NRHA Grassroots Action Call November 30, 2011 The fight continues.

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Presentation transcript:

NRHA Grassroots Action Call November 30, 2011 The fight continues

Sequestration What is a “Sequester”? This process, sometimes referred to as “the trigger,” includes the cancellation of budgetary resources. The automatic process for deficit reduction involves several steps and calculations. These calculations are dependant on various outcomes, i.e. federal receipt changes, appropriated outlays, growth in Medicare/Medicaid, etc. According to the Congressional Research Service, “The precise implications of the automatic spending reduction process cannot be assessed at this time.”

Sequestration Cont. Medicare provider reimbursements will be cut 2%. Medicare will not alter procedures (DRGs) and will not limit beneficiary services. Medicaid and Social Security will not be part of the automatic cuts. Total cuts will equal the $1.2 trillion dollar Super Committee goal. The total increase allowed for new borrowing authority will be $1.5 trillion

Sequestration Cont. Some groups are asking that Congress modify the programs that are protected in sequestration. Asking for modifications to defense share, discretionary account cuts, types of Medicare cuts, etc. Some groups are claiming that modifications would require congressional action while others point to executive discretion in the administration of the cuts.

Sequestration Cont. President has promised not to lift the sequester or modify the implementation of cuts. Congress may attempt to override a veto before the cuts take affect in Unlike the up or down vote for a Super Committee proposal, the override must occur in “normal order”. The caps, cuts, modified payments are set to continue until 2021.

Other Notable Events Sec. Sebelius is expected to announce an extension of MU Stage 1 this afternoon She will also be speaking at the Rural Health Policy Institute in January SGR and Medicare Extenders are set to be discussed in both the House and Senate Rural Health 101 with Senate Rural Health Caucus scheduled Meetings with House Rural Health Coalition scheduled for next week