Congress hears patient and physician voices and overrides presidential veto to stop Medicare physician payment cuts

For immediate release
July 15, 2008

Statement attributable to:
Nancy H. Nielsen, MD
President, American Medical Association

"It has been a long and winding road, but today we celebrate that Congress heard the voices of millions of patients and physicians and voted to override President Bush’s veto and protect the health of America. We thank the bipartisan majority in Congress who voted to put patients first.

"The 10.6 percent cut in payments to physicians who treat Medicare patients would have been devastating to seniors and the disabled who rely on Medicare for the health care they need, as well as to military families who rely on TRICARE for their health care.

"This congressional debate underscores the need for lawmakers to permanently replace the flawed Medicare physician payment formula so physicians can focus on the real work at hand: taking care of patients.

"We are encouraged that this bill stops Medicare cuts for the next 18 months and gives physicians a 1.1 percent payment update to help payments keep up with the increasing cost of providing health care to seniors. Current Medicare payments to physicians are about what they were in 2001, while the cost of running a medical practice has increased substantially.

"The bill contains a number of other important provisions, including an extension of expiring provisions that boost payments in rural areas, bonuses for quality reporting, a phase-out of higher co-pays for mental health services, an expansion of the medical home demonstration project and  increased payments for anesthesia teaching programs.

"Along with the AMA, many patient, physician, and military groups called on Congress to pass this bipartisan bill. The only group opposing the bill was the health insurance lobby, which was eager to protect health plan subsidies and profits. Seniors, the disabled, and military families celebrate with us today as this bill becomes law to protect their access to needed health care."

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For more information, please contact:

Brenda L. Craine
Director, AMA Media Relations
(202) 789-7447