FOR IMMEDIATE RELEASE, Tuesday, June 24, 2008
Ways and Means Contact: J. Jioni Palmer or Matthew Beck (202) 225-8933
Stark Contact: Brian Cook (202) 225-3202

WASHINGTON – Following the overwhelming, bipartisan passage of H.R. 6331 the Medicare Improvements for Patients and Providers Act, by a vote of 355-59, Ways and Means Committee Chairman Charles B. Rangel (D-NY) and Ways and Means Health Subcommittee Chairman Pete Stark (D-CA) commended the House for offering considerable support for the Medicare package.

H.R. 6331 is the companion bill to S. 3101—a bill sponsored by Senate Finance Chairman Max Baucus (D-MT) which in a preliminary vote two weeks ago earned the support of all Senate Democrats, plus nine Senate Republicans, with one Senate Republican voting “present.” The Senate vote was taken before the package was strengthened in the House with the introduction of H.R. 6331.

“The House voted with a veto-proof majority today to begin to roll back efforts to privatize Medicare and to support Medicare’s beneficiaries, physicians and other critical providers," said Chairman Rangel. “This is a reasonable compromise that makes modest, but necessary, improvements to Medicare. There is no reason that the Senate can't have a similarly bipartisan vote and send this to the President for his signature this week."

“With today’s overwhelming vote, the House has sent a clear message that the needs of physicians, seniors, people with disabilities, and small businesses are more important than the special interests of the health insurance industry,” said Chairman Stark. “With even a majority of Republicans voting for the bill, it is now up to the Senate to send this bill to the President’s desk as soon as possible.”

H.R. 6331 will prevent a 10.6 percent pay cut to physicians, which is scheduled to take place on July 1, and will provide a 1.1 percent update in physician payments starting January 1, 2009. The bill also includes important improvements for beneficiaries, such as Medicare mental health parity, improved preventive coverage, and enhanced low-income assistance. In addition, it provides measures to ensure prompt insurance payment to pharmacies for prescription drugs, and a delay of a Medicaid regulation that will result in lower generic drug reimbursement to pharmacies. It also includes an 18-month delay in implementation of the flawed competitive bidding program for Durable Medical Equipment (DMEPOS).

The legislation is fully paid for in a balanced manner. It will reduce Medicare Advantage Indirect Medical Education (IME) overpayments and make changes to the private fee for service program that impact network requirements, not payment levels. In addition, these efforts to rein in Medicare Advantage extends Medicare solvency.