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January 24, 2003 - Democratic Senators Hillary Clinton
(N.Y.), Chuck Schumer (N.Y.), Jeff Bingaman (N.M.), and Barbara
Mikulski (Md.), offered an amendment Jan. 23 on the Senate
floor to the omnibus appropriations bill (H.J.
Res. 2) that would provide Medicare and Medicaid relief
to hospitals, physicians, home health agencies, skilled nursing
facilities and other providers. The amendment would have temporarily
increased various payments for six months in FY 2003. The
amendment failed on a budget point of order, mostly along
party lines, 41 to 56.
The amendment was based on S.
3018, last year's provider relief legislation sponsored
by Senate Finance Committee leaders Max Baucus (D-Mont.) and
Chuck Grassley (R-Iowa.). Specifically of interest to teaching
hospitals and physicians are provisions that would:
- increase Medicare hospital inpatient payments by a full
market basket;
- maintain the Medicare IME at 6.5 percent;
- increase state Medicaid DSH allotments; and
- increase Medicare physician payments by 2 percent.
Senator Clinton described the amendment as a "6-month
moratorium on a 'Medicare cliff'" and stated that avoiding
immediate action would be health care "policy by neglect."
Sen. Grassley objected to the amendment, saying that the Senate
Finance Committee should review and study the payment provisions,
referring to the payment recommendations made by the Medicare
Payment Advisory Commission. Among the Democrats who voted
against the bill were Senate Finance Committee members Sens.
Baucus, John Breaux (La.) and Bob Graham (Fla.)
Other Medicare provider related amendments were filed, including
an amendment by Sen. Kennedy to maintain the IME at 6.5 in
FY 2003. Senate Majority Leader Bill Frist (R-Tenn.) has successfully
convinced Senators to limit the number of amendments offered
so as to complete debate by Jan. 24. As of press time, Sen.
Kennedy had not yet had the opportunity to offer his amendment.
Information:
Lynne Davis Boyle, Assistant Vice President
AAMC Office of Governmental Relations
ldavisboyle@aamc.org
(202) 828-0526
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