The Centers for Medicare and Medicaid Services (CMS) projects that it will pay approximately $58.9 billion to 900,000 physicians and other healthcare professionals in CY08, under a proposed rule released yesterday that would revise payment rates and policies under the Medicare physician fee schedule. As required by the sustainable growth rate formula specified in the Medicare statute, the estimated update to the physician fee schedule for 2008 is -9.9 percent.
Provisions in the proposed rule include modifying a number of physician self-referral provisions to close loopholes that have made the Medicare program vulnerable to abuse, revising certain physician payment localities according to one of three proposed options, and using the Physician Assistance and Quality Initiative Fund to extend voluntary quality reporting bonus payments into 2008.
Comments will be accepted on the proposed rule until Aug. 31, 2007, and a final rule will be published later in the fall. The final rule will be effective for services on or after Jan. 1, 2008. Read the announcement.
