Congress Once Again Averts Physician Pay Cuts

MedPAC also wrestled with a recommendation on physician fees for 2008. Staff member Christina Boccuti said the commission was recommending a 2% increase. That figure was derived by taking physician price inflation—an estimated 3.3%—and subtracting out the productivity goal of 1.3%.

Ms. Boccuti said the Commission estimated that this increase would be adequate. But Mr. Hackbarth noted that there was no way to predict adequacy.

“The problem that we've often faced with the physician update in recent years is that we're asked to make an update recommendation for a future year when we don't even know what the rates will be for the current year, which is at least a difficult task,” he said.

MedPAC commissioners will vote on a potential SGR fix and payment rates for 2008 at its meeting this month and present their final report to Congress in March.