Health policy

Medicare Governance and Provider Payment Policy

Publisher: Project HOPE - The People-to-People Health Foundation, Inc.

Published: September/October 2009

Medicare Governance and Provider Payment Policy

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Medicare Governance and Provider Payment Policy By: Pham HH, Ginsburg PB and Verdier JM Published In: Health Affairs, 28(5), pp. 1382-1394	Quantity

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Medicare’s decision-making processes leave policies on provider payment vulnerable to “micromanagement” by Congress and the White House. If they continue as they are, they could jeopardize delivery system changes central to current health reform proposals. Ad hoc intervention in response to pressure from narrow interests can result in policies that do not serve the broader priorities of beneficiaries and taxpayers and that are unsound economically. Establishing a new Medicare policy board, as proposed by the Obama administration and Congress; transforming the Medicare agency into an independent agency or new department; and conducting analyses of congressionally proposed payment policy changes before they are voted on could further insulate payment decisions from political interference.

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