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What Every Member Needs to Know about a Long-Term "Doc Fix" |
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OCTOBER 15, 2009
Background: As part of spending reforms included in the Balanced Budget Act of 1997, Congress enacted a sustainable growth rate (SGR) mechanism for Medicare physician payment levels. The SGR mechanism is designed to balance the previous year's increase in physician spending with a decrease in the next year, in order to maintain aggregate growth targets. Thus, in light of increased Medicare spending in recent years, the statutory formula has resulted in negative annual updates. While an imperfect formula, the SGR was designed as a cost-containment mechanism to help deal with Medicare's exploding costs, forcing offsets in some years. Press reports indicate the Democrat majority may soon bring to a vote stand-alone legislation that is not paid for (S. 1776) to repeal the SGR formula.
The Cost: The Congressional Budget Office earlier this year estimated that a full SGR repeal would cost $285 billion over ten years. However, the Administration has already begun the process of "reforming" the SGR by hiding approximately $80 billion of a repeal's cost into the budgetary baseline as "current law"-even though some have questioned the Administration's authority to do so. Therefore, CBO scores S. 1776 as increasing the deficit by nearly $250 billion, though as stated earlier, the full impact of a long-term SGR "fix" approaches nearly $300 billion.
Members may particularly note that because seniors pay for one-quarter of total physician spending through their Medicare Part B premiums, passing S. 1776 would raise seniors' Medicare premiums by more than $70 billion over ten years-on top of the up to 20 percent increase in Part D prescription drug premiums as a result of Democrats' health "reform."
The Strategy: Press reports indicate that the Democrat majority intends to pass S. 1776 as a stand-alone bill in order to help facilitate passage of its broader health "reform" initiative. A CQ Today article noted that omitting an SGR "fix" from the Democrat health "reform" legislation "could free up billions of dollars that Democratic leaders could apply to make other changes in a health care plan"-making it easier for the majority to pass its government takeover of health care. Therefore, some may view a vote for S. 1776 as paving the way for enactment of a government takeover of health care, with all its flaws: More than $800 billion in job-killing new taxes, regulations that will raise premiums for millions of Americans, and creation of a government-run health plan causing as many as 114 million Americans to lose their current coverage.
True Reform Instead: Many Members may support legislation to address potential future SGR shortfalls, provided the legislation is fully paid for. For instance, a Congressional Budget Office report issued last week found that enactment of liability reform provisions-another top priority of physician groups-would reduce mandatory spending on Medicare and other federal entitlements by $41 billion over ten years. These changes, coupled with additional steps to enact modest means testing for wealthy seniors' Medicare premiums, would represent sound fiscal policy and true entitlement reform. Members may also note that the Administration has already proposed nearly $600 billion in savings from Medicare alone, and that less than half of this supposed "waste, fraud, and abuse" would easily finance SGR reform-if Democrats were not insistent that this money should be re-directed to fund its government takeover of health care.
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October 29, 2009
Democrats' Health Care Bill Text
The text of the Democrats' health care bill can be found here. It is 1,990 pages long -- start...
October 29, 2009
Democrat Health Care Bill to Include Public Option
After a widely circulated email from House Speaker Nancy Pelosi's office announced a health care press conference scheduled for...
October 27, 2009
AARP: Reform advocate and insurance salesman
By Dan Eggen Washington Post Staff Writer Tuesday, October 27, 2009 The nation's preeminent seniors group, AARP, has...
October 21, 2009
Pence Calls for Transparency in Health Care Debate and Real Help to Small Businesses
Washington, DC - U.S. Congressman Mike Pence, Chairman of the House Republican Conference, made the following remarks regarding the...
October 20, 2009
Democrats Cut Back-Room Deals Benefiting AARP
"There's an inherent conflict of interest....They're ending up becoming very dependent on sources of income."- Former AARP Executive Marilyn...
October 20, 2009
Democrats Cut Back-Room Deals Benefiting AARP
"There's an inherent conflict of interest....They're ending up becoming very dependent on sources of income."- Former AARP Executive Marilyn...
October 19, 2009
Candidate Obama vs. President Obama
Even as he campaigned on a platform of change and transparency, an examination of Barack Obama's comments during the...
October 19, 2009
Candidate Obama vs. President Obama
Even as he campaigned on a platform of change and transparency, an examination of Barack Obama's comments during the...
October 14, 2009
Talking Points: A Government Takeover of Health Care Will Hurt Small Businesses
The Democrat plan for a government takeover of health care would impose more than $820 billion in new tax hikes.Democrats...
October 14, 2009
October 14, 2009 Republican Leadership Press Conference
Republican Leadership Press Conference October 14, 2009 Participants: - Republican Leader John Boehner (R-OH) - Republican Whip Eric...
October 13, 2009
Speaker Pelosi Advocates Higher, European-Style Taxes
"I can make a firm pledge. Under my plan, no family making less than $250,000 a year will see...
October 09, 2009
Another "Rock Solid Deal" That Harms Seniors
"But what we will do is, we'll have the [health care] negotiations televised on C-SPAN, so that people can...
October 09, 2009
Another "Rock Solid Deal" That Harms Seniors
"But what we will do is, we'll have the [health care] negotiations televised on C-SPAN, so that people can...
October 08, 2009
Baucus "Tax on Jobs" Is Anti-Family
While the bill produced by Finance Committee Chairman Baucus is being portrayed by some media outlets as a "moderate...
October 08, 2009
House Democrat Bill Nearly Double Obama's $900 Billion Spending Cap
"I will not sign [health care legislation] if it adds one dime to the deficit-now or in the future. ...
October 01, 2009
Democrat "Compromises" Would Expand Federal Funding for Abortions
"And one more misunderstanding I want to clear up-under our plan, no federal dollars will be used to...
September 30, 2009
False Analogies to a Government-Run Health Plan
"I mean, if you think about-if you think about it, UPS and FedEx are doing just fine, right? No,...
September 29, 2009
Replacing One Ignored "Trigger" With Another
"I will not sign [health care legislation] if it adds one dime to the deficit-now or in the future. ...
September 29, 2009
Replacing One Ignored "Trigger" With Another
"I will not sign [health care legislation] if it adds one dime to the deficit-now or in the future. ...
September 28, 2009
House Democrats' Health "Reform" Will Harm American Economy
Even as unemployment approaches 10 percent nationwide, a recent Heritage Foundation analysis found that House Democrats' government takeover of...
September 24, 2009
House Democrats' "Tort Reform:" More Giveaways to Trial Lawyers
Even as President Obama promised to address tort claims as part of his health "reform" proposals, House' Democrats' government...
September 23, 2009
If You Like Your Current Plan...don't Tell Max Baucus
While the bill produced by Finance Committee Chairman Baucus is being portrayed by some media outlets as a "moderate...
September 22, 2009
AARP: Helping Seniors Or Helping Itself?
"There's an inherent conflict of interest....They're ending up becoming very dependent on sources of income." - Former AARP Executive...
September 22, 2009
Baucus Bill Full of Budgetary Gimmicks
While the bill produced by Finance Committee Chairman Baucus is being portrayed by some media outlets as a "moderate...
September 21, 2009
GOP Talking Points on Health Care
House Republicans will oppose any effort to pass a sweeping government takeover of health care and are committed to working...
September 21, 2009
Do Seniors Need a Social Security COLA?
In light of proposals being discussed to increase seniors' Social Security cost-of-living adjustment (COLA), the Republican Conference has prepared...
September 21, 2009
Democrat Health “Reform” IS a Massive Middle-Class Tax Increase
"I can make a firm pledge. Under my plan, no family making less than $250,000 a year will see...
September 18, 2009
Study Admits: Government Takeover Will Raise Private Insurance Premiums
A study recently published in the journal Health Affairs has confirmed what many have feared-that enrollment in a government-run...
September 17, 2009
Pence: The Democrat Compromise for Government-run Insurance is More Government-run Insurance
Washington, DC - U.S. Congressman Mike Pence, Chairman of the House Republican Conference, made the following statement today about...
September 14, 2009
Wall Street Journal Editorial: The Quietest Trillion
Congratulations. You're about to own $100 billion a year in student loans. The furor over President Obama's trillion-dollar...
September 11, 2009
House Democrats Break President Obama’s Promise
President Obama promised in his address to Congress that, "There are also those who claim that our reform effort...
September 10, 2009
Congressman Pence Discusses Health Care and Free Markets on CNBC Power Lunch
Transcript below: HOST: Here's what he had to say to his critics this morning. President Obama...
September 10, 2009
Common-Sense Questions That Follow the President’s Speech
President Barack Obama: "Our collective failure to meet this challenge - year after year, decade after decade - has...
September 09, 2009
Myth Vs. Fact: President’s Address to Congress
The Republican Conference has prepared analysis of President Obama's address to...
September 08, 2009
Pence: “The American people don’t want another speech on health care, they want another plan on health care”
Washington, DC - U.S. Congressman Mike Pence, Chairman of the House Republican Conference, made the following remarks today on...
September 08, 2009
GOP Talking Points on Health Care
· It is clear from town hall meetings held across the country that the American people are rejecting the...
September 08, 2009
House Democrat Health "Reform" Legislation: Short Summary of the Government Takeover of Health Care
BACKGROUND On July 14, 2009, the Chairmen of the three House Committees with jurisdiction over health care...
September 08, 2009
Democrats’ Government Takeover Will Raise Medicare Premiums By 20%
"I'm appalled by the deal the White House has made with the pharmaceutical industry's lobbying arm to buy...
September 08, 2009
Barack Obama and “Big Pharma:” Hypocrisy You Can Believe in
“I’m appalled by the deal the White House has made with the pharmaceutical industry’s lobbying arm to buy...
September 08, 2009
A “Trigger” for Destroying Americans’ Health Coverage
Even as the Administration continues to search for a “compromise” regarding its government takeover of health care, an examination...
September 08, 2009
Congressman Pence Discusses Health Care on ABC’s This Week With George Stephanopoulos
To view this clip, click here. Excerpts below: "Republicans are ready to work for comprehensive health...
September 02, 2009
Congressman Pence Discusses Health Care and Republican Alternatives on MSNBC’s Morning Joe
Excerpts below: JOE SCARBOROUGH: Do you think health care reform is dead? REP. PENCE: Well, I...
September 01, 2009
Barack Obama and "Big Pharma:" Hypocrisy You Can Believe In
"I'm appalled by the deal the White House has made with the pharmaceutical industry's lobbying arm to buy their...
August 31, 2009
Pence Calls on President Obama to Start Over on Health Care
Washington, DC - U.S. Congressman Mike Pence, Chairman of the House Republican Conference, made the following remarks on the...
August 18, 2009
“Big Pharma” and David Axelrod: $2 Million of Change You Can Believe In?
Even as President Obama campaigned on a platform of change and transparency, recent dealings between the pharmaceutical industry and...
August 17, 2009
Pence on Six Month Anniversary of Stimulus Signing: “the Results Are In: the Stimulus Isn’t Working”
WASHINGTON, DC-U.S. Congressman Mike Pence, Chairman of the House Republican Conference, issued the following statement today regarding the six...
August 10, 2009
Anti-war Protest? "Democracy in Action"
If you are an anti-war protestor... According to the San Francisco Chronicle, after meeting with a group of anti-war protestors,...
August 10, 2009
Pence Calls Pelosi "Un-American" Comment Offensive
Washington, DC - U.S. Congressman Mike Pence, Chairman of the House Republican Conference, responded today, on Fox News' America's...
August 06, 2009
New Video: "DISINFORMATION"
The House Republican Conference released a new web video today in response to a recent White House video on...
August 06, 2009
Reading Guide - Democrat Health "Reform"
In order to assist Members, staff, and interested parties seeking to read and review the health "reform" legislation (H.R....
July 31, 2009
Pence Denounces Procedural Gimmick to Include Taxpayer-Funded Abortions in Democrats’ Health Care Plan
Washington, DC - U.S. Congressman Mike Pence, Chairman of the House Republican Conference, made the following statement today after...
July 28, 2009
July 28, 2009 Republican Leadership Stakeout
Participants: - Republican Leader John Boehner (R-OH) - Republican Whip Eric Cantor (R-VA) - Republican Conference Chairman Mike Pence...
July 23, 2009
Pence Responds to Democrat Leadership Claims of Not Being Afraid to Postpone August Recess
"I'm always in favor of Congress sticking around long enough to get the right thing done but if the...
July 22, 2009
Pence Statement on the President’s Partisan Pitch for Health Care Reform
"The President of the United States may 'mean it' when he says a government takeover of health care won't...
July 22, 2009
Congressman Pence Discusses Jobs and Democrat Health Care Bill on MSNBC’s Morning Joe
To view this clip, click here. Transcript below: [Clip of Hoyer on the House floor] ...
July 21, 2009
Pence Challenges Government Takeover of Health Care During Economic Recession
Washington, DC - U.S. Congressman Mike Pence, Chairman of the House Republican Conference, made the following statement on the...
July 17, 2009
GOP Talkers on Democrats’ Government Takeover of Health Care
During the worst recession in a generation Democrats propose a government takeover of health care that will lead to fewer...
July 14, 2009
Pence: "The American People Have No Stomach for A Government Takeover of Health Care That Will Lead to Fewer Jobs, Higher Taxes and Less Health Coverage"
Washington, DC - U.S. Congressman Mike Pence, Chairman of the House Republican Conference, made the following statement today after...
July 09, 2009
Beware Democrats Bearing Gifts: The Direct Loan Program and the So-Called "Public Option"
"It is truly an entrepreneurial kind of system, where there is no coercion in the system. And it is...
July 08, 2009
Pence Responds to White House Health Care Announcement
WASHINGTON, DC - U.S. Congressman Mike Pence, Chairman of the House Republican Conference appeared on FOXNEWS this...
June 23, 2009
Democrat Health “Reform” by the Numbers - UPDATED
The Republican Conference has compiled a list of important numbers relevant to the House Democrats’ 1,018-page “America’s Affordable Health...
June 22, 2009
House Democrat Draft Health “Reform” Legislation
Background On June 19, 2009, the Chairmen of the three House Committees with jurisdiction over health care legislation—Education and Labor...
June 09, 2009
Pence Statement on Administration's PAYGO Announcement Today
Washington, DC - U.S. Congressman Mike Pence, Chairman of the House Republican Conference, made the following statement on the...
May 21, 2009
U.S. News & World Report: Rep. Phil Gingrey: Government-run Healthcare Would Backfire, Making 'Public Option' the Only One
Former DNC chair's government-run insurance program is sure to backfire. Just ask his wife the doctor By Phil...
May 15, 2009
Health Care Leaders Say Obama Overstated Their Promise to Control Costs
by Robert Pear, The New York Times WASHINGTON - Hospitals and insurance companies said Thursday that President Obama...
May 12, 2009
Pence: Medicare and Social Security Report Shows Need for Real Reform
Washington, DC - U.S. Congressman Mike Pence, Chairman of the House Republican Conference, issued the following statement today in...
May 11, 2009
GOP Health Care Talking Points
As the American people struggle to make ends meet, too many also live with the challenge of affording basic health...
May 06, 2009
Ready for Rationing?
*This post originally appeared on Net Right Nation. by Rep. John Shadegg (AZ)Are you ready for health care rationing? ...
May 01, 2009
Leading House Democrat Admits That Government-Run Health Care Will Put Private Health Care Out of Business
http://www.breitbart.tv/html/330913.html Rep. Jan Schakowsky (D-IL): "And next to me was a guy from the insurance company,...
April 03, 2009
Question and Answer: Medicare and the Republican Budget
"The real problem with our long-term deficit actually has to do with our entitlement obligations...The big problem is Medicare, which...
April 03, 2009
Question and Answer: Medicare and the Republican Budget
"The real problem with our long-term deficit actually has to do with our entitlement obligations...The big problem is Medicare, which...
March 23, 2009
Jeff Flake: Uncensored
Rep. Jeff Flake (AZ) gets a few words in at the American Spectator this morning, offering insight from the...
March 23, 2009
Jeff Flake: Uncensored
Rep. Jeff Flake (AZ) gets a few words in at the American Spectator this morning, offering insight from the...
March 09, 2009
Investor's Business Daily: More Money Won't Assure Quality Care
"What it's supposed to do for people doesn't get done in reality." The speaker criticizing this government program...
March 05, 2009
Obama vs. Obama - Health Care
President Obama said government-run health care was “extreme” and “wrong” but… Then-Candidate Obama said government- run health care was...
March 04, 2009
Ten Facts About President Obama’s Health Care Proposals
President Obama's budget proposal includes nearly $1 trillion in new health care spending-a $634 billion reserve fund as a...
February 26, 2009
Information On President Obama’s Health Care Budget
President Obama's budget includes nearly $1 trillion in new health spending-a $634 billion reserve fund as a "down payment"...
February 23, 2009
Redstate: Medicaid For Millionaires By Rep. Cliff Stearns
"We shouldn't have to do that, because they should know better." So said President Obama in explaining why...
February 10, 2009
Question and Answer: Government-rationed Health Care
In light of the inclusion of $1.1 billion in the Democrat "stimulus" legislation for the Agency for Healthcare Research...
February 04, 2009
SCHIP Principles
In anticipation of a potential vote to reauthorize and expand the State Children’s Health Insurance Program (SCHIP), the Republican...
January 14, 2009
Pence Supports Healthcare for Needy Children
Congressman Mike Pence (R-IN), Chairman of the House Republican Conference, issued the following statement today regarding House consideration of...
