The American Hospital Association and the Association of American Medical Colleges recently urged its members to oppose the hospital cuts that would offset the costs of temporarily fixing the sustainable growth rate, according to an Inside Health Policy report.
One of the biggest cuts that would affect hospitals in extending the SGR is the reduction of payments for non-emergency hospital evaluation and management services in outpatient departments. The Medicare Payment Advisory Commission finalized recommendations for equalizing Medicare payment rates on E/M services, and this could reduce HOPD payments for E/M clinic visits by more than 70 percent. It is estimated cuts to E/M services would save roughly $6.8 billion over 10 years, according to the report.
AAPC said in a news release that MedPAC's recommendation would create "unintended consequences for both patients and resident education," as teaching HOPDs depend on those types of payments and support.
Instead, AHA and other groups reiterated previous demands to offset the SGR fix: raising the Medicare eligibility age, reform of medical liability, the taxation of junk food and using savings from the withdrawal of overseas troops, according to the report.
One of the biggest cuts that would affect hospitals in extending the SGR is the reduction of payments for non-emergency hospital evaluation and management services in outpatient departments. The Medicare Payment Advisory Commission finalized recommendations for equalizing Medicare payment rates on E/M services, and this could reduce HOPD payments for E/M clinic visits by more than 70 percent. It is estimated cuts to E/M services would save roughly $6.8 billion over 10 years, according to the report.
AAPC said in a news release that MedPAC's recommendation would create "unintended consequences for both patients and resident education," as teaching HOPDs depend on those types of payments and support.
Instead, AHA and other groups reiterated previous demands to offset the SGR fix: raising the Medicare eligibility age, reform of medical liability, the taxation of junk food and using savings from the withdrawal of overseas troops, according to the report.
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