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Government Affairs Home > Teaching Physicians > Regulatory Reform

Group Letter of Support for Regulatory Reform Legislation (H.R.2768/H.R.3046)

Letter sent to entire U.S. House of Representatives

November 13, 2001

The Honorable Spencer Bachus
U.S. House of Representatives
442 Cannon House Office Building
Washington, DC 20515

Dear Representative Bachus:

During the past month, the Ways and Means Committee and the Energy and Commerce Committee have worked diligently to craft two major pieces of regulatory relief legislation, H.R. 2768, the “Medicare Regulatory and Contracting Reform Act of 2001” (MRCRA), introduced by Representatives Johnson and Stark, and H.R. 3046, the “Medicare Regulatory, Appeals, Contracting, and Education Reform Act” (RACER), introduced by Representatives Toomey and Berkley. These bills would address many of the regulatory burdens impacting the country’s patients, physicians and providers. In particular, they would provide especially helpful due process rights to physicians and providers faced with government audits, and create very important education requirements, the effects of which cannot be overstated. As the legislation moves forward to the House floor, the undersigned groups express our thanks for these reforms and urge the House to retain the following provisions in the final bill:

Extrapolation – Both MRCRA and RACER have essential extrapolation language which would limit extrapolation to situations where there is either a sustained or high payment error rate or documented education efforts have failed to correct the error. Both bills also contain language which would require contractors to notify physicians at least 45 days prior to sending a consent settlement letter. However, RACER contains additional language specifying the contents of the required notice. This detailed notification is essential to physicians who wish to correct their claims or seek to discuss with the contractor whether their claims are coded or documented correctly. It is our hope that this language will be retained.

Written Advice from Contractors – We strongly believe that legislation considered by the House should require contractors to issue specific written guidance that physicians can rely upon if later audited. While both MRCRA and RACER are substantial improvements over current contractor practices, we urge the Committees to ensure that physicians, hospitals and other providers are able to obtain specific written answers to their questions regarding often complex and confusing Medicare requirements.

Emergency Medical Treatment and Active Labor Act (EMTALA) – We urge the incorporation of the RACER provisions on EMTALA. RACER would apply a “prudent layperson” standard similar to the standard set forth in MRCRA and would also establish an EMTALA task force, require peer review organization review prior to provider terminations, and require notification of physicians and providers when an EMTALA investigation has been closed. These are essential reforms which would help address the overexpansive nature of EMTALA.

Physician Review of Physician Determinations – Finally, we urge the retention of RACER language that would ensure that Medicare Qualified Independent Contractors would be physicians to the extent that they are reviewing physician items and services provided to patients.

With bipartisan and multi-committee support for achieving regulatory reform, we strongly urge passage of regulatory reform legislation, with the above elements, this year.

Sincerely,

American Academy of Child and Adolescent Psychiatry
American Academy of Dermatology Association
American Academy of Facial, Plastic and Reconstructive Surgery
American Academy of Family Physicians
American Academy of Neurology
American Academy of Ophthalmology
American Academy of Otolaryngic Allergy
American Academy of Otolaryngology – Head and Neck Surgery
American Academy of Physical Medicine and Rehabilitation
American Academy of Sleep Medicine
American Association for Thoracic Surgery
American Association for Vascular Surgery
American Association of Clinical Endocrinologists
American Association of Neurological Surgeons
American Association of Orthopaedic Surgeons
American College of Cardiology
American College of Chest Physicians
American College of Emergency Physicians
American College of Nuclear Physicians
American College of Obstetricians and Gynecologists
American College of Osteopathic Family Physicians
American College of Osteopathic Surgeons
American College of Physicians-American Society of Internal Medicine
American College of Radiology
American College of Rheumatology
American College of Surgeons
American Gastroenterological Association
American Geriatrics Society
American Medical Association
American Medical Directors Association
American Medical Group Association
American Osteopathic Association
American Psychiatric Association
American Society for Gastrointestinal Endoscopy
American Society for Therapeutic Radiology and Oncology
American Society of Anesthesiologists
American Society of Cataract and Refractive Surgery
American Society of Clinical Oncology
American Society of Clinical Pathologists
American Society of General Surgeons
American Society of Hematology
American Society of Plastic Surgeons
American Thoracic Society
American Urogynecologic Society
American Urological Association
Association of American Medical Colleges
College of American Pathologists
Congress of Neurological Surgeons
Infectious Diseases Society of America
Joint Council of Allergy, Asthma and Immunology
Medical Group Management Association
National Association for Medical Direction of Respiratory Care
North American Spine Society
Renal Physicians Association
Society of Cardiovascular and Interventional Radiology
Society of Critical Care Medicine
Society of General Internal Medicine
Society of Gynecologic Oncologists
Society of Nuclear Medicine
Society of Thoracic Surgeons
Society for Vascular Surgery
The Endocrine Society

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