September 5 , 2006
ASA protests CMS proposed rule, which includes substantial cuts to anesthesiology
In an effort to vigorously oppose unacceptable cuts in Medicare payments to physicians, ASA has submitted comments to CMS addressing a proposed rule published in the June 29 Federal Register. The proposed rule included a 6% cut in total payments to anesthesiologists due to the Five Year Review, and an additional 1% cut every year through 2010 due to a new practice expense methodology. This would amount to a devastating 10% cut in Medicare payments to anesthesiologists over the next four years—the largest cut to any medical specialty.
For a copy of the ASA comment letter to CMS, please click here.
In addition to submitting formal comments, ASA is currently analyzing the Medicare PE methodology for possible errors, and is continuing its long battle to seek correction of Medicare’s gross undervaluation of anesthesia work within CMS and its processes. Further, ASA leaders have had face-to-face meetings with senior CMS officials to express opposition to these reductions, and to explore possible solutions.
The two proposed cuts in the June 29 rule, along with the anticipated Sustainable Growth Rate (SGR) rollback, form a Medicare payment “triple threat” for anesthesiologists. In the August 22 Federal Register, CMS issued its proposed rule for the 2007 Medicare Physician Fee Schedule, which projects a negative 5.1% SGR update to payment rates for all physicians in 2007—more than the 4.6% cut originally projected.
Also, CMS continues to impose a 50% payment penalty for teaching anesthesiologists who oversee residents on overlapping cases. This policy costs anesthesiology teaching programs an average of $30 million to $40 million each year.
Every ASA member is strongly encouraged to take the following actions to oppose egregious payment cuts and support teaching rule legislation:
- Ask your Representatives and Senators for a positive 2.8% payment update in 2007, as recommended by MedPAC. Congress should repeal the unworkable SGR formula and replace it with a system of positive updates based on the MEI. You may contact your Representatives and Senators through the Capitol Switchboard at (202) 225-3121, or through the ASA CapWiz site.