U.S. Senators Bill Cassidy, M.D. (R-LA) and Maggie Hassan (D-NH) released a legislative framework to address site-neutral Medicare payment reform to lower health care costs for patients and save taxpayer dollars. Current Medicare regulations allow hospitals to take advantage of the higher Medicare payment structure for hospitals, allowing them to charge the highest possible price for services that can be done in less expensive settings. Many procedures can be done safely and in a less expensive setting like a physician’s office, yet hospitals continue to charge higher prices to do the same.
“As a doctor, my focus is always providing the best care at the most affordable cost,” said Dr. Cassidy. “If the same care can be safely provided in different settings, patients should not pay hundreds more simply because their doctor works in a hospital. Our framework provides a path to ensure that.”
“Patients should not be forced to pay higher bills just because their regular doctor’s office was purchased by a hospital,” said Senator Hassan. “Our bipartisan site-neutral payment framework demonstrates how we can significantly lower health care costs for seniors on Medicare – which in turn will save taxpayers billions of dollars. Our bipartisan framework would also make significant investments in rural and high-needs hospitals that serve their local communities. I look forward to continuing to work with Senator Cassidy and our colleagues on both sides of the aisle on future legislation. There is bipartisan agreement that by pursuing site neutral payment in Medicare, we can lower costs and ensure that more people can get the health care that they need.”