U.S. Reps. Allyson Schwartz (D-PA) and Dr. Joe Heck (R-NV) introduced bipartisan legislation on May 9 that would permanently repeal Medicare's sustainable growth rate (SGR) formula, according to a statement released by Rep. Heck.
The Medicare Physician Payment Innovation Act would provide immediate relief from cuts of more than 30% to physician payments scheduled for January 1, 2013. The act would establish delivery system and payment reforms to ensure long-term stability in the Medicare physician payment system and contain the rising growth in healthcare costs, Heck said.
The bill would also accomplish the following:
- Provide annual positive payment updates for all physicians for four years
- Ensure access to preventive care, care coordination, and primary care services through increased payment updates for those services
- Test and evaluate new payment and delivery models
- Identify a variety of payment models to provide options for providers across medical specialties, practice types, and geographic regions
- Stabilize payment rates for providers who demonstrate a commitment to quality and efficiency within a fee-for-service model
- Ensure long-term stability in the Medicare physician payment system through predictable updates that accurately reflect the cost and value of providing healthcare services in coordinated care models
