National Center for Policy Analysis commentary offers medical device tax options

WASHINGTON — How hard is it to find $24 billion to offset the cost of repealing the medical device tax? As hard as it is “to find a cup of coffee at Starbucks.” That’s according to National Center for Policy Analysis senior fellow John R. Graham, in a Forbes commentary.



In his commentary, Graham urged Congress to take a look at:



▪ Medicare bad debt. The President’s budget proposes $31 billion in savings over 10 years by reducing Medicare’s coverage of bad debts owed hospitals and other facilities.

▪ Medigap plans. The President also proposes to increase deductibles for new Medicare beneficiaries, instituting a home-health deductible and adding a surcharge to Part B premiums for beneficiaries who buy Medigap (Medicare supplemental) plans.

▪ Medicare Part D exclusive pharmacies. The President has proposed allowing Medicare Part D drug plans to use more tools to reduce the abuse of prescription drugs by opioid addicts in Medicare Part D. This would reduce fraud, as described in an NCPA policy report.

▪ Medicaid provider taxes. In his February 2012 budget, President Obama proposed reforms to Medicaid provider taxes. “Provider taxes” are tricks used by hospitals and states to increase their dependence on federal Medicaid money.

▪ Site-neutral payments. This refers to paying the same fee for a procedure, whether done in an ambulatory clinic or hospital.



Click here to read the entire commentary.