News

July 9, 2008

senator harkin votes to support iowa physicians and medicare patients

Washington, D.C. – U.S. Senator Tom Harkin (D-IA) today advocated for more than 500,000 Iowa physicians, rural health care providers, and Medicare patients by supporting the Medicare Improvements for Patients and Providers Act.  This legislation would prevent a scheduled cut in reimbursement for physicians who serve Medicare patients, while also providing important reforms for hospitals and patients.  Harkin and his Senate colleagues approved the legislation by a veto proof margin of 69 to 30 votes. Two weeks ago, the House of Representatives also passed the legislation by a veto proof margin of 355-59 votes, it will now be sent to the president, who has not said whether he will sign the measure. 

If the president vetoes this legislation, Iowa physicians serving Medicare patients stand to lose $110 million over the next 18 months, due to a 10.6 percent cut in Medicare payments. In addition, Iowa physicians will face cuts of an additional 1.9 percent on top of the 10.6 percent cut because of the unequal way that Medicare Part B programs reimburse physicians by favoring urban areas over rural areas. 

Also, more than 40,000 Iowa military men, women and families stand to lose out since reimbursement rates for providers caring for military retirees, active duty men and women, and their families through TRICARE are set by the Secretary of Defense in accordance with the rules used by the Medicare program. A presidential veto would make it more difficult or impossible for physicians to accept TRICARE patients.

“Iowa’s health care providers are some of the best in this country and their quality of care for the elderly, disabled and military personnel goes unmatched.  Our doctors and seniors deserve better.  I urge President Bush to do the right thing and sign this legislation,” said Harkin.

In addition, the legislation contains significant measures to make Medicare work better for more than 44 million seniors enrolled.  The bill will increase the amount of assets that low-income beneficiaries can have and still qualify for financial help with Medicare costs; add new preventive benefits to the Medicare program; and reduce beneficiary out of pocket costs for mental health care.

For rural communities, this bill includes several provisions from Harkin’s “Craig Thomas Rural Hospital Provider Equity Act” that aim to protect access to care in rural areas.

“As Co-Chair of the Senate Rural Health Caucus, I understand the unique challenges facing Medicare providers in rural states. We have a higher proportion of elderly Americans as a percentage of the population, and our reimbursements do not reflect the costs of providing health care for them,” continued Harkin.

For local pharmacies that provide prescription drugs for patients on popular programs like Medicare Part D, the bill requires Medicare Advantage plans to pay pharmacies promptly (within 14 days); and updates the prices they will reimburse for prescription medicines at least weekly so the pharmacies know what they should get paid.