[MMA News Now, January 26, 2012] The MMA is one of 108 medical organizations from across the country to sign onto an American Medical Association letter calling on a House-Senate conference committee to permanently repeal the Medicare sustainable growth rate (SGR) formula using Overseas Contingency Operations (OCO) funds that are budgeted but no longer needed.

The cost to taxpayers for permanent repeal of the Medicare physician payment formula has grown dramatically over the years because of Congress’ frequent short-term patches. (Congress has approved 13 temporary fixes.) As recently as 2005 the cost of permanent repeal would have been $48 billion. Today it is estimated to be nearly $300 billion. If Congress continues to implement the same temporary patches as they have in the past, the cost will double again in only five years.

The letter asks Congress to take advantage of this “very real opportunity” to permanently repeal Medicare’s SGR formula using budgeted funds from OCO to help offset necessary medical baseline changes. Overseas Contingency Operations funds have been budgeted to pay for United States wartime activities in Iraq, Afghanistan and other countries. Since the wars are winding down, there are unused dollars that may be available for other purposes.

The congressional conference committee reconvenes Tuesday to continue working on a budget solution. Tell them to stop stalling and stabilize Medicare by using AMA’s Grassroots Network or by calling 1-800-833-6354.