Family Physicians Hail Kyl and Hatch Resolution on Medicare Reimbursements

WASHINGTON — “The American Academy of Family Physicians thanks Sens. Jon Kyl R-Ariz., and Orrin Hatch, R-Ore., for stepping up to the plate with their resolution putting the Senate on record regarding the need to fix the flawed formula used to determine physician reimbursement for treating Medicare patients. We thank all senators who recognize this need and supported the amendment.

“A projected 4.2 percent reduction in payments to physicians for their care of Medicare beneficiaries is scheduled to take effect January 1, 2004. While this new legislative language is not binding and will not prevent the projected cut, it does put senators on record as supporting the need to fix the problem. The U.S. House of Representatives has included provisions in its bill to stop the projected cuts in physician reimbursements in 2004 and 2005, and the Kyl/Hatch resolution attached to the Senate’s Medicare reform bill sends a clear message to the House-Senate conference committee responsible for working out the differences between the two bills.

“If the projected cuts for 2004 and 2005 are allowed to go into effect, Medicare payments to physicians and other health professionals will be cut by $6.7 billion nationwide. Yet the costs of keeping medical offices open and viable are not being cut – they are going up. The projected cuts will force more physicians to either reduce the number of Medicare patients they see or close their doors altogether. This is a terrible choice to have to make, one that could require Medicare patients to travel further away for care, pay more out of pocket or completely lose access to care.

“Our country’s family physicians will continue pursuing a solution to the flawed update formula.”