Societies rally to repeal Medicare SGR formula

Several U.S. medical imaging societies are urging members to rally behind legislation introduced in the U.S. Senate to repeal the Medicare sustainable growth rate (SGR) formula.

The SGR formula requires Medicare payments to be modified annually to control healthcare utilization. Due to a flaw in the SGR methodology, however, the SGR has called for cuts annually in physician payments and has to be corrected every year through congressional action, such as last year's Medicare Improvements for Patients and Providers Act (MIPPA) of 2008.

Congressional action is required to permanently fix the SGR formula, and to that end Sen. Debbie Stabenow (D-MI) has introduced bill S.1776, the Medicare Physicians Fairness Act of 2009, which would repeal the SGR formula and cancel the $240 billion debt associated with it. The Senate is holding a series of votes this week to determine whether the legislation will move forward.

If the bill is defeated, a 22% reduction in Medicare payments could go into effect January 1, 2010.

Both the American College of Radiology (ACR) of Reston, VA, and nuclear medicine society SNM, also of Reston, are urging their members to support the legislation by contacting their senators. The ACR encouraged clinicians to call their senators via the ACR Political Action Network at 800-327-5423, while the SNM is urging members to fill out a letter available by clicking here.

Related Reading

CMS proposes 1.9% increase in hospital outpatient payments, July 8, 2009

CMS pitches 90% use rate in proposed 2010 MPFS rule, July 1, 2009

CMS to raise hospital outpatient payments 3%, July 8, 2008

CMS delays Medicare payments due to SGR impasse, July 1, 2008

Beware, AMIC says: The DRA could be the least of it, June 10, 2008

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