Fee Cut Goes Into Effect, but CMS Holding Off Claims Processing

The 21.3 percent Medicare physician fee cut automatically went into effect today, but CMS is instructing Medicare contractors to hold physicians’ Medicare claims for the first 10 business days in June to give Congress a chance to avert the cut.

Advertisement

Late last week, the House passed legislation that would have postponed the fee cut until Jan. 1, 2012 and increased Medicare rates 2.2 percent for the rest of 2010 and 1 percent in 2011.

However, Senate Democratic leaders, concerned about the $23 billion cost of the temporary fix, did not bring the measure up for a vote before recessing for a week. Congress reconvenes on June 7.

In a release, the American College of Physicians noted this was one more example of this year’s succession of Congressional short-term patches and missed deadlines on the fee cuts. The ACP stated: “Medicare increasingly is viewed as an unstable and unreliable payor of services, with the result that more and more physicians will likely have no choice but to limit how many Medicare and TRICARE patients they can afford to accept into their practices.”

Read the American College of Physicians’ release on the physician fee cut.

At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.

Register to Attend Webinar

The 2 KPIs that drive readmissions — and how hospitals act on them in real time

Tuesday, August 11
1:00 PM - 2:00 PM CDT

Presenter: Nik Rao, Dexur

Advertisement

Next Up in Integration & Physician Issues

Advertisement

Comments are closed.