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San Francisco Marin Medical Society Blog

Bipartisan Support Growing for Funding Medicare SGR Repeal with Unspent War Funds



As the House-Senate Conference Committee continues to deliberate legislation to address the 27.4 percent Medicare fee-for-service payment cut and extension of unemployment benefits and payroll tax cuts beyond February 29, momentum is growing to repeal the sustainable growth rate (SGR) formula by using the unspent funds from the early withdrawal of troops from Iraq and Afghanistan. 

There is nearly $800 billion in the Overseas Contingency Operation appropriation. At the California Medical Association’s (CMA) urging, House Democratic leaders (California Representatives Pelosi, Becerra, Stark and Waxman) announced their full support for the proposal. The Democratic Senate leaders have also expressed their support.

Republicans in both houses are also beginning to look on the proposal favorably. Senate Minority Whip Jon Kyl (R-AZ) hopped on board during the Super Committee negotiations, and has since been working behind the scenes to win GOP support. Meanwhile, Rep. Phil Gingrey (R-GA), the co-chairman of the GOP Doctors Caucus, has come around as well. Kyl is a close ally of Senate Minority Leader Mitch McConnell (R-KY). Majority Leader Eric Cantor (R-VA) wants the Doctors Caucus to “take the lead” on this issue, so Gingrey and his fellow House GOP physicians may hold the key to the final piece of the puzzle.

CMA is also working with Senator Feinstein and Congressmen Farr and Bilbray to include the California Medicare Geographic Payment Locality update in the conference agreement. Both California Congressmen Waxman and Becerra are on the conference committee and have been supportive of the update. Both of these issues need to be addressed by the conference committee and passed by Congress before the deadline of February 29.

CMA goes to Washington, DC

CMA physician leaders will be in Washington, DC, February 13-15 to lobby Congress and the Centers for Medicare & Medicaid Services (CMS) on the implementation of health reform, including new payment models, stopping the Medicare fee-for-service SGR cuts and Medi-Cal payment reform. The group will be meeting with key Republicans and Democrat leaders as well as new CMS head Marilyn Tavenner.

SFMS Urges Physicians to Call Members of Congress

The Conference Committee must send a bill to Congress for a final vote before February 29. Momentum is building, but we have a long way to go.

We must garner more support from the California Republicans and shore up the Democrats. There is only a short window of opportunity. Please call and send a short message to your representatives via email. A short message from hundreds of physicians will have an enormous impact. The military “savings” is an appropriate funding source to repeal the Medicare SGR, which costs over $300 billion. Congress’ failure to address the SGR grows the deficit. If Congress does not use this funding source, they will be forced to cut other Medicare providers to stop the SGR cuts. For more information, see additional CMA talking points and background, and a copy of the Dear Colleague letter.

Please call the AMA Grassroots Hotline at (800) 833-6354; plug in your ZIP code and you will be automatically connected to your Member of Congress. Please use the hotline to call Senators Boxer and Feinstein as well. You can send an email to your Representative and Senators via http://writerep.house.gov; www.boxer.senate.gov and www.feinstein.senate.gov. Leave your name, specialty and county and tell your Representatives:

  1. Please use the unspent military (OCO) funds to REPEAL THE FLAWED MEDICARE SGR!
  2. Please cosign the bipartisan Dear Colleague letter from Representatives Crowley and Benishek.
  3. Repealing the SGR will reduce the deficit and improve access to doctors for California’s seniors and military families.
  4. Physicians cannot sustain a nearly 30 percent payment cut and continue to see patients.
Physicians, please take a few minutes this week to make a call. It could make all the difference.


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