Good news for providers: Senate Expected to drop "Medicare-Buy In" Option

Reports starting Monday night are that top Senate Democrats are prepared to sacrifice proposals to expand Medicare in a bid to win over moderates and amass the 60 votes needed to pass their health legislation. While this will be portrayed in the media as "dropping the public option", this is actually very good news for health care providers that recognize the problematic issues that expanding Medicare to any 55 to 64 year olds would create at this time. Instead this leaves the Federal Employee Health Benefit Plan (and some expansion of Medicaid) as they resources to address the uninsured. We expect to see a CBO score on the revised plan today.

One urgent issue that remains unclear is whether Congress will fix the looming Medicaid physician reimbursement cut of over 20% that will go into effect in January 1st. In these economic times lets hope that Congress addresses this prospectively even if its just another temporary or one-year fix.

More votes on health reform amendments expected later this afternoon.