tci Part B Insider - 2003 Issue 29

Physician Notes: CMS Announces Whopping 4.5 Percent Cut to 2004 Physician Spending

Doctors pray for Medicare reform legislation to set it rightForget about that 4.2 percent cut you've been dreading for 2004. The Centers for Medicare & Medicaid Services says the final number is even worse: a 4.5 percent drop across the board. Unless Congress does something soon to avert disaster, physicians could see a massive drop in payments next year. CMS blames the "Sustainable Growth Rate" it calculates based on current physician spending and projected growth in the domestic economy, among other factors, for this drop. And yet physician spending will still rise, from a projected...

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