Thomas Introduces Legislation
To Halt Physician Payment Reductions
January 10, 2003 - Ways and Means Committee Chairman
Bill Thomas (R-Calif.) Jan. 7 introduced legislation (H.J.
Res. 3) that would prevent the 4.4 percent reduction to
the CY 2003 Medicare conversion factor used to calculate physician
payments. The joint resolution would "disapprove under
the Congressional Review Act of 1996" the Dec. 31, 2002
final rule [67 FR 79966] that revised the Medicare
physician fee schedule for CY 2003. Specifically, it would
freeze the Medicare conversion factor for physician payments
at the CY 2002 level for one year.
The Congressional Review Act of 1996 permits Congress to
disapprove a rule issued by a federal agency. Unless action
is taken, the Medicare conversion factor for physician payments
will drop 4.4 percent on March 1, 2003. This would represent
the second consecutive reduction in physician payments (5.4
percent cut in CY 2002).
In a published statement,
Chairman Thomas expressed concern that Medicare beneficiaries'
access to physician services "is threatened by the additional
reductions included in the rule." In June 2002, the House
passed a Medicare package (H.R.
4954) that included annual conversion factor increases
of 2 percent for CYs 2003, 2004, and 2005. In his statement,
Thomas criticized the previously Democrat-controlled Senate
for failing to take up the issue before they adjourned in
November.
Congress is expected to devote a great deal of January and
February to debating an economic stimulus package, finalizing
FY 2003 appropriations bills, and working on FY 2004 budget
proposals. Subsequently, the House and Senate might not act
on H.J. Res. 3 before the CY 2003 payment update is implemented.
However, provisions within the Congressional Review Act could
potentially expedite the legislative process and halt the
reductions before March.
Information:
Christiane Mitchell, Senior Legislative Affairs Manager
AAMC Government Relations
cmitchell@aamc.org
(202) 828-0526
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