Years ago, policymakers created a payment formula for Medicare designed to make small adjustments every year to cut costs. As deadlines for pay cuts loomed, Congress passed short-term fixes to delay the cuts. Now physicians are facing a 23 percent cut in Medicare reimbursement rates starting December 1, and groups like the American Medical Association are urging Congress to delay the cut.
The Associated Press features a cancer surgeon who tells her story.
Neither Democrats nor newly empowered Republicans want the sudden cuts, but there’s no consensus on how to stave them off. The debate over high deficits complicates matters, since every penny going to make doctors whole will probably have to come from cuts elsewhere. A reprieve of a few months may be the likeliest outcome. That may not reassure doctors.
“My frustration level is at a nine or 10 right now,” said [Kathryn] Wagner, who practices in San Antonio. “I am exceptionally exhausted with these annual and biannual threats to cut my reimbursement by drastic amounts. As a business person, I can’t budget at all because I have no idea how much money is going to come in. Medicine is a business. Private practice is a business.”
The cuts have nothing to do with President Barack Obama’s health care overhaul. They’re the consequence of a 1990s budget-balancing law whose requirements Congress has routinely postponed. But these cuts don’t go away; they come back for a bigger bite.
Doctors have muddled through with temporary reprieves for years. This time, medical groups estimate that as many as two-thirds of doctors would stop taking new Medicare patients, throwing the health program for 46 million older and disabled people into turmoil just when the first baby boomers will become eligible.
