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SGR Cuts Loom After Supercommittee Fails


 

Physicians’ groups expressed disappointment that several weeks of hearings and closed-door meetings had not resulted in a plan.

The proposal won the support of the American Academy of Family Physicians, the American Osteopathic Association, the American College of Obstetricians and Gynecologists, and the Society of Hospital Medicine but not that of the American Medical Association.

The AMA praised Rep. Schwartz for her efforts to try to repeal the SGR but stopped short of endorsing the plan, saying that it couldn’t sign on to the specific schedule of pay increases and penalties given the workflow changes and investments that would likely be required from physicians.

In the wake of the supercommittee’s announcement, physicians’ groups called on Congress to act immediately to avert the scheduled 27% Medicare pay cut and to come up with some sort of long-term solution to the annual scrambling to avert SGR-related fee cuts.

"The AMA is deeply concerned that continued instability in the Medicare program, including the looming 27% cut scheduled for Jan. 1, will force many physicians to limit the number of Medicare and TRICARE patients they can care for in their practices," Dr. Peter W. Carmel, president of the AMA, said in a statement. "Congress has ignored the reality that short-term patches have grown the problem immensely. The cost of repealing the formula has grown 525% in the past 5 years and will double again in the next 5 years."

If Congress does not repeal the SGR and replace it with a new, stable system, it will threaten the financial viability of physician practices and worsen the health security of millions of patients, according to the American Academy of Family Physicians.

"This is no way to address the federal budget deficit," Dr. Glen Stream, AAFP’s president, said in a statement. "At some point, Congress must face up to its responsibility to its constituents. That time is now."

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