Senate passes SGR repeal legislation

With just hours before a 21% cut in Medicare payments went into effect, the U.S Senate approved a $145 billion healthcare reform package that repealed the sustainable growth rate (SGR) physician payment formula. The bill, which was passed by a 92-8 vote, replaces the SGR with an annual automatic 0.5% payment update over the next five years.

 

The reform package also delays changes to the two-midnight rule on inpatient billing until September 30, 2015, fully funds the Children’s Health Insurance Program through September 2017, and preserves all extenders from last year’s temporary SGR patch.