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In President Bush' proposed budget, the inflation increase for ambulatory surgery centers (ASCs) and hospital outpatient departments (HOPDs) has been decreased by 0.065 percentage points starting in 2010 for surgery centers and 2008 for HOPDs.

Cuts proposed for ASCs, hospitals

Cuts proposed for ASCs, hospitals

In President Bush' proposed budget, the inflation increase for ambulatory surgery centers (ASCs) and hospital outpatient departments (HOPDs) has been decreased by 0.065 percentage points starting in 2010 for surgery centers and 2008 for HOPDs.

Rich Umbdenstock, president of the American Hospital Association, said in a prepared statement, "The proposed budget includes a tidal wave of cuts that will inflict real damage on hospitals' ability to care for patients. America needs policies that shore up these programs, not damage them further."

Kathy Bryant, president of the Federated Ambulatory Surgery Association (FASA), is concerned. "The very first year we are scheduled to get an update, the president is proposing taking part of that away," says Bryant, referring to the six-year freeze thus far in inflation updates for ASCs.

The American Association of Ambulatory Surgery Centers (AAASC) opposes anything less than a full inflation update for ASCs, says Craig Jeffries, Esq., executive director. "Our grass-roots advocacy with physician-led ASCs is laser-focused on the implementation of a new ASC Medicare payment system and achieving a payment rate as close to 75% [of the hospital outpatient rate] as possible," Jeffries says. "The president's Medicare budget is a distraction with little traction in the Democratic Congress."

A copy of the proposed budget is available at www.hhs.gov/budget/08budget/2008BudgetInBrief.pdf.