Now that the latest annual “doc fix” is in, Congress has granted physicians another reprieve from potentially crippling cuts to their Medicare reimbursements under the sustainable growth rate (SGR) payment formula. The SGR calls for Medicare payments to be reduced if health spending is higher than gross domestic product (GDP) for the given year.
Explore this issue:June 2012
Beginning this year, there’s a new player in town, one with the authority to achieve what Congress has consistently failed to do—cut Medicare provider spending to keep it below a cap, and do so with unprecedented autonomy.
Say hello to the Independent Payment Advisory Board (IPAB), a creation of the Affordable Care Act (ACA) that will propose ways to reduce “overpayment” to Medicare providers if target spending levels are exceeded.