MRGRG-MS - TRICARE Receives Rate Cut Reprieve with House Passage of Budget Agreement
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Since 02-01-06


Folks:

I'm forwarding the following e-mail, but I'm not sure what it means. Note the date in the news release (February 1, 2005). This is 2006. Does this mean that there will be no Tricare fees/copays increases?

Floyd


-------- Original Message --------
Subject: TRICARE Receives Rate Cut Reprieve with House Passage of Budget Agreement
Date:     Wed, 1 Feb 2006 17:42:15 -0500
From:     Stone, John <John.Stone@mail.house.gov>
To:        GA09News <GA09News@mail.house.gov>

NEWS RELEASE
U.S. Representative Charlie Norwood, Ninth District, Georgia
For Immediate Release: February 1, 2006
TRICARE Patients and Physicians Receive Last-Minute Reprieve with House Passage of Budget Agreement

(Washington, DC) - TRICARE patients and physicians received a well-deserved last-minute rate cut reprieve today, with passage in the U.S. House of the Deficit Reduction Omnibus Reconciliation Act of 2005, which was approved by a 212-206 margin and now goes to the President to be signed into law.

Physician Medicare and TRICARE reimbursement rates will not be slashed as previously planned, thanks to intense pressure from U.S. Representatives Charlie Norwood, DDS (R-GA) and Ed Whitfield (R-KY).

Norwood and Whitfield succeeded in halting a 4.4% cut in Medicare/TRICARE physician reimbursement rates with provisions based on their bill, HR 4078, which instead freezes 2006 rates at 2005 levels, while requiring Medicare to revise the existing formula for establishing rates by 2007.   The current formula, if left unchecked, will cut physician rates by over half within a decade.

The American Medical Association predicted cuts that steep would drive most physicians out of the Medicare system, leaving elderly baby boomers without coverage.   The Military Officers Association of America predicted a similar calamity within the TRICARE program.

The effect of the rate cut on TRICARE would have been significantly worse than on Medicare.   Since TRICARE rates are based on Medicare, but can be as much as 25% less, the impact of the 2006 cuts alone could have forced half of participating TRICARE physicians out of the program, leaving America's active duty, National Guard, Reserve, and retired military members and dependents without access to care.

Norwood, a former Army dentist (173rd Airborne, 1968-69) says, "Our victory in overturning what would have been a disastrous rate cut for patients and physicians alike is highly appropriate way to begin 2006. With our troops currently giving battle in Iraq and Afghanistan, it is imperative we show them in more than words that their service is appreciated.   These provisions will ensure that those troops and their families will continue to receive TRICARE health coverage next year through their current physicians, and that is an excellent way to prove we mean it when we tell them they have our support."

U.S. Rep. Charlie Norwood 
2452 Rayburn Building, Washington, DC  20515   
On the Web: <http://www.house.gov/norwood>
Phone (202) 225-4101; Fax (202) 226-0776                                          
Contact: John Stone; John.Stone@mail.house.gov <mailto:John.Stone@mail.house.gov>