, House Energy and Commerce Committee Chair Joe Barton (R-Texas) has said he hopes to overhaul the Medicare physician payment system before Congress adjourns this year.

However, Carey adds that Congress could opt for a one-year fix, delaying comprehensive action on the issue until next year or later.

Finally, Carey discusses a few Senate Democrats' objections to a measure that would have reauthorized the Ryan White CARE Act for another five years.

These Democrats argued that proposed changes to funding distribution formula would "devastate programs in their states," Carey says.

She added that the proposed changes will have to be addressed for the measure to move forward but added that lawmakers could extend the current law and revisit the legislation next year (Carey, "Health on the Hill from kaisernetwork.org and CQ," 10/3).

(Carey, "Health on the Hill from kaisernetwork.org and CQ," 10/3).

The complete audio version of "Health on the Hill," transcript and resources for further research are available online.