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Effort to fix Medicare SGR formula fails
 October 22, 2009 -- Legislation in the U.S. Congress to establish a permanent fix to the flawed Medicare sustainable growth rate (SGR) formula failed to win a key vote on October 21.
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A cloture or "quick end" vote to kill debate on S1776, the Medicare Physicians Fairness Act of 2009, was defeated in the Senate 47 to 53. The bill was introduced by Sen. Debbie Stabenow (D-MI) and would also have canceled the $240 billion debt associated with the formula.
Because the bill has been defeated, a 22% reduction in Medicare payments will most likely go into effect January 1, 2010, barring further congressional action.
The American College of Physicians of Philadelphia expressed disappointment in the bill's defeat, saying in a statement: "Many of those who voted against cloture have stated that they agree that the SGR needs to be replaced, but when it came down to a bill to actually [do away with the formula] once and for all, they regrettably voted the other way."
Related Reading
Societies rally to repeal Medicare SGR formula, October 21, 2009
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
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