The Senate failed to pass a bill Thursday that would stall a 21 percent Medicare physician pay cut. Leaders at the American College of Physicians said they are confident a fix, even if temporary, will be passed.
As the Senate struggles to pass the Jobs and Closing Tax Loopholes Act of 2010, which contains a six-month delay of the pay cut, physicians face uncertainty on reimbursement. Current law mandated a 21 percent Medicare pay cut on June 1.
Capitol Hill sources say the Jobs Act could be up for another vote sometime next week.
Meanwhile, the Centers for Medicare and Medicaid Services placed a hold on claims submitted after June 1. The hold expired Thursday and CMS will begin Friday processing claims according to the mandated 21 percent cut.
Cecil B. Wilson, MD, president of the American Medical Association, said the cut will force physicians to drop Medicare participation, making access to care more difficult for seniors.
"The Senate has been debating this issue for weeks and the latest proposal is a six-month delay of the cut," Wilson said. "Delaying the problem is not a solution. Continued short-term actions are creating severe instability that harms seniors as physicians make decisions to protect their practices from Medicare's volatility. Continuing down this path just slaps a Band-Aid on a problem that needs urgent surgery."
Leaders of the American College of Physicians said Friday they expect Congress will soon enact a fix that is retroactive to June 1. Medicare contractors will automatically adjust claims paid that reflect the 21 percent reduction after Congress enacts the retroactive fix – enabling physicians to receive the additional payment consistent with the new law without them having to take any action, they said. Further, CMS intends to release official guidance that permits physicians to waive small beneficiary co-payment amounts associated with a retroactive fix.
"ACP had urged CMS to minimize disruption to physicians and is pleased the agency is taking these actions," ACP leaders said.
ACP leaders said the reduction in payments, even if temporary, creates havoc for practices and the fact that Congress has already enacted three short-term patches to delay payment cuts compounds the problem.
"The situation is unacceptable" they said, and doctors' "frustration and anger is understandable."
This week Congress will receive hundreds of signed white lab coats from AMA member physicians as a symbolic reminder of the need for quick resolution to the immediate Medicare crisis and the importance of solving the problem through repeal of the broken Medicare physician payment formula, according to Wilson.