Bush Signs Medicare Package Into Law

VHCA (1/4/2008)

President Bush has now signed the “Medicare, Medicaid and SCHIP Extension Act of 2007” (S. 2499) into law. This package is significant to our entire profession as it retains the full 3.3% Medicare Market Basket update that went into effect on October 1, 2007.  The fact that the Market Basket update for FY 2008 was not reduced, preserves $690 million in critical Medicare funds in one year according to the Centers for Medicare and Medicaid Services (CMS). 

S. 2499 also extends the Medicare Part B therapy caps exceptions process until June 30, 2008.  With Bush’s signature, the onerous therapy caps have been delayed for at least six months.  AHCA has stated that they will take advantage of this delay to work with Congress, the Administration and the Centers for Medicare & Medicaid Services (CMS) to establish a new, condition-based reimbursement system for therapy services.