tci Part B Insider - 2005 Issue 31

PHYSICIAN NOTES: Phase In P4P Over Time, Societies Urge Congress

Give doctors until 2010 to adjust to P4P, AMA advisesPay for performance (P4P) is incompatible with the current Medicare physician payment formula, which calls for cuts of close to 5 percent for the next six years, physicians insist.The American Medical Association and 68 other medical societies wrote to House Ways and Means Chairman Bill Thomas (R-CA) and Senate Finance Chair Charles Grassley (R-IA) to support a phased-in approach to P4P. Under the societies' framework, the current formula would be replaced with positive annual updates based on the Medicare Economic Index (MEI).Physicians would receive bonus payments in 2007...

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