Bipartisan Meetings Begin on SGR Fix, Payroll Tax Cuts

For the first time since President Barack Obama signed a two-month extension of payroll tax cuts and the Medicare sustainable growth rate, Republican and Democrat Congressional staff members held a bipartisan meeting yesterday to work on a longer fix, according to an Inside Health Policy report.

A Senate Republican aide said the most likely outcome of the talks between now and March will result in a 10-month extension of the payroll tax cuts, unemployment insurance and SGR fix, according to the report. The SGR formula determines Medicare payment for physicians, and physician pay will be cut 27.4 percent in March if lawmakers do not override the SGR again.

House Minority Leader Rep. Nancy Pelosi (D-Calif.) indicated earlier this week that House Democrats may push for the one-year "doc fix" while House Republicans may advocate for a two-year solution, similar to a bill they passed in December.

The Senate Finance Committee wants to find alternative ways to offset the SGR fix instead of the hospital cuts proposed in the House bill, although it has not indicated what those alternative sources could be, according to the report. The House previously proposed reducing hospital outpatient evaluation and management services, cutting Medicare bad debt reimbursement and other hospital cuts.

Related Articles on the Sustainable Growth Rate:

Rep. Nancy Pelosi: House Democrats May Push for One-Year "Doc Fix"

President Obama Signs Two-Month Payroll Tax Bill, SGR Fix

9 Biggest Issues Surrounding the Medicare Sustainable Growth Rate

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