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2014 SGR Discussion and Proposal Details

The SGR controversy began in 1997, when Congress approved the Sustainable Growth Rate formula.  It was designed to determine physician fees under the federal Medicare program.  Since 2001, SGR has mandated reductions in physician fees, and Congress continues to step in and extend their pay.

However, EMR Billing Solutions is concerned about the possible 24 percent reduction in Medicare fees that will take place if Congress does not alter the current policy. As expected, the Senate has responded by scheduling another vote.  Along with the House of Representatives, they are developing a final legislation to repeal and replace SGR. Nevertheless, the House has approved another temporary fix, which extends a “patch” on SGR for another year.

The Current SGR Proposal Details include:

  • Combining three quality Medicare payment programs to reward providers who meet required performance levels
  • Improving Senior care with assurance for providers
  • Physician-established Clinical Care Guidelines, aimed to reduce careless spending and improve overall patient care
  • A Technical Advisory Committee to analyze and advise Physicians who develop alternative payment models
  • 0.5% fee increase for Medicare Physicians till 2014 ends
  • Increases in Medicare payments to hospitals and ambulances in rural areas
  • Instituting two new Mental Health Grant Programs that would obtain $60 million over four years to advance outpatient treatment
  • Push back the deadline on the new ICD-10
  • Postpone the new inpatient “two-midnight rule” for hospitals to March 2015

At EMR Billing Solutions, we take the future of medicine very seriously, and it is our goal to keep you informed.