SGR Update

SGR Update

by abilling, April 1, 2010

The House of Representatives, by a vote of 219 – 212, voted to pass H.R. 3590, The Patient Protection and Affordable Care Act as amended by the Senate.  This is the healthcare reform bill that was passed by the Senate  December 24, 2009.

The House also passed H.R. 4872, the Health Care and Education Tax Credits Reconciliation Act of 2010.  The House Reconciliation Act changes a number of the provisions in the Senate’s Patient Protection Act, to which the House had objected.

Some of the new taxes or revenues generated by Patient Protection Act include:

  • a penalty levied against individuals for not maintaining health insurance coverage
  • a tax levied against employers for failing to offer minimum essential coverage
  • an increase in the individual’s Medicare tax from 1.45% to 2.35%
  • impose an unearned income Medicare contribution of 3.8% on investment income for individuals earning more than $200,000 ($250,000 joint filers)
  • impose a new tax on “Cadillac” health insurance plans.

The Senate has adjourned for the Easter Recess and will not return until April 12th and failed to act on legislation extending the physician fee schedule freeze that has been in effect since January 1.  This means that the 21% cut in physician fee schedule payments scheduled to take effect on April 1, will occur.

When the Senate returns on April 12, it intends to take up the SGR fix bill, H.R. 4851.  It is not clear whether the votes will be there to take up and pass the bill.

Unless something changes between now and April 12th, it is conceivable that it could take several days of debate before the Senate will be able to vote on H.R. 4851.  Although we ultimately expect Congress to approve a freeze in the extension and make it retroactive to April 1st, providers should be prepared for the possibility that for claims submitted with a DOS of April 1 or later will be paid at the reduced rate.

 

 

abinsights Contact Information

abinsights readers are invited to submit comments, questions, tips, and suggestions for articles on any subject related to billing, collections, coding, reimbursement, and compliance.  Send to:  Anesthesia Billing, Inc.,     P O Box 388, Newton, KS  67114-0388.  Phone 316-281-3700.  Fax 316-282-4322.

Our purpose is to help you meet inevitable challenges.  We hope to deliver practical knowledge and solutions drawn from top resources and business publications in every issue, knowledge you can use today.

Reasonable attempts have been made to be accurate.  However, medical billing, collections, coding and compliance are part science, part art, and even experts sometimes differ.  Neither Anesthesia Billing, Inc., the editors, publisher, contributors, or consultants warrant or guarantee the information contained will be applicable or appropriate in all situations.  For information specific to your practice, consult a qualified professional.

The information included in this publication is provided, among other things, to alert you to legal developments and should not be considered legal advice.  Specific questions about how this information affects your particular situation should be addressed to your attorney.

Editor:  Philip Blann (pblann@anesthesiabilling.com).

No Comments


Leave a Reply

Your email address will not be published Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

*