WASHINGTON WIRE


November 2, 2009
Issue 220

House Releases Merged Healthcare Reform Bill

House Introduces Separate Bill for the Doc Fix

Senator Reid Says Merged Bill Will Include Public Plan Opt-Out

PPSV Attorney Presents to NSCHBC

Hearings   

Top Story

House Releases Merged Healthcare Reform Bill

House leadership last week released about 2000 pages of legislative text detailing the House plan for healthcare reform. The three committees of jurisdiction had each passed a separate version of America's Affordable Health Choices Act, and leadership has merged the three into HR3962, the Affordable Health Care for America Act. According to press reports, Majority Leader Steny Hoyer (D-MD) said that Democrats will introduce a manager's amendment on November 2, and that debate would begin November 5 at the earliest. Republicans might offer their version of a bill as a substitute amendment.

The CBO released a preliminary analysis of the bill, pricing it at $894 billion and estimating expanded coverage up to 96 percent of the population by 2019. CBO concludes that the bill would reduce the deficit by $9 billion.

The bill released last week expands Medicaid eligibility to 150 percent of the federal poverty level, includes a public option for the state exchanges and allows HHS to negotiate the plan rates with providers, and includes the CLASS Act, which would create a new voluntary long-term care insurance program to help purchase services and supports for people with functional limitations.  

Health Care News  

House Introduces Separate Bill for the Doc Fix

On October 29, House Democrats released separate legislation that blocks a pending 21 percent cut to physician payments and provides a permanent solution to the annual physician fee problem. The "doc fix" was initially part of the House Tri-Committee healthcare reform bill, but it was removed from the bill just over a week after the Senate failed to bring to the floor a separate bill that provided a permanent solution to the fee problem.

HR 3961 would eliminate the Sustainable Growth Rate (SGR) and replace it with updates based on inflation. Under the new formula, fees for most physician services would be allowed to grow at the rate of gross domestic product plus 1 percent.

The SGR was established in 1997, but in almost every year when cuts have been required by the formula, Congress has intervened to block them. The CBO estimated that the permanent fix would cost around $245 billion over 10 years.

House leadership could eventually re-attach the fix to the House healthcare reform bill, leaving its fate to the healthcare reform conference negotiations.  

Senator Reid Says Merged Bill Will Include Public Plan Opt-Out

Senate Majority Leader Harry Reid (D-NV) held a press conference early last week at which he announced that the final merged healthcare reform bill will include a public option giving states the choice to opt out. Senate leadership is merging the Finance bill with the HELP Committee bill and sending the final product to the Congressional Budget Office, where it will take approximately two weeks to be scored. It is expected that the Senate could take up the legislation before Thanksgiving.

Reid has received pushback from a handful of moderate Democrats on his proposal to include an opt-out public plan in the final Senate bill. Senator Joe Lieberman (I-CT) has warned that he won't vote to bring closure to debate on the Senate floor if the current proposal is included in the final bill.   

PPSV in the News   

PPSV Attorney Presents to NSCHBC

PPSV Attorney Robert Saner presented a Medicare Legal and Compliance Update to the National Society of Certified Healthcare Business Consultants at its National Issues Meeting in Washington, held October 22nd. Consultant members of the NSCHBC provide a wide array of professional business and consulting services to physician, dental and other professional practices throughout the country.  

Upcoming Events   

Hearings

Tuesday, November 3

Increasing Small Business Health Care Costs
Senate Health, Education, Labor and Pensions Committee
Full Committee Hearing
2:30 p.m., 430 Dirksen Bldg.

Wednesday, November 4

H1N1 Influenza Pandemic
House Appropriations - Subcommittee on Labor, Health and Human Services, Education, and Related Agencies
Subcommittee News Conference/Briefing
10 a.m., 2359 Rayburn Bldg.

H1N1 Preparedness
House Energy and Commerce - Subcommittee on Health
2 p.m., 2322 Rayburn Bldg.   

For More Information   

For further information on any topics discussed or publications listed, or to get copies of anything mentioned in this alert, please call (202) 466-6550 and ask for the Legislative Practice Group.

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