MSDC stripped
eNewsline

May 24, 2010
Vol. 17, No. 11
In This Issue
MSDC Files Lawsuit Addressing "Red Flags Rules"
US House To Address Medicare Payment Cuts
Update from Highmark Medicare Services
Tips for Negotiating with Third Party Payers
From the DC Department of Health
Ahoy Mateys!
Be a Leader in Medicine
Call for Nominations
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Upcoming Events
ProAssurance Loss Prevention Seminars**
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June 16
American College of Cardiology
2400 N. St. NW
Washington, DC
5:30pm - 8pm
"On the Waterfront"
Annual Meeting and Social
Wednesday
October 20, 2010
6:00pm-9:00pm
Phillips Restaurant
900 Water Street, SW

Registration:
$60/members; $105/members/spouse;
$50/students/residents;
$80/non-members

RSVP by October 15 to Barbara Allen at allen@msdc.org
(202) 355-9403

On-site Registration will increase in cost by $20 for each category
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2009-2010 Board of Directors
Stuart F. Seides, MD
At-Large; Chair of the Board

Peter E. Lavine, MD
President; AMA Alternate Delegate

Frederick C. Finelli, MD
President-Elect

Joseph Gutierrez, MD
Treasurer; AMA Delegation Chair

Robert W. Keisling, MD
At-Large; Secretary

Carlos A. Silva, MD
AMA Delegate

Laura L. Tosi, MD
At-Large; AMA Alternate Delegate

James C. Cobey, MD
At-Large

Julian R. Craig, MD
At-Large

John W. Larsen, MD
At-Large

Joan B. Loveland, MD
At-Large

Richard McCarthy, MD
At-Large

Reginald Robinson,MD
At-Large

K. Edward Shanbacker
Executive Vice President
Contact the MSDC Office
1115 30th Street, NW
Suite 100
Washington, DC 20007
(202) 466-1800 (phone)
(202) 452-1542 (fax)
info@msdc.org
www.msdc.org

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MSDC Files Lawsuit Against FTC Over "Red Flags Rules"
     The Medical Society of DC has joined with the American Medical Association and American Osteopathic Association as a named plaintiff in a lawsuit against the Federal Trade Commission to enjoin the "Red Flag Rules" currently required for physicians' medical practices.  The was filed in the United States District Court for the District of Columbia on Friday, May 21st, and prepared by the AMA's Litigation Center.
     In 2003, Congress amended the Consumer Credit Protection Act, 15 U.S.C. § 1681m(e), to require the FTC and five other federal agencies to issue joint regulations to detect, prevent, and mitigate identity theft with regard to the extension of "credit" by a "creditor."  The regulations require businesses to adopt written policies to detect and prevent identity theft  and then review those policies annually to make sure they are being followed. 
     According to the FTC, physicians, who do not receive full payment for their services at or before the time they perform those services, are creditors and must comply with the statutory and regulatory requirements.  This requirement is an example of one more pointless distraction from medical practice.  The FTC has continually delayed the deadline for compliance with its regulations, resulting in a June 1, 2010 deadline.  However, this habitual delay is not an acceptable outcome.
     On November 30, 2009, the American Bar Association secured a declaratory judgment and an injunction in the DC District Court to prevent enforcement of the FTC red flags regulations against attorneys.  The FTC has appealed the ABA suit, but an encouraging precedent is set for a favorable outcome for physicians.
US House Plans to Address the June 1st Medicare Payment Cuts
American Medical Association     The U.S. House of Representatives plans to vote on legislation that is expected to include a new proposal to avert the 21 percent cut in Medicare physician payments that is scheduled to take effect on June 1.  Elements of the proposal are:
  • 1.3 % Medicare payment update for the remainder of 2010
  • 1.0% payment update in 2011
  • Updates for 2012-13 established under two expenditure targets
  • SGR formula resumes in 2014 to reflect current law
     The two expenditure targets are patterned after those proposed in H.R. 3961, which passed the House last year.  An expenditure target for evaluation and management and preventive services will be set at GDP plus two percentage points; a separate expenditure target for all other physician services will be set at GDP plus one percentage point.  These targets are more generous than the current SGR, which is set at GDP with no additional growth allowance.  During the two-year period when the twin targets are in place, an update floor will be set at zero to prevent any conversion factor cuts in 2012-13.
     In 2014, the current SGR formula will resume, with a conversion factor that is expected to be considerably lower than it is today.  The cost of repealing the SGR formula will also be higher.
     The proposal is similar to one outlined earlier last week, scaled back due to objections raised in the Senate over cost.  We are also told that a small reserve fund may be set aside for the remainder of 2010, in the event that Congress chooses to revisit the issue and make further adjustments to the payment formula.
     The SGR proposal is being incorporated into H.R. 4213, "The American Jobs and Closing Loopholes Act of 2010," which is planned for consideration on the House floor early this week.  The Senate is expected to take up the bill shortly after it is passed by the House.

For more information and to view the AMA's statement on this proposal, please click here.
Update from Highmark Medicare Services:  PECOS Enrollment Questions
     The Internet-based Provider Enrollment, Chain and Ownership System (Internet-based PECOS) can be used in lieu of the Medicare enrollment application (i.e., paper CMS-855) to:
     Under the recently passed health system reform legislation, Opt Out physicians are now required to establish an enrollment record in PECOS so that he/she can order and refer covered items or services for Medicare beneficiaries by July 6, 2010.

     For more detail on this provision, please click here.
From Carey Business School: Tips for Negotiating with Third Party Payers
JHUCarey     In negotiations with third party payers, all too often it seems that the anticipated outcome is "No."  Here are some techniques to help move these negotiations forward.
 
1.      Ask for a critique of your proposal
2.      Use "and," not "but"
3.      Use objective data to persuade others
4.      Pay attention to patterns - yours and theirs

     A more detailed version can be accessed by clicking here.

Catherine J. Morrison, JD, is an Assistant Professor of The Business of Health at the Johns Hopkins Carey Business School.
DC Department of Health Announces $2 Million in Grant Funds
District of Columbia Flag     The DC Department of Health (DOH) announced $2 million dollars in recommended funding for three different non-profit organizations that will establish and operate school-based health center facilities in Ballou Senior High School, Coolidge Senior High School and Anacostia Senior High School. The grants are part of the DOH initiative Live Well DC, an interagency effort to create a holistic approach to health and wellness for the District, by proactively targeting individual behaviors to prevent poor health outcomes. DOH is working with DC Public Schools (DCPS) and the Office of Public Education Facilities Modernization (OPEFM) on the construction of each health-center space, as well as the purchasing of furniture and office equipment. 
     For more information, please click here.
ProAssurance
Join 2,000 of Your Fellow Society Members for MSDC's Annual Meeting and Social
blue crab     This year's Annual Meeting and Social is sure to be the "Deadliest Catch."  We've been greenhorns too long - it's time to head to the docks and waterfront!
     Join your colleagues at the flagship Phillip's Restaurant on October 20, 2010 from 6:00pm to 9:00pm. Overlooking the Washington Channel off the Potomac River, the spectacular dinner features over 30 fresh seafood selections caught daily, as well as regional Chesapeake and Atlantic specialty dishes, custom-order stations and non-seafood options for our land-lubbers.
     Registrations are being accepted.  Just contact Barbara Allen at (202) 355-9403 or allen@msdc.org to join the crew.  Registration is $60 for members, $105 for members and spouses, $50 for students/residents, and $80 for non-members.
     Hurry and register soon - if you don't make the Captain's Log before Sail Date, registration at the door will increase to $80 for members and $100 for non-members, with no member/spouse or student/resident ticket available.
This is Your Time to Lead Your Society
      The Leadership Development/ Nominating Committee will meet soon to develop a slate of candidates for Society officers.  The election by mail ballot will occur in the fall.  Offices on the ballot will be as follows:
  • President-Elect                 (1)                    1 year term
  • Director, At Large             (3)                    2 year terms
  • AMA Delegate                  (1)                    2 year term
  • AMA Alternate Delegate   (1)                    2 year term
     All you need to do to be considered by the Leadership Development/Nominating Committee or to recommend a colleague is to complete this form and return it to us with a C.V. and that's it!
     If you have any questions or need additional information, please contact Peter Lavine, MD, President at (202) 223-8600, Barbara Allen, Staff Liaison at (202) 355-9403 or allen@msdc.org, or Ed Shanbacker, Executive Vice President, at (202) 355-9401 or shanbacker@msdc.org.
Call for Nominations to the National Disaster Life Support Education Consortium Executive Committee
     There are three (3) vacancies on the National Disaster Life Support Education Consortium that are open to be filled. The mission of the NDLSEC is to achieve and promote excellence in the education, training, and research related to disaster medicine and public health preparedness for all health professionals.  To view the memorandum, please click here.
     All submissions must be received by June 25, 2010.  Forms and more information may be accessed here and submitted via e-mail to ndlsec@ama-assn.org.  If you have any questions, please contact Ruth Steinbrecher at ruth.steinbrecher@ama-assn.org or (312) 464-4149.
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