Breaking Update

July 9, 2008

Senate Votes Reversal of Cuts in Medicare Doctor Fees

The Senate voted final passage of legislation that would halt a 10.6 percent cut in physician Medicare reimbursements by reducing payments to private insurers instead.

Senator Edward Kennedy returned to participate in the vote, his first appearance in the Senate since having surgery last month for brain cancer. The votes cast to take up the measure totaled 69, more than the two- thirds margin required to override President George W. Bush's threatened veto of the legislation. All 30 votes in opposition came from Republicans.

Republicans and Democrats have been fighting over how to block the cut in fees that took effect July 1 for doctors who treat patients under Medicare, the U.S. health program for the elderly and disabled. Democrats say the money should come from reducing payments to private insurers that provide care through Medicare Advantage plans. Some Republicans objected, saying insurers would be forced to pare benefits to senior citizens. Aides to Bush have said they would urge him to veto the measure, although the House passed it by a veto- proof margin last month.

Congratulations and thanks to all the ASIPP members who spent countless hours collecting signatures, sending letters and making calls. Without these efforts, this reprieve might not have occurred.