AMA urges Congress to implement MedPAC

     The American Medical Association recently addressed Congress to move quickly and approve the recommendation of the Medicare Payment Advisory Committee (MedPAC) to eliminate the government's flawed Medicare Payment formula.  The AMA is pleased that MedPAC has outlined a Medicare payment formula tied to physicians' actual expenses.  Using this formula, MedPAC has recommended a 2.5 percent Medicare payment increase in 2003.

     Timothy Flaherty, MD, AMA Chair, stated he was pleased with the panel's recommendations.  "If Congress does not approve them soon, physicians may be forced to lay off staff and may be unable to accept new Medicare patients."

      The AMA has always believed that the current Medicare payment formula tied to gross domestic product (GDP) was ill conceived and is a threat to the Medicare program.  As part of their ongoing campaign, the AMA urged Congress to put an immediate legislative halt to the 5.4 percent across-the-board Medicare payment cut and not wait to address it as part of a broader Medicare package that may not be enacted until late this year.