Washington Notes

                                                        May, 2007

 

Two New Public Policy Briefs

Two new AADE Public Policy Briefs were approved at the recent AADE Board of Directors meeting.  The PPBs - the Diabetes Screening and Medicaid Savings Act” (S.755) and the GEstational DIabetes (GEDI) Act of 2007” (S. 907) are posted on the AADE website.

HHS Veteran Weems to Become Next Administrator of CMS

President Bush intends to nominate Department of Health and Human Services deputy chief of staff Kerry N. Weems, a 24-year veteran of the department, to be the next administrator of the Centers for Medicare & Medicaid Services (CMS).

Small Change Brings Big Improvement in Diabetes Care

A $400 annual investment in diabetes care could save as much as $33,000 per patient per year over a lifetime, according to investigators at the University of Chicago.

Modest efforts to ensure that patients in federally qualified community health centers are screened for diabetes and that those who are diagnosed with the condition are followed to prevent complications can reduce the lifetime incidence of diabetic retinopathy, renal disease, and coronary artery disease.

Over five years, a federal quality-improvement initiative, called the Health Disparities Collaborative, produced significant improvements in a number of diabetes quality-of-care parameters, including glycosylated hemoglobin (HbA1c) levels and preventive cardiovascular care, the authors reported online in Health Services Research.

Physician Groups Urge Congress to Adopt New Physician Payment System

Physician groups have begun drafting a proposal for Congress to overhaul Medicare's physician payment system by 2016 at the latest. Doctors blame the current Medicare system for shortchanging physicians. Their advocacy groups' proposal calls for immediately replacing the current system and its sustainable growth rate (SGR) formula. If the system cannot be scrapped immediately, the proposal calls for incorporating short-term payment increases from 2008 through 2015, with a new payment system in place by 2016 eliminating the SGR. The draft proposal, under development by the American Medical Association and other physician groups, recommends that Congress permanently replace the current physician payment system with a system that would base annual payment updates on recommendations made by the Medicare Payment Advisory Commission.

Lawmakers have said addressing the scheduled payment cuts for doctors is a high priority for Congress this year.  Any payment fix adopted by Congress, including cancelling the scheduled 2008 cut and replacing it with a zero update, is expected to cost at a minimum in the tens of billions of dollars.

GAO Recommends Efficiency Reports for Physicians in Medicare Program

A Government Accountability Office (GAO) report has recommended that the Centers for Medicare & Medicaid Services (CMS) should develop a system that identifies physicians with inefficient practice patterns, as a method of improving Medicare efficiency.  (Focus on Physician Practice Patterns Can Lead to Greater Program Efficiency (GAO-07-307))

CMS officials have told Congress that adequate Medicare payment and other claims information exists to move forward with a system of profiling individual physicians' practice patterns, which supporters say could improve doctors' efficiency and the quality of care. Medicare's data-rich environment is conducive to identifying physicians who are likely to practice medicine inefficiently.  The Centers for Medicare & Medicaid Services "has the tools to make statistically valid comparisons, including comprehensive medical claims information, sufficient numbers of physicians in most areas to construct adequate sample sizes, and methods to adjust for differences in patient health status."

 

Blue Cross Health Plans Recommend Institute to Study Treatments' Effectiveness

The Blue Cross and Blue Shield Association urged Congress to establish an independent public/private institute to fund research on the comparative effectiveness of various medical treatments, medications, and medical devices, to be paid for by all health care payers, including Medicare, Medicaid, and private insurers.

The institute would not conduct research, but rather would fund such work, association officials said. Organizations already conducting comparative effectiveness research, such as the federal Agency for Healthcare Research and Quality, would continue to do so, with funding from the institute.  The institute would support research comparing the effectiveness of new and existing medical procedures, prescription drugs, devices, and biologics and would focus on funding clinical trials.

Despite Spending More, U.S. Ranks Last

Despite spending more money on health care, the United States ranks last in several key quality and access measures compared to five industrialized nations. The study by The Commonwealth Fund found the United States ranked behind Australia, Canada, Germany, New Zealand, and the United Kingdom in many health care measures, in part due to the lack of both universal health insurance coverage and a national health information technology infrastructure. The United States ranks last on health care measures of quality, access, efficiency, equity, and outcomes. The United States performs poorly on these measures despite spending nearly double on health care per capita than the other countries studied, the study found

More information is available at http://www.cmwf.org