|
FOR IMMEDIATE RELEASE
Tuesday, March 17, 2009
CONTACT: Brian Cook
(202) 225-3202
STARK CHAIRS HEARING ON MEDPAC’S ANNUAL REPORT
Chairman Stark and Members discuss Medicare payment levels, critical
reform issues with MedPAC Chair at Ways and Means Health Subcommittee
Hearing
WASHINGTON – House Ways and Means Health Subcommittee Chair Pete Stark
(D-CA) today lead a hearing on the Medicare Payment Advisory
Commission’s (MedPAC) annual March Report to the Congress on Medicare
Payment Policy. Members of the Subcommittee discussed key issues
relating to Medicare payments with MedPAC Chair Glenn Hackbarth.
Rep. Stark: “MedPAC’s work is essential to our continued oversight of
the Medicare program. Improvements to Medicare and reforms to the
program must be, and will be, part of this year’s larger health reform
agenda. As we pursue comprehensive health reform, MedPAC’s insight
into health delivery and spending in Medicare is of great value.”
To view Rep. Stark’s opening statement, please visit: http://www.youtube.com/watch?v=5FP5If5UHdI
In a conversation with Chairman Stark, Glenn Hackbarth rebutted the
argument that Medicare rates result in a “cost shift” that raises
private health insurance costs:
“Our concern is that overly generous private payments drive up costs
and that flows through and affects the Medicare system… Looking at all
the different types of evidence, we conclude that the problem is not
that Medicare rates are too low, and we think that they are consistent
with the efficient delivery of services.”
“It’s not at all clear to me that higher Medicare rates would result in
lower rates to private insurers. For-profit hospitals will seek to
maximize their profits. Not-for-profit hospitals will seek to maximize
their revenues, so they can do good things with it.”
To view Glenn Hackbarth discussing the “cost shift” argument with Rep.
Stark, please visit: http://www.youtube.com/watch?v=Q3VXMhYR24g
In response to a question from Rep. Ron Kind (D-WI), Hackbarth also
discussed comparative effectiveness research, which would give doctors
and patients access to information evaluating the effectiveness of
certain treatments:
“We think that comparative effectiveness research is a critical piece
of health care reform. Information about what works is essential for
physicians and patients, as well as for public and private insurers.
The private marketplace has not and will not produce that research in
adequate amounts, and so a public role in financing that research is
essential.”
To view Glenn Hackbarth dicussing comparative effectiveness research
with Rep. Kind, please visit: http://www.youtube.com/watch?v=2mIxzk95T2U
In response to a question from Rep. Xavier Becerra (D-CA), Hackbarth
also touched on the merits of having a public health insurance plan
competing with private insurers:
“In general, we think that Medicare benefits from having both a public
plan and private alternatives. We think they have different strengths
and in some ways complimentary strengths. A public plan has economies
of scale, lower administrative costs, and pricing power. Private plans
have greater flexibility in payment methods, the ability to identify
efficient providers. The solution isn’t one or the other, we need
both.”
To view Glenn Hackbarth discussing a public health insurance plan with
Rep. Becerra, please visit: http://www.youtube.com/watch?v=VzYjDc4JDd0
|
