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FEDERALhearing transcript

Senate Hearing on Medicare Physician Payment Reforms (MACRA)

Original title: MEDICARE ACCESS AND CHIP REAUTHORIZATION ACT OF 2015: ENSURING SUCCESSFUL IMPLEMENTATION OF PHYSICIAN PAYMENT REFORMS

January 1, 2017

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The Frame

What this does

The hearing reviews the implementation of MACRA, a law that permanently changed how Medicare pays doctors, which affects the financial stability of medical practices and the long-term fiscal health of the Medicare program.

Who is mentioned in the record

Potentially affected actors named in the source documents. Mention is not a position.

Medicare beneficiaries

Beneficiaries are subject to new means-testing for premiums and changes to Medigap coverage options.

Physicians

Physicians are subject to new payment models and reforms replacing the previous SGR formula.

What changed

Last recorded activity January 1, 2017.

What's next

Next step not available in the current record.

Summary

This document is a transcript of a 2016 Senate Finance Committee hearing regarding the implementation of the Medicare Access and CHIP Reauthorization Act (MACRA). The hearing focused on how the Centers for Medicare and Medicaid Services (CMS) is transitioning away from the old Sustainable Growth Rate (SGR) formula to new physician payment models.

Key Facts

  • The hearing was held on July 13, 2016, by the Senate Committee on Finance.
  • MACRA permanently eliminated the Medicare Sustainable Growth Rate (SGR) formula.
  • Between 2002 and 2014, Congress passed 17 separate laws to temporarily prevent SGR-mandated cuts to physician payments.
  • MACRA introduced structural reforms including increased means testing for Medicare Part B and Part D premiums.
  • MACRA placed new limits on 'first dollar' Medigap coverage for new Medicare beneficiaries.
  • The hearing focused on the transition to new physician payment models intended to replace the SGR system.

Frequently Asked Questions

What was the 'SGR' formula?
The Sustainable Growth Rate (SGR) was a formula used to calculate Medicare physician payments that frequently resulted in mandated payment cuts, requiring Congress to pass temporary 'patches' 17 times between 2002 and 2014.
What changes did MACRA make to Medicare premiums?
MACRA implemented increased for Medicare Part B and Part D premiums, meaning higher-income beneficiaries pay a larger share of their costs.

Why It Matters

The hearing reviews the implementation of MACRA, a law that permanently changed how Medicare pays doctors, which affects the financial stability of medical practices and the long-term fiscal health of the Medicare program.

News Coverage

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Sponsors

Discoveries

Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.

policy shift100% confidence

End of the SGR Patch Cycle

The document highlights the transition from a decade-long cycle of temporary legislative 'patches' to a permanent structural reform of Medicare physician payments.

Connected Entities

personOrrin G. HatchChairman of the Senate Committee on FinanceMap →
personRon WydenU.S. Senator from OregonMap →
personAndy SlavittActing Administrator of the Centers for Medicare and Medicaid Services (CMS)Map →
organizationCenters for Medicare and Medicaid ServicesFederal agency responsible for implementing the reformsMap →

Sources

Open source document

www.govinfo.gov

Analysis Score

0–100
  • Significance65
    How much this matters to a regular citizen
  • Controversy20
    Intensity of disagreement among stakeholders
  • Entertainment10
    Compellingness for a non-policy-wonk reader
  • Buzz15
    Current news / social attention level

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