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Government Affairs Home > Washington Highlights > April 25, 2003

COGME Discusses IME

April 25, 2003 - AAMC Senior Vice President Robert Dickler defended maintaining the Medicare Indirect Medicare Education (IME) adjustment at double the empirical level on both technical and policy grounds at the Council on Graduate Medical Education (COGME) meeting April 10 and 11. Responding to a briefing on the IME by Medicare Payment Advisory Commission (MedPAC) staff member Craig Lisk, Mr. Dickler pointed out that questions often have been raised about the definitions of cost and the regression model employed in estimating the IME coefficient. Placing greater emphasis on the policy issues, Mr. Dickler cautioned about the mission and sustainability of teaching hospitals, noting that from its inception Medicare has not been viewed narrowly as a pure insurance program and that teaching hospital margins are the lowest among all hospitals at 1.5 percent.

Health Resources and Services Administration chief Elizabeth Duke, Ph.D., briefed the Council on a HRSA program - administered through the states - to enhance hospital preparedness for bioterrorism with appropriations of $125 million for FY 2002 and $514 million for FY 2003. She also mentioned the administration's priorities of expanding both the Community Health Center and National Health Service Corps programs.


A discussion of medical malpractice insurance issues focused on approaches to alleviate the problems of rising premiums, rising awards, and the exit of major carriers from the market. Emily Cornell of the National Governor's Association described the options states are exploring: interventions in the insurance market, tort reforms, alternate dispute resolution programs, and efforts to improve patient safety. COGME members expressed concern about the potential for high premium costs to affect new physicians' choices of where to practice.

Ed Salsberg, executive director of the Center for Health Workforce Studies at SUNY Albany, gave preliminary findings from his re-assessment of physician workforce policy guidelines for the United States, a study being conducted under contract to COGME. Center staff projected demand, extrapolating demographics, economic growth, and health care utilization from base year 2000. They also projected need by assuming universal health care coverage. Physician supply was projected by extrapolating physician demographic characteristics, U.S. vs. non-U.S. medical education, rates of retirement, and productivity. These projections suggested a shortage of physicians in 2020. COGME members raised a number of questions about the study's assumptions and asked Mr. Salsberg to conduct sensitivity analysis and report back at the next meeting.

Information:
Sunny Yoder, Director of Resident Affairs
AAMC Health Care Affairs
syoder@aamc.org
(202) 828-0497

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