Sept. 16, 2009

Here's your regular update on efforts by the American Medical Association (AMA) to work with lawmakers in reforming the nation's health care system in a way that provides quality, affordable health care for all.

Senate Finance Committee releases health system reform proposal
U.S. Senate Finance Committee Chair Max Baucus (D-Mont.) released a health system reform proposal this morning that will be considered by his committee next week. "America's Healthy Future Act of 2009" (PDF) is a comprehensive proposal that includes insurance market regulations, income-related subsidies for purchasing coverage and other reforms. Notably, the proposal does not include a public plan option; rather, it creates authority for the formation of a Consumer Owned and Oriented Plan, or CO-OP. Also, as anticipated and reported previously, the proposal differs significantly from the U.S. House of Representatives health system reform bill in that it would not repeal the sustainable growth rate (SGR) formula used to calculate Medicare physician payment updates. Instead, the Senate Finance Committee proposal replaces the scheduled 21 percent cut in 2010 with a 0.5 percent Medicare physician payment update. The package includes several other proposals of concern to physicians as well.

After further review of the 223-page document, the AMA will continue its ongoing discussions with Chairman Baucus and other Senate Finance Committee members to strengthen and improve the proposal.

The committee has asked its members to submit their proposed amendments to the legislation by Friday, Sept. 18, so that markup can begin next week. The Senate leadership announced previously their intention to complete floor consideration of health system reform legislation before Columbus Day.

Dr. Rohack testifies at House hearing on "urgent need for health system reform"
AMA President J. James Rohack, MD, testified yesterday at a hearing convened by the House Democratic Steering and Policy Committee regarding health system reform. More than 70 members of the House Democratic Caucus attended the meeting. In hisstatement (PDF), Dr. Rohack emphasized the critical elements identified by the AMA as essential to health system reform, touching on key issues such as repealing the SGR, enacting medical liability reforms and ensuring that patients are able to privately contract with their physicians.