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House, Senate Budget Deal Lacks Provision To Avert Medicare Pay Cuts

Congressional leaders reached a budget agreement to avoid a government shutdown through the first quarter of 2013, but the deal does not include adjusting or repealing the sustainable growth-rate Medicare payment formula, which will require a 27 percent cut in payments to Medicare physicians next year.

Lawmakers Warned of Dwindling Solo Medical Practices

Health system reform may be driving some of the decline, but some say medical homes and accountable care organizations offer new opportunities for small groups. Physicians and health analysts testified to lawmakers that growing evidence shows doctors are shutting down their small private practices to join larger health organizations due to administrative, payment, and medical liability pressures — and that health system reform may be playing a part.

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