In a vote of 392 to 37, the U.S. House of Representatives today passed a bill that would repeal the sustainable growth rate (SGR) formula. Of the total yes votes, 212 were from Republicans and 180 were from Democrats.
HR 2, the Medicare Access and Children's Health Insurance Program (CHIP) Reauthorization Act of 2015, is based on HR 1470, a bill introduced on March 19 by the House Energy and Commerce, Judiciary, and Ways and Means committees. The legislation would eliminate the threat of annual cuts to Medicare providers and secure a five-year period of stable annual updates of 0.5% as Medicare transitions from a volume-based payment system to one that rewards value, according to the bill.
On March 25, the Congressional Budget Office (CBO) estimated that enacting HR 2 would result in a $141 billion increase in federal budget deficits over a 10-year period. Although the legislation would affect direct spending and revenues, it would waive the pay-as-you-go procedures that otherwise apply.
The bill now goes to the Senate for approval. Medical organizations such as the American Society of Clinical Oncology (ASCO) urged the Senate to pass the law before its spring recess begins March 30.
Pressure on the Senate to pass the bill is high, according to Cynthia Moran, executive vice president for government relations at the American College of Radiology (ACR).
"This bill is almost exactly the same as the bill two House Health committees and the Senate Finance Committee agreed to last year," she told AuntMinnie.com. "But, of course, funding for that bill fell apart. If the Senate makes any changes to HR 2, it will then have to go back to the House for approval -- all before March 31, when the current patch ends. All eyes are on the Senate now."
