Washington Report
Medicare Payment Cut Expected for 2004, Says CMS
Instead of a promised pay increase for the next three years, the
Centers for Medicare and Medicaid Services (CMS) now estimates that
doctors will get a 4.2% cut in Medicare reimbursement for 2004, with
more cuts through 2007. CMS recently issued a letter announcing the
cuts. "While we previously estimated positive updates for 2004 and
later years, we now estimate updates will be negative for 2004-2007
[with a 4.2% cut in 2004]," said the letter.
| Draft OIG Compliance Program Guidance for Pharmaceutical Manufacturers |
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The Department of Health and Human Services Draft OIG
Compliance Program Guidance for Pharmaceutical Manufacturers is
available online in Adobe® Acrobat® PDF format at www.amda.com/chapters/oigdraft.pdf.
This report is from the October 3, 2002, issue of the Federal Register on new voluntary guidelines for the pharmaceutical industry.
The report is similar to the OIG Compliance Programs
for Nursing Homes and provides information about written policies and
procedures of the pharmaceutical manufacturers compliance program.
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Earlier this year, President Bush signed into law legislation that
replaced a 4.4% cut for 2003 with a modest increase of 1.6%. At that
time, CMS told Congress the legislation would produce positive updates
for the next few years. Go to www.amda.com/federalaffairs/feeschedule/2004 for more information and to contact your representatives and senators to inform them that another cut is unacceptable.
Medical Liability Reform Could Be Trade Off for Payment Cut
Very recent reports from the Hill indicate that attaching a
malpractice damage award cap to Medicare reform legislation would
appease physicians, who are scheduled to get a Medicare pay cut from
2004 to 2007. House Republicans, who oppose including the payment cut
in upcoming Medicare reform legislation, also are "seriously
considering" including a malpractice damage award cap in the Medicare
reform bill instead.
The Senate has not yet considered medical liability reform
legislation, but the HEALTH Act, or HR 5, passed the House in March.
The legislation includes a cap on non-economic damages in medical
liability cases against physicians and nursing homes. The Senate is
expected to take up similar legislation in June or July.
Go to www.amda.com/federalaffairs/liability/grassroots.htm for more information and to contact your Senator to push for liability reform that includes a cap on non-economic damages.
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