Action Alert: 4.4 Percent Medicare Payment Cut Begins January 1
posted 10.04.05
The Centers for Medicare and Medicaid Services (CMS) has indicated that, effective January 1, physician payment rates will be cut by 4.4 percent. This cut is due to a flawed formula which only Congress can change. Moreover, without Congressional action, similar size cuts are projected yearly for the next several years. This outdated and dysfunctional formula known as the sustainable growth rate (SGR) simply must be changed.
Bills have been introduced in both the House and the Senate that call for action to avert such a substantial cut. However, in the wake of the recent hurricane disasters, Congress could easily lose sight of the importance of maintaining an adequate Medicare physician payment rate.
Please send an urgent letter to your Representative and Senators urging Congress to act before adjourning. Without Congressional action the second major cut to Medicare payment rates in the past five years will take effect January 1.

