Physician Payment Awaits House Action

On December 21, the Senate narrowly passed budget legislation (51-50) that includes a freeze for Medicare physician reimbursement at the 2005 level rather than the scheduled 4.4 percent. The budget legislation became highly controversial due to provisions unrelated to Medicare. Vice President Dick Cheney was required to cast the tie breaking vote. Due a procedural motion, however, the legislation now must go back to the House, which passed a slightly different version of the legislation earlier.

While it is expected that the House will pass the bill again, the scheduled Medicare physician payment cuts will become effective January 1 until the House takes action. It is critical that physicians contact their federal representatives to urge the Congress to take up this issue as soon as possible to halt the payment cuts and retroactively adjust payments. Click here to contact your Representative by using the online ASH Advocacy Center.

ASH is currently analyzing the impact of the freeze on hematologists and hematologist/oncologists and will post additional information shortly. In the meantime, the Society understands that not all Medicare carriers have provided physicians definitive guidance on billing in 2006. Physicians may want to delay billing if possible for services provided in 2006 for a short period of time until such definitive guidance is received from your carrier.